Territory Stories

Alice Springs Town Council 2003/2004 Annual Report

Details:

Title

Alice Springs Town Council 2003/2004 Annual Report

Other title

Annual report 2003/2004; Alice Springs Town Council annual report

Creator

Alice Springs Town Council

Collection

E-Publications; E-Books; PublicationNT; Annual Report

Date

2005

Notes

Made available via the Publications (Legal Deposit) Act 2004 (NT).

Language

English

Subject

Alice Springs (N.T.). Council -- Periodicals; Local government -- Northern Territory -- Alice Springs -- Periodicals

Publisher name

Alice Springs Town Council

Place of publication

Alice Springs

Series

Annual Report

Volume

2004-2005

File type

application/pdf

Copyright owner

Alice Springs Town Council

Parent handle

https://hdl.handle.net/10070/253407

Citation address

https://hdl.handle.net/10070/538275

Page content

NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS for the year ended 30 June 2005 Note 1 - Significant Accounting Policies (cont) Page 9 4. Grants, Contributions and Donations Grants, donations and other contributions are recognised as revenues when the Council obtains control over the assets comprising the contributions. Control over granted assets is normally obtained upon their receipt. Where prior advice of grants has been received and expenditure has been incurred in accordance with the relevant terms and conditions, unreceived grant entitlements are recorded as receivables. Unreceived contributions over which the Council has control are recognised as receivables. Where grants, contributions and donations recognised as revenues during the reporting period were obtained on the condition that they be expended in a particular manner or used over a particular period, and those conditions were undischarged as at the reporting date, the amounts subject to those undischarged conditions are disclosed in these notes as restricted assets. Also disclosed is the amount of grants, contributions and receivables recognised as revenues in a previous reporting period which were obtained in respect of the Council's operations for the current reporting period. 5. Cash Assets and Investment Securities Investments in Bank Bills, Promissory Notes and Term Deposits are recognised at cost. Interest revenues are recognised as they accrue. Cash Assets include all amounts readily convertible to cash on hand at Councils option with an insignificant risk of changes in value with a maturity of three months or less from the date of acquisition. 6. Receivables Receivables for rates and annual charges are secured over the subject land, and bear interest at rates determined in accordance with the Local Government Act (as amended) and the Regulations and Determinations made thereunder. Other receivables are generally unsecured and do not bear interest. All receivables are reviewed as at the reporting date and adequate provision made for amounts the receipt of which is considered doubtful. 7. Inventories Inventories held in respect of stores have been valued by using the weighted average cost on a continual basis, after adjustment for loss of service potential. Inventories held in respect of business undertakings have been valued at the lower of cost and net realisable value. 8. Property, Plant & Equipment 8.1 Transitional Provisions At the date of these accounts, the following infrastructure assets have not been capitalised: Land under Roads All non-current assets purchased or constructed are capitalised as the expenditure is incurred and depreciated as soon as the asset is held ready for use. 8.2 Materiality Assets with an economic life in excess of one year are only capitalised where the cost of acquisition exceeds materiality thresholds established by Council for each type of asset. In determining (and in annually reviewing) such thresholds, regard is had to the nature of the asset and its estimated service life. Examples of capitalisation thresholds applied during the year under review are provided in Note 9 to these accounts.