NEW ZEALAND GAZETTE

No. 110

NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS

For The Year Ended 31 March 1996

| 2. Operating Surplus before Tax | | | | |
| After Charging: | | | | |
| Change Doubtful Debts Provision | 5,000 | 36,554 | 5,000 | 56,505 |
| Bad Debts Written Off | 28,098 | — | 36,515 | — |
| Depreciation | 2,795,557 | 2,818,351 | 298,215 | 145,034 |
| Directors’ Fees | 55,416 | 95,879 | 55,417 | 10,521 |
| Interest | 948 | 672 | — | — |
| Rental and Operating Lease Costs | 9,270 | 7,034 | 1,270 | 526 |
| Research & Development | 15,841 | 17,530 | 73,533 | 26,539 |
| Donations | — | — | 500 | 50 |
| Loss on Sale of Assets | 33,014 | — | — | — |

| 3. Auditors Remuneration | | | | |
| Auditing Financial Statements | 20,600 | 20,100 | 2,400 | 1,900 |
| Other Services | 2,600 | — | 2,600 | — |

| 4. Taxation | | | | |
| Profit Before Taxation | 6,547,216 | 5,348,188 | 945,920 | 511,409 |
| Prima Facia Taxation @ 33% | 2,160,581 | 1,764,902 | 312,153 | 168,765 |
| Plus Tax Effect of Permanent Differences: | | | | |
| Use of Money Interest | — | (3,055) | — | — |
| Depreciation on Globo Assets | 110,340 | 104,632 | — | — |
| Legal Fees | 5,898 | 602 | 4,536 | — |
| Other Permanent Differences | 5,785 | — | 395 | — |
| Entertainment Expenses | — | 467 | 565 | — |
| Tax on Profits for Year | 2,276,819 | 1,873,333 | 317,649 | 168,765 |
| Prior Period Adjustment | 2,648 | (44,276) | 7,761 | — |
| | 2,279,467 | 1,829,057 | 325,410 | 168,765 |

The Taxation Charge is Represented by:-

| | | | | |
| Prior Period Adjustment | 2,648 | (44,276) | 7,761 | — |
| Current Taxation | 1,758,418 | 1,308,251 | 317,649 | 168,765 |
| Deferred Taxation | 518,401 | 565,082 | — | — |
| | 2,279,467 | 1,829,057 | 325,410 | 168,765 |

Movements in Provision for Deferred Taxation:

| | | | | |
| Opening Balance | (765,505) | (231,637) | — | — |
| Prior Period Adjustment | 37,160 | 31,214 | — | — |
| Current Movement in Timing Differences | (518,401) | (565,082) | — | — |
| | (1,246,746) | (765,505) | — | — |