text: The net amount of GST recoverable from, or payable to, the taxation authority is included as 
  part of receivables or payables. 
  
  **(k)** **Income Tax**
  
  Tax-effect accounting principles are adopted whereby income tax expense is calculated on pre- 
  tax accounting profits after adjustment for permanent differences. The tax-effect of timing 
  difference, which occur when items are included or allowed for income tax purposes in a period 
  different to that for accounting is shown at current taxation rate in provision for deferred 
  income tax and future income tax benefit, as applicable. 
  
  **(l)** **Inventory**
  
  Inventory is valued at the lower of cost and net realisable value. 
  
  **(m) Investments**
  
  Investments are recorded at the lower of cost and recoverable amount. 
  
  Dividend revenue is recognised on a receivable basis. Interest revenue is recognised on an 
  accrual basis. 
  
  **(n) Leased Assets**
  
  Hire Purchase leased assets are capitalised as fixed assets. The amount initially brought to 
  account is the present value of minimum hire purchase payments. 
  
  A Hire Purchase lease is one which effectively transfers from the lessor to the lessee 
  substantially all the risks and benefits incidental to ownership of the leased property. 
  
  Capitalised hire purchase assets are depreciated on a reducing balance basis. 