NEW ZEALAND GAZETTE

No. 78

10. Reconciliation of Net Surplus (Deficit) with Net Cash Flow From Operating Activities and Movements in Trust Funds

Add/(deduct) financing items:

Interest expense | – | 11,796 |

Add/(deduct) non cash items:

Depreciation | 9,189 | 7,580 |
Movements in portfolio | 7,097,228 | – |
Portfolio investment income reinvested | – | 42,138 |
| (1,653,650) | (2,310,859) |

Add/(deduct) movements in other working capital items:

(Increase)/decrease in accounts receivable | 12,715 | (45,776) |
(Increase)/decrease in prepayments | (951) | (6,204) |
Increase/(decrease) in accounts payable | (17,429) | 275,545 |
Increase/(decrease) in G.S.T. | (115) | (4,633) |
Increase/(decrease) in taxation paid | (6) | 1,818 |
Increase/(decrease) in interest accrual | (48,110) | – |
| (53,896) | 220,750 |

Add/(deduct) items classified as an investing activity:

Movement–Tower Asset Management | – | 8,962 |
Movement–BT Funds Management (NZ) Limited | – | (404,959) |
| – | (395,997) |

Add/(deduct) movements in trust funds:

Donations paid from prior year’s trust fund | (176,818) | (257,250) |

Net cash flow from operating activities | (1,884,364) | (2,743,356) |

Audit Report

To the readers of the financial report of The Community Trust of Wellington and its subsidiary company.

We have audited the financial report. The financial report provides information about the past financial performance and financial position of The Community Trust of Wellington and its subsidiary company as at 31 March 2003. This information is stated in accordance with the accounting policies.

Board of Trustees’ Responsibilities

The board of trustees are responsible for the preparation of a financial report which gives a true and fair view of the financial position of The Community Trust of Wellington and its subsidiary company as at 31 March 2003 and of the results of operations and its cash flows for the year ended on that date.

Auditors’ Responsibilities

It is our responsibility to express an independent opinion on the financial report presented by the board of trustees and report our opinion to you.

Basis of Opinion

An audit includes examining, on a test basis, evidence relevant to the amounts and disclosures in the financial report. It also includes assessing:

• the significant estimates and judgements made by the board of trustees in the preparation of the financial report; and
• whether the accounting policies are appropriate to The Community Trust of Wellington and its subsidiary company’s circumstances, consistently applied and adequately disclosed.

We conducted our audit in accordance with New Zealand auditing standards. We planned and performed our audit so as to obtain all the information and explanations which we considered necessary in order to provide us with sufficient evidence to obtain reasonable assurance that the financial report is free from material misstatements, whether caused by fraud or error. In forming our opinion, we also evaluated the overall adequacy of the presentation of information in the financial report.

Our firm carries out other assignments for The Community Trust of Wellington and its subsidiary company in the area of special consultancy projects. Other than in our capacity as auditors, we have no other relationship with or interest in The Community Trust of Wellington and its subsidiary company.