✨ Financial Statements Notes
The Canterbury Community Trust
Notes to the financial statements
For the year ended 31 March 2014
3 Significant accounting policies (continued)
(g) Statement of Cash Flows
Cash comprises cash at bank but does not include cash or deposits held by the Fund Managers. Therefore the Statement of Cash Flows does not reflect the cash flows within the Fund Managers’ portfolios.
(h) Employee benefits
Short-term benefits
Short-term employee benefit obligations are measured on an undiscounted basis and are expensed as the related service is provided.
(i) Revenue
(i) Investment income
Investment income comprises interest income on funds invested, dividend income, gains on the disposal of available-for-sale financial assets, changes in the fair value of financial assets at fair value through profit or loss, foreign currency gains, and gains on hedging instruments that are recognised in the profit and loss. Interest income is recognised as it accrues, using the effective interest method. Dividend income is recognised on the date that the Group’s right to receive payment is established, which in the case of quoted securities is the ex-dividend date.
(ii) Rental income
Rental income from investment property is recognised in the profit and loss on a straight-line basis over the term of the lease. Lease incentives granted are recognised as an integral part of the total rental income, over the term of the lease.
(iii) Movements in fair value
Revenue is reflective of changes in the fair value movement of investments held and are recognised in the profit and loss.
(j) Lease payments
Payments made under operating leases are recognised in the profit and loss on a straight-line basis over the term of the lease. Lease incentives received are recognised as an integral part of the total lease expense, over the term of the lease.
Minimum lease payments made under finance leases are apportioned between the finance expense and the reduction of the outstanding liability. The finance expense is allocated to each period during the lease term so as to produce a constant periodic rate of interest on the remaining balance of the liability.
(k) Finance expenses
Finance expenses comprise interest expense, foreign currency losses, changes in the fair value of financial assets at fair value through profit or loss, impairment losses recognised on financial assets (except for trade receivables), losses on the disposal of available-for-sale financial assets, and losses on hedging instruments that are recognised in the profit and loss.
(l) Distributions in the form of Donations
Distributions are accounted for as they are committed to be distributed to eligible organisations approved by the Trustees of the Trust. Committed donations are payable on the satisfaction of any conditions placed on the recipients.
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NZ Gazette 2014, No 84
✨ LLM interpretation of page content
💰
Financial Statements for Year Ended 31 March 2014
(continued from previous page)
💰 Finance & Revenue7 July 2014
Financial Statements, Accounting Policies, Cash Flows, Employee Benefits, Revenue, Lease Payments, Finance Expenses, Distributions