✨ Financial Statements Notes
4 AUGUST 2014 NEW ZEALAND GAZETTE, No. 88 2475
THE COMMUNITY TRUST OF MID & SOUTH CANTERBURY INC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2014 (Continued)
- Contingent Assets
There are no Contingent Assets at 31 March 2014 (2013: $81,000).
- Advances
There are no advances outstanding at Balance Date.
- Financial Instruments
Fair Values
Investments are stated at estimated market value at balance date. Interest accrued, Accounts Receivable, Accounts Payable, Term Loans and donations approved, not yet paid, are stated at the amounts expected to be received or paid.
Accordingly, the Trustees consider that the fair value of each class of financial assets and financial liabilities is the same as the carrying value in the Statement of Financial Position.
Credit Risk
44% of the assets of the Trust are represented by debt investments and Current Account balances with Westpac Bank and through Managed Funds. The Trustees consider the risk of non-recovery of these investments at balance date to be within satisfactory guidelines.
The maximum exposure to credit risk of other financial instruments are:
| 2014 $ | 2013 $ | |
|---|---|---|
| Accounts Receivable | 68,760 | 101,801 |
| GST Refund Due | 4,863 | 3,266 |
| Managed Fund Equities | 24,211,427 | 24,615,233 |
| Total | 24,285,050 | 24,720,300 |
Currency Risk
The Trust is party, through its Managed Funds, to financial instruments with off Balance Sheet risk to reduce exposure to fluctuations in foreign currency exchange rates. Forward exchange contracts are entered into to hedge foreign currency transactions.
The Trust is also party through its Managed Funds, to financial instruments with off Balance Sheet risk to reduce exposure to fluctuations in foreign currency interest rates. Future contracts are entered into to hedge foreign currency fixed interest transactions.
Interest Rate Risk
The following investments of the Trust are sensitive to changes in interest rate: Bank Call Accounts and Term Deposits, and various Managed Fund investments.
Next Page →
NZ Gazette 2014, No 88
✨ LLM interpretation of page content
💰
Notes to the Financial Statements for The Community Trust of Mid & South Canterbury Inc
(continued from previous page)
💰 Finance & RevenueFinancial Reporting, Contingent Assets, Advances, Financial Instruments, Fair Values, Credit Risk, Currency Risk, Interest Rate Risk