|
Financial
Instrument
|
Notes
|
Accounting
Policies and Methods
(including
recognition criteria and measurement basis)
|
Nature
of underlying instrument
(including
significant terms and conditions affecting the amount,
timing and certainty of cash flows)
|
|
Financial
assets
|
|
Financial
assets are recognised when control over future economic
benefits are established and the amount of the benefit
can be reliably measured.
|
.
|
|
Deposits
at call
|
|
Deposits
are recognised at their nominal amounts. Interest is
credited to revenue as it accrues.
|
Temporary
surplus funds, mainly from revenue and monthly drawdowns
of appropriations, are placed on deposit at call with
the Library’s bankers. Interest is earned on the daily
balance at the prevailing daily rate for money on call
and is paid at month end.
|
|
Receivables
for goods and services
|
|
These
receivables are recognised at the nominal amounts due
less any provision for bad and doubtful debts. Provisions
are made when collection of debt is judged to be less
rather than more likely.
|
Credit
terms are net 30 days (2001: 30 days).
|
|
Other
debtors
|
|
As
for receivables for goods and services.
|
As
for receivables for goods and services.
|
|
Term
Deposit
|
|
Term
deposits are recognised at cost. Interest is credited
as it accrues.
|
Term
deposits are with the Library’s bank and interest in
paid annually. The effective rate of interest is 4.15%.
|
Financial
Liabilities
|
.
|
Financial
liabilities are recognised when a present obligation
to another party is entered into and the amount of the
liability can be reliably measured.
|
.
|
Trade
creditors
|
|
Creditors
and accruals are recognised at their nominal amounts,
being the amounts at which liabilities will be settled.
Liabilities are recognised to the extent that the goods
or services have been received (and irrespective of
having been invoiced).
|
Settlement
is usually made net of 30 days.
|
Grant
Liabilities
|
|
Grant
liabilities are recognised at their nominal amounts,
being the amounts at which the liabilities will be settled.
Most grant agreements require the grantee to undertake
specific tasks or utilise the funding in a specific
way. In these cases, liabilities are recognised only
to the extent that the grantee has complied with the
grant agreement, and where grant moneys are paid in
advance, a prepayment is recognised. In cases where
grant agreements are made without conditions to be monitored,
liabilities are recognised on signing of the agreement.
|
Settlement
is made in accordance with the grant agreement.
|
Note
18B - Interest Rate Risk

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Note
18C - Net Fair Value of Financial Assets and Liabilities
| |
|
2001-02
|
2000-01
|
| |
|
Total
carrying amount
|
Aggregate
net fair value
|
Total
carrying amount
|
Aggregate
net fair value
|
| |
Note
|
$’000
|
$’000
|
$’000
|
$’000
|
| |
|
|
|
|
|
|
Financial
Assets
|
|
|
|
|
|
| |
|
|
|
|
|
|
Cash
at Bank
|
5A
|
2,555
|
2,555
|
6,394
|
6,394
|
|
Cash
on Hand
|
5A
|
3
|
3
|
6
|
6
|
|
Deposits
at call
|
5A
|
6,463
|
6,463
|
2,282
|
2,282
|
|
Receivables
for Goods and Services
|
5B
|
2,233
|
2,233
|
1,960
|
1,960
|
|
Other
debtors
|
5B
|
6
|
6
|
9
|
9
|
|
Term
deposit
|
5A
|
85
|
85
|
80
|
80
|
| |
|
|
|
|
|
|
Total
Financial Assets
|
|
11,345
|
11,345
|
10,731
|
10,731
|
| |
|
|
|
|
|
|
Financial
Liabilities (Recognised)
|
|
|
|
|
|
| |
|
|
|
|
|
|
Trade
creditors
|
8A
|
1,645
|
1,645
|
3,275
|
3,275
|
|
Grants
Payable
|
8C
|
17
|
17
|
14
|
14
|
| |
|
|
|
|
|
|
Total
Financial Liabilities (Recognised)
|
|
1,662
|
1,662
|
3,289
|
3,289
|
Financial
assets
The
net fair values of cash, deposits on call and non-interest-bearing
monetary financial assets approximate their carrying amounts.
None of the classes of financial assets are readily traded
on organised markets in standardised form.
Financial
liabilities
The
net fair values for trade creditors and grant liabilities,
which are short term in nature, are approximated by their
carrying amounts. None of the classes of financial liabilities
are readily traded on organised markets in standardised form.
Note
18D - Credit Risk Exposures
The
Library’s maximum exposures to credit risk at reporting date
in relation to each class of recognised financial assets is
the carrying amount of those assets as indicated in the Statements
of Assets and Liabilities. The Library has no significant
exposures to any concentrations of credit risk. The Library
does not hold collateral or other security and therefore the
figures for credit risk represent the maximum credit risk
exposure.
|