✨ Financial Statements
23 AUGUST NEW ZEALAND GAZETTE 2569
Centralines Limited – Line Business
Investments:
The basis of valuing investments is cost apart from fixed interest investments which are adjusted for loss or gain on maturity over the life of the investments.
Accounts Receivable:
Accounts receivable are stated at expected realisable value after providing for doubtful and uncollectable debts.
Fixed Assets
Land & Buildings
Land is valued at cost. Buildings are valued at cost less depreciation.
Vehicles, Plant, Furniture and Fittings
The value of motor vehicles, plant, furniture and fittings are at cost less depreciation.
Distribution Assets
Distribution assets are stated at Optimised Deprival Value (ODV) as valued by KPMG on 31 March 1999, plus subsequent additions at cost.
Depreciation
Depreciation is charged on a straight line basis so as to work off the cost or valuation of the fixed assets in their estimated residual value over their expected useful lives. The useful lives of major classes of assets have been estimated as follows:
| Buildings | 50 – 100 years | (1.2%) |
| Globo Distribution Assets | 40 years | (2.5%) |
| Motor Vehicles | 5 years | (20%) |
| Plant & Equipment | 5 years | (20%) |
| Tools | 5 years | (20%) |
| Office Furniture & Fittings| 5 – 15 years | (6.5%-20%) |
Taxation
The income tax expense charged against the profit for the period is the estimated liability in respect of that profit and is calculated after allowance for permanent differences and timing differences not expected to reverse in future periods. This is the partial basis for the calculation of deferred tax.
The Company uses the liability method of accounting for deferred taxation. Future tax benefits attributable to tax losses or timing differences are only recognised when there is virtual certainty of realisation. Future tax benefits have been allocated to the Lines Business.
Goods and Services Taxation
The Financial Statements have been prepared exclusive of goods and services tax (GST) with the exception of receivables and payables which are stated with GST included. Where GST is irrecoverable as an input tax then it is recognised as part of the related asset or expense.
Cash Flow Statement
The following definitions have been used for the preparation of the Statement of Cash Flow:
Cash
Cash and investments which are at call.
Operating Activities
Transactions and other events that are not investing or financing activities.
Next Page →
Online Sources for this page:
VUW Te Waharoa —
NZ Gazette 2000, No 103
Gazette.govt.nz —
NZ Gazette 2000, No 103
✨ LLM interpretation of page content
💰
Centralines Limited Financial Statements
(continued from previous page)
💰 Finance & RevenueFinancial Statements, Investments, Depreciation, Taxation, GST