k ) Software
Intangibles
BERRY STREET VICTORIA INC . ABN 24 719 196 762 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014
Software is recorded at cost . Software has a finite life and is carried at cost less any accumulated amortisation and impairment losses . It has an estimated useful life of between one and five years . It is assessed annually for impairment .
Property
A property was donated to the Association in June 2011 . The property was donated subject to various conditions of use in relation to the running of a specific project , as such the property was considered to be treated and classified as an intangible asset with a finite life in accordance with AASB138 Intangible Assets . The property was recognised at cost which is deemed to be the fair value of the property at the time it was donated and is amortised over the period of the specific project deemed to be ten years .
l )
Provisions
Provisions are recognised when the Association has a legal or constructive obligation , as a result of past events , for which it is probable that an outflow of economic benefits will result and that outflow can be reliably measured . Provisions recognised represent the best estimate of the amounts required to settle the obligation at the end of the reporting period .
m )
Comparative Figures
Where required by Accounting Standards comparative figures have been adjusted to conform with changes in presentation for the current financial year .
n )
Trade and Other Payables
Trade and other payables represent the liability outstanding at the end of the reporting period for goods and services received by the Association during the reporting period which remain unpaid . The balance is recognised as a current liability with the amounts normally paid within 30 days of recognition of the liability .
o ) Critical Accounting Estimates and Judgments
The Directors evaluate estimates and judgments incorporated into the financial statements based on historical knowledge and best available current information . Estimates assume a reasonable expectation of future events and are based on current trends and economic data , obtained both externally and within the Association .
Key Estimates Impairment
The freehold land and buildings were independently valued in 2011-2012 by Goulburn Valley Property Services , Burnham Corporation and CJA Lee & Associates . The valuation was based on the fair value less cost to sell . The critical assumptions adopted in determining the valuation included the location of the land and buildings , the current strong demand for land and buildings in the area and recent sales data for similar properties . The valuation resulted in a net revaluation increment of $ 197,012 being recognised for the year ended 30 June 2012 .
Key Judgments Available-for-sale investments
The Association maintains a portfolio of securities with a carrying value of $ 23,604,356 ( 2013 : $ 18,850,058 ) at the end of the reporting period . The fair value of the portfolio of securities is monitored on a monthly basis . The Board of Directors do not believe there has been a significant or prolonged decline in the value and hence no impairment has been recognised .
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