NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS
FOR THE FINANCIAL YEAR ENDED 30 JUNE 2000
58
Recognised Balance
Financial Sheet Accounting Policies Terms and Conditions
Instruments Notes
(i)    Financial Assets
Trade debtors, 7 Trade debtors are carried at nominal Credit sales are on 30 day terms.
Other debtors amounts due less any provision for
doubtful debts. A provision for
doubtful debts is recognised when
collection of the full nominal amount
is no longer probable.
Loans – other 7 Amounts receivable from other Interest is charged at the rate of
persons persons are carried at nominal 7.55%
amounts due. Interest (when
charged) is taken up as income
on an accrual basis.
Loans – related 7 Amounts receivable from related Details of the terms and conditions 
parties parties are carried at nominal are set out in note 27.
amounts due. Interest (when
charged) is taken up as income
on an accural basis.
Investments 11 Investments are recorded at the lower 
of cost and recoverable amount.
(ii)    Financial Liabilities
Trade creditors 14 Liabilities are recongised for amounts Trade liabilites are normally settled
to be paid in the future for goods and by terms ranging from 7 to 30 days.
services received, whether or not
billed to the economic entity.
Other creditors 14 Liabilities are recognised for amounts Other creditors and accruals are 
and accuals to be paid in the future for goods normally settled by terms ranging
and services received, whether or not from 7 to 30 days.
billed to the economic entity.
Hire purchase 15 The hire purchase liability is At balance date, the consolidated 
liability accounted for in accordance with entity had hire purchase agreements
AASB 1008. with an average lease term of 4 years
at an average discount rate of 8.57%.
The security over the respective
assets under the hire purchase
agreements is disclosed in note 15.
Bank loan – 15 The bank loans are carried at the The bank loans have maturity dates 
secured principal amount. Interest is charged of 31 January 2000 and 30 June 
as an expense as it accrues. 2004. Interest is charged at the
bank’s floating rate. Details of the
security over the bank loans is set
out in note 15.
Loan payable – 15 Loans are carried at the principal Interest is charged at the fixed rate
other persons amount. Interest is charged as an 8% per annum.
(iii)    Equity
Ordinary shares 17 Ordinary share capital is recognised Details of shares on issue at
at the fair value of the consideration balance date are set out in note 17.
received by the company.
There are no unrecognised financial instruments.