New Zealand Gazette – 2003 – No. 129

Page 3467

✨ Accounting Policies



STATEMENT OF ACCOUNTING POLICIES (CONTINUED)

Property, Plant and Equipment

All property, plant and equipment assets are initially recorded at cost. Freehold land and buildings are subsequently revalued to fair values with regard to highest and best use by an independent valuer. Assets within their classes are revalued on a cyclical basis. The revaluations are conducted on a systematic basis so that each individual asset is revalued every three years.

The most recent valuation was conducted by an independent registered valuer, I R Mollison ANZIV of the firm Ian Mollison & Associates on 31 March 2002.

Depreciation

Depreciation of property, plant and equipment, other than freehold land, is calculated on a straight line basis so as to expense the cost of these assets, or the revalued amounts, to their residual values over their useful lives as follows:

Estimated Useful Lives (Years)

Distribution Assets

  • Circuit Breakers: 40
  • Substations: 40
  • Transformers: 55
  • Ripple Controls: 20
  • UHF Links: 15
  • Overhead Lines: 45 to 60
  • Underground Lines: 45
  • Community Lighting: 15

Freehold Buildings & Fixtures: 10 to 50
Motor vehicles: 6 to 10
Plant & Equipment: 10
Computer Equipment: 3 to 5

Employee Entitlements

Employee entitlements to salaries and wages, annual leave, long service leave and other benefits are accrued annually on an actual entitlement basis.

Leases

Scanpower leases a forklift and a photocopier. Under the terms of the lease, all the risks and benefits of ownership effectively remain with the lessors. Lease payments are recognised as an expense in the periods the amounts are payable and a full disclosure of future commitments is provided in Note 11.

Financial Instruments

Financial instruments carried on the Statement of Financial Position include cash and bank balances, investments, receivables and trade creditors. These financial assets and financial liabilities are, generally, carried at their estimated fair values except for loans, which are recorded at cost. Where appropriate, particular recognition methods adopted are disclosed in the individual policy statements associated with each item.



Next Page →



Online Sources for this page:

VUW Te Waharoa — PDF NZ Gazette 2003, No 129


Gazette.govt.nz — PDF NZ Gazette 2003, No 129




✨ LLM interpretation of page content

🏭 ScanPower Limited Accounting Policies for 2003 (continued from previous page)

🏭 Trade, Customs & Industry
31 March 2003
Accounting Policies, Financial Statements, Revenue, Tax, GST, Receivables, Inventories, ScanPower Limited
  • Ian Mollison, Independent registered valuer