✨ Financial Statements Notes
THE WAIKATO COMMUNITY TRUST INCORPORATED
NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
In determining the fair value of the interest free loan to Sport Waikato, management have used the market rate for a five year fixed interest loan at the loan drawdown date in August 2008. The rate used affects the carrying value of the loan and the fair value adjustment reflected in the Statement of Comprehensive Income. Refer to note 12 for the carrying value of the loan at 31 March 2012.
The fair value of derivative financial instruments is determined based on observable market rates. Refer to note 16 for the carrying value of these instruments as at 31 March 2012.
1.5 Changes in accounting policy and disclosures
New and amended standards adopted by the Trust
NZ IAS 24 Related party transactions (revised)
This amendment clarified and simplified the definition of a related party. It did not have an impact on the related party disclosures presented in note 21.
Standards, amendments and interpretations to existing standards that are not yet effective and have not been adopted early by the Trust:
| Standard/Interpretation | Effective for annual reporting periods beginning on or after | Expected to be applied initially in the financial year ending |
|---|---|---|
| NZIFRS 9 Financial Instruments | 1 January 2015 | 31 March 2016 |
| NZIFRS Fair value measurement | 1 January 2013 | 31 March 2014 |
The above amendments will not have a significant impact on the financial statements.
Other standards/interpretations that are not included above are not relevant to the Trust.
1.6 Specific Accounting Policies
The following specific accounting policies which materially affect the measurement of comprehensive income and the financial position have been applied:
1.6.1 Revenue Recognition
1.6.1.1 Dividend and interest revenue
Dividend revenue from investments is recognised when the shareholders’ rights to receive payment have been established. Interest revenue is recognised on a time proportionate basis using the effective yield on the financial asset.
1.6.1.2 Rental revenue
Rents (net of any incentives) are recognised on a straight line basis over the lease term.
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NZ Gazette 2012, No 97
✨ LLM interpretation of page content
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Cash Flow Statement for The Waikato Community Trust Incorporated
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💰 Finance & RevenueCash Flow, Financial Statements, Income, Expenditure, Investments, Accounting Policies, Fair Value, Derivatives, Related Party Transactions