Notes to the Financial Statementsfor the year ended 30 June 2006
34. Reconciliations explaining the transition to Australian equivalents to International Financial Reporting Standards (AIFRS)
RECONCILIATION OF EQUITY AT THE DATE OF TRANSITION TO AIFRS: 1 JULY 2004 (AASB 1.39(A)(I))
Note |
Previous AGAAP 1 July 2004 $'000 |
AASB 119(a) $'000 |
AIFRS 1 July 2004 $'000 |
|
|---|---|---|---|---|
ASSETSCurrent Assets |
||||
| Cash and cash equivalents | 765 |
– |
765 |
|
| Receivables | 1,422 |
– |
1,422 |
|
| Amounts receivable for services | 18 |
– |
18 |
|
| Other assets | 7 |
– |
7 |
|
| Total Current Assets | 2,212 |
– |
2,212 |
|
Non-Current Assets |
||||
| Amounts receivable for services | 11 |
– |
11 |
|
| Property, plant and equipment | 101 |
– |
101 |
|
| Total Non-Current Assets | 112 |
– |
112 |
|
| TOTAL ASSETS | 2,324 |
– |
2,324 |
|
LIABILITIES
Current Liabilities
| Payables | 362 |
– |
362 |
|
| Amounts due to the Treasurer | 200 |
– |
200 |
|
| Provisions | 173 |
66 |
239 |
|
| Total Current Liabilities | 735 |
66 |
801 |
Non-Current Liabilities
| Provisions | 150 |
(69) |
81 |
|
| Total Non-Current Liabilities | 150 |
(69) |
81 |
|
| TOTAL LIABILITIES | 885 |
(3) |
882 |
|
| NET ASSETS | 1,439 |
3 |
1,442 |
Equity
| Contributed equity | 632 |
– |
632 |
|
| Accumulated surplus/(deficiency) | 807 |
– |
807 |
|
| Amounts recognised directly in equity on transition | – |
3 |
3 |
|
| TOTAL EQUITY | 1,439 |
3 |
1,442 |
RECONCILIATION OF EQUITY AT THE END OF THE LAST REPORTING PERIOD UNDER PREVIOUS AGAAP: 30 JUNE 2005 (AASB 1.39(A)(II))
Note | Previous AGAAP 30 June 2005 $'000 |
AASB 119(b) $'000 |
AIFRS 30 June 2005 $'000 |
|
|---|---|---|---|---|
ASSETS |
||||
Current Assets |
||||
| Cash and cash equivalents | 1,212 |
– |
1,212 |
|
| Receivables | 823 |
– |
823 |
|
| Amounts receivable for services | 18 |
– |
18 |
|
| Other assets | 9 |
– |
9 |
|
| Total Current Assets | 2,062 |
– |
2,062 |
|
Non-Current Assets |
||||
| Restricted cash and cash equivalents | – |
– |
– |
|
| Amounts receivable for services | 13 |
– |
13 |
|
| Property, plant and equipment | 660 |
– |
660 |
|
| Total Non-Current Assets | 673 |
– |
673 |
|
| TOTAL ASSETS | 2,735 |
– |
2,735 |
|
LIABILITIES |
||||
Current Liabilities |
||||
| Payables | 606 |
(604) |
2 |
|
| Provisions | 354 |
75 |
429 |
|
| Other liabilities | – |
604 |
604 |
|
| Total Current Liabilities | 960 |
75 |
1,035 |
|
Non-Current Liabilities |
||||
| Provisions | 249 |
(81) |
168 |
|
| Total Non-Current Liabilities | 249 |
(81) |
168 |
|
| TOTAL LIABILITIES | 1,209 |
(6) |
1,203 |
|
| NET ASSETS | 1,526 |
6 |
1,532 |
|
Equity |
||||
| Contributed equity | 632 |
– |
632 |
|
| Accumulated surplus/(deficiency) | 894 |
6 |
900 |
|
| TOTAL EQUITY | 1,526 |
6 |
1,532 |
|
RECONCILIATION OF INCOME STATEMENT (PROFIT OR LOSS) FOR THE YEAR ENDED 30 JUNE 2005 (AASB 1.39(B)
Note | Previous AGAAP 30 June 2005 $'000 |
AASB 119(c) $'000 |
AIFRS 30 June 2005 $'000 |
|
|---|---|---|---|---|
COST OF SERVICESExpenses |
||||
| Employee benefits expense | 2,579 |
66 |
2,645 |
|
| Supplies and services | 3,482 |
(71) |
3,411 |
|
| Depreciation expense | 61 |
– |
61 |
|
| Accommodation expenses | 439 |
– |
439 |
|
| Capital user charge | 103 |
– |
103 |
|
| Other expenses | – |
2 |
2 |
|
| Total Cost of Services | 6,664 |
(3) |
6,661 |
Income
| User charges and fees | 2,269 |
– |
2,269 |
|
| Interest revenue | 69 |
– |
69 |
|
| Other revenue | 44 |
– |
44 |
|
| Total income other than income from State Government | 2,382 |
– |
2,382 |
|
| NET COST OF SERVICES | 4,282 |
(3) |
4,279 |
Income from State Government
| Service appropriation | 4,353 |
– |
4,353 |
|
| Resources received free of charge | 16 |
– |
16 |
|
| Total income from State Government | 4,369 |
– |
4,369 |
|
| SURPLUS FOR THE PERIOD | 87 |
3 |
90 |
RECONCILIATION OF CASH FLOW STATEMENT FOR THE YEAR ENDED 30 JUNE 2005 (AASB 1.40)
Note | Previous AGAAP 30 June 2005 $'000 |
AASB 119(d) $'000 |
AIFRS 30 June 2005 $'000 |
|
|---|---|---|---|---|
CASH FLOWS FROM STATE GOVERNMENT |
||||
| Service appropriation | 4,353 |
– |
4,353 |
|
| Capital contributions | – |
– |
– |
|
| Net cash provided by State Government | 4,353 |
– |
4,353 |
Utilised as follows:
CASH FLOWS FROM OPERATING ACTIVITIES
Payments
| Employee benefits | (1) |
(2,269) |
73 |
(2,196) |
| Supplies and services | (3,318) |
(71) |
(3,389) |
|
| Capital user charge | (103) |
– |
(103) |
|
| Accommodation | (439) |
– |
(439) |
|
| GST payments on purchases | (351) |
– |
(351) |
|
| GST payments to taxation authority | (78) |
– |
(78) |
|
| Other payments | – |
(2) |
(2) |
Receipts
| User charges and fees | 2,889 |
– |
2,889 |
|
| GST receipts on sales | 59 |
– |
59 |
|
| GST receipts from taxation authority | 381 |
– |
381 |
|
| Other receipts | 113 |
– |
113 |
|
| Net cash used in operating activities | (3,116) |
– |
(3,116) |
CASH FLOWS FROM INVESTING ACTIVITIES
| Purchase of non-current physical assets | (590) |
– |
(590) |
|
| Net cash used in investing activities | (590) |
– |
(590) |
CASH FLOWS FROM FINANCING ACTIVITIES
| Repayment of Treasurer’s Advance | (200) |
– |
(200) |
|
| Net cash used in financing activities | (200) |
– |
(200) |
|
| Net increase in cash and cash equivalents | 447 |
– |
447 |
|
| Cash and cash equivalents at beginning of period | 765 |
– |
765 |
|
| CASH AND CASH EQUIVALENTS AT END OF PERIOD | 1,212 |
– |
1,212 |
(1) Equivalent AGAAP line item ‘Employee costs’ (AIFRS ‘Employee benefits’)
Notes to the reconciliations
AASB 119 – Employee Benefits and AASB 101 – Presentation of Financial Statements
AASB 101 requires that a liability must be classified as current where the entity does not have an unconditional right to defer settlement of the liability for at least twelve months beyond the reporting date. Consequently, all annual leave and long service leave entitlements (unconditional long service leave) must now be classified as current. Non-vested long service leave liability will be non-current to the extent that it does not become unconditional within twelve months from reporting date.
Employment on-costs are not included in employee benefits under AGAAP or AIFRS. However, under AGAAP employee benefits and on-costs are disclosed together on the face of the Income Statement as employee costs. Under AIFRS employee benefits will be the equivalent item disclosed on the face. On-costs are transferred to other expenses.
Adjustments to opening Balance Sheet (1 July 2004)
Annual leave previously shown as non-current has been reclassified to current liability at discounted present value ($66,000) with the amount of the discount taken directly to equity on transition ($3,000).
Adjustments to 30 June 2005 Balance Sheet
Annual leave provision previously shown as non-current has been reclassified to current liability ($75,000) and the current period provision discounted to present value ($6,000).
Adjustments to the Income Statement for the period ended 30 June 2005
Employee on-costs expense has been reclassified from employee benefits expense to other expense ($2,000) after employee benefits expense has been discounted to present value ($3,000) and fringe benefits ($71,000) have been reclassified from supplies and services to employee benefits.
Adjustments to the Cash Flow Statement for the period ended 30 June 2005
Employee on-costs payments have been reclassified from employee benefits payments to other payments ($2,000) and fringe benefits ($71,000) reclassified from supplies and services to employee benefits.