✨ Financial Statements Notes
16 SEPTEMBER NEW ZEALAND GAZETTE 3521
TRUSTPOWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 1998
NOTE 1: STATEMENT OF ACCOUNTING POLICIES
The financial statements presented here are for the reporting entity TrustPower Limited and its subsidiaries.
The financial statements have been prepared in accordance with the requirements of the Companies Act 1993 and the Financial Reporting Act 1993. The reporting entity and the group are issuers under the Financial Reporting Act 1993.
The financial statements have been prepared on the basis of historical cost with the exception of certain items for which specific accounting policies are identified:
(a) Principles of Consolidation
The consolidated financial statements include those of the holding company and its subsidiaries accounted for using the purchase method. All intercompany transactions, balances and unrealised profits and losses on transactions between group members have been eliminated.
(b) Goodwill
Goodwill, representing the excess of the cost of shares in a subsidiary, now amalgamated, over the fair value of the net assets acquired at the date of acquisition, is shown as an intangible asset. Goodwill is amortised on a straight line basis over the period of expected benefit. This period has been assessed as 20 years from the date of acquisition. The carrying amount of goodwill is reviewed annually by the directors and adjusted where it is considered necessary.
(c) Goods & Services Tax (GST)
The statements of financial performance and statements of cash flows have been prepared so that all components are stated exclusive of GST. All items in the statements of financial position are stated net of GST, with the exception of receivables and payables which include GST invoiced.
(d) Fixed Assets
All fixed assets are initially recorded at cost less accumulated depreciation where applicable.
Generation assets and land and buildings have been revalued to their market value as at 31 March 1998 as assessed by independent qualified valuers. Reticulation network assets have been revalued as at 31 March 1997 to their Optimised Deprival Value as at that date.
Costs for internally constructed assets comprise direct labour, materials and proportion of production overheads based on a normal level of activity.
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VUW Te Waharoa —
NZ Gazette 1998, No 146
NZLII —
NZ Gazette 1998, No 146
✨ LLM interpretation of page content
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Notes to the Financial Statements for TrustPower Limited
(continued from previous page)
🏭 Trade, Customs & IndustryFinancial Statements, Accounting Policies, Consolidation, Goodwill, GST, Fixed Assets, TrustPower