New Zealand Gazette – 2008 – No. 33

Page 752

✨ Financial Accounting Policies



752

NEW ZEALAND GAZETTE, No. 33

22 FEBRUARY 2008

Other Assets are depreciated using rates which write off the cost or valuation of the fixed assets over their expected economic lives as below:

  • Buildings 1% to 2.5% SL
  • Motor Vehicles 10% to 25% DV
  • Plant and equipment 10% to 50% DV
  • Furniture and fittings including computers 20% to 48% DV

Profits and losses on disposal are calculated as the difference between the carrying amount of the asset at the time of disposal and the proceeds of the disposal. Any depreciation recovered and any loss on sale is included in the operating result in the year of the disposal.

(d) Debtors

Debtors are stated at estimated realisable value after providing for debts where collection is doubtful.

(e) Taxation

The taxation charge against the profit for the year 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 taxation.

The Company follows the liability method of accounting for deferred taxation. Future taxation benefits attributable to losses carried forward or timing differences are recognised in the financial statements only where there is virtual certainty of realisation.

(f) Goods and Services Tax

All items in the financial statements are net of Goods and Services Tax except for Debtors and Creditors which are shown in the Statement of Financial Position inclusive of GST.

(g) Financial Instruments

Westpower is party to financial instrument arrangements as part of everyday operations. These instruments include bank accounts, debtors, creditors, borrowings and interest rate swaps.

Revenues and expenses in relation to all financial instruments are recognised in the Statement of Financial Performance.



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Online Sources for this page:

VUW Te Waharoa — PDF NZ Gazette 2008, No 33


Gazette.govt.nz — PDF NZ Gazette 2008, No 33




✨ LLM interpretation of page content

🏭 Westpower Limited Statement of Accounting Policies (continued from previous page)

🏭 Trade, Customs & Industry
Financial Statements, Accounting Policies, Electricity, Westpower Limited, Fixed Assets, Depreciation