2564

NEW ZEALAND GAZETTE

No. 94

Reconciliation of net surplus and net cash flows from operating activities—

Net surplus transferred to/(from) equity
(1,618)
(1,954)

Less payments out of capital (net)
(251)
(268)

Plus non cash items:
Depreciation of fixed assets
8
8

Loss on disposal of assets
1
–

Movement in working capital:
Decrease/(increase) in accounts receivable
10
(13)

Increase/(decrease) in accounts payable
342
57

Net cash flows from operating activities
(1,508)
(2,170)

(The accompanying notes form part of these financial statements.)

Notes to the Financial Statements for the Year Ended 31 March 2002

1. Statement of Accounting Policies

Reporting Entity
The trust is a charitable trust in accordance with the provisions of the Community Trusts Act 1999. The group consists of Bay of Plenty Community Trust Incorporated and its subsidiary Bay of Plenty Community Trust Charities Limited.
The financial statements have been prepared as required by the Community Trusts Act 1999 and the trust deed dated 17 August 2000 and in accordance with the Financial Reporting Act 1993.

Measurement Base
The accounting principles recognised as appropriate for the measurement and reporting of financial performance and financial position on an historical cost basis are followed by the group, with the exception of investments which are stated at market value as at 31 March 2002.

Specific Accounting Policies
The following specific accounting policies which materially affect the measurement of financial performance and the financial position have been applied:

(a) Donations:
Donations made during the year from revenue are included in the income statement. Those made from trust capital have been included in the statement of movements in equity.

(b) Investments:
All investments are stated at assessed market value.

(c) Fixed assets:
Fixed assets are stated at cost less accumulated depreciation.

(d) Depreciation:
Depreciation is charged to write off the cost of fixed assets over their expected economic lives using the diminishing value method at rates from 12% to 50% per annum.

(e) Accounts receivable:
Accounts receivable are recorded at their estimated realisable value.

(f) Financial instruments:
The trust includes all financial instrument arrangements in the balance sheet using the concept of accrual accounting. Financial instruments are valued as per Note 1, measurement base. These instruments arise as a result of everyday operations and include bank, accounts receivable, accounts payable and investments. Revenues and expenses in relation to all financial instruments are recognised in the statement of financial performance. Financial instruments are shown at their fair values.

(g) Consolidation:
The Bay of Plenty Community Trust and its subsidiary charitable company, Bay of Plenty Community Trust Charities Limited, have been consolidated using the purchase method of consolidation.

Changes in Accounting Policies
There have been no changes in accounting policies. All policies have been applied on bases consistent with those used in previous years.

2. Equity

Trust capital—
89,308
89,308

General funds:

Trust
Company

Opening balance
(4,222)
4,222

Less donations from trust capital
(251)
–

Plus transfer from current year surplus
(5,316)
5,567

(9,789)
9,789

Income fluctuation reserve:

Opening balance
12,840
16,959

Increase/(decrease) in reserve
(1,005)
(4,119)

11,835
12,840