✨ Financial Statements
4 SEPTEMBER
NEW ZEALAND GAZETTE
2827
Accounts Receivable.
Accounts receivable are valued at expected realisable value, after providing for doubtful debts. All known bad debts have been written off during the period under review.
Inventory.
Inventory is valued at the lower of historical cost and net realisable value. The weighted average method has been used to determine historical cost. The quantity of gas in pipes has been estimated by Taranaki Energy's gas engineers, and valued at average purchase cost per unit.
Fixed Assets.
The company assets are made up of assets transferred, vested or purchased, as the case may be, from New Plymouth Energy, a department of the New Plymouth District Council, and the Taranaki Electric Power Board on 7 May 1993, and subsidiaries City Gas (Taranaki) Limited and The Hawera Gas Company Limited.
Fixed Assets transferred from New Plymouth Energy are stated at their Optimal Deprival Values (ODV), based on a valuation carried out by KPMG Peat Marwick Consultants, as authorised valuers by the Minister of Energy pursuant to the Energy Companies Act 1992, in July 1993.
The ODV of an asset can be defined as the lower of its Optimised Depreciated Replacement Cost (ODRC) and its Economic Value. Gross carrying value of these assets will be the recoverable value where this is lower than cost or the revalued amount.
Fixed Assets were transferred from Taranaki Electricity at their book values. These values fairly reflect the economic value of such assets based on a return on investment of 5.5% p.a., as indicated in the Establishment Plan of the company dated December 1992. Gross carrying value of these assets will be the recoverable value where this is lower than the cost stated above.
The Hawera Gas Company Limited assets shown in the consolidated statements are stated at their Optimised Depreciated Replacement Cost (ODRC), based on a valuation carried out by KPMG Peat Marwick Consultants, as authorised valuers by the Minister of Energy pursuant to the Energy Companies Act 1992.
The assets of City Gas (Taranaki) Limited are stated at their cost less depreciation.
The gross carrying value of the assets of the subsidiary companies will be the recoverable value where this is lower than the cost stated above.
Any additions to fixed assets since the revaluation date are stated at cost less depreciation
Notes to and forming part of the Financial Statements for the year ended 31 March 1995
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VUW Te Waharoa —
NZ Gazette 1995, No 93
NZLII —
NZ Gazette 1995, No 93
✨ LLM interpretation of page content
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Taranaki Energy Limited Statement of Financial Performance
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🏭 Trade, Customs & IndustryFinancial Statements, Accounts Receivable, Inventory, Fixed Assets, Valuation