KU Annual Report 2010 | Page 28

KU Financial Report Notes to the Financial Statements Continued... • AASB 2010-6 Amendments to Australian Accounting Standards – Disclosures on Transfers of Financial Assets • AASB 2009-12 Amendments to Australian Accounting Standards – Related Party Disclosures • AASB 9 Financial Instruments 4. Critical accounting judgements and key sources of estimation uncertainty The following are the critical judgements (apart from those involving estimations, which are dealt with below), that management has made in the process of applying the Company’s accounting policies and that have the most significant effect on the amounts recognised in the financial statements: Employee entitlements: Management judgement is applied in determining the following key assumptions used in the calculation of long service leave at balance date: • future increases in wages and salaries; • future on cost rates; and • experience of employee departures and period of service. 5. (Deficit) from operations 2010 $ (a) Revenue Revenue from operations consisted of the following items: Government funding Capital grant funding Parents’ fees Management fees Gross fundraising income Interest revenue – bank deposits Distributions received Sales of publications and courses Sponsor support Operating rental lease revenue Other revenue (b) (Deficit) (Deficit) has been arrived at after charging the following losses: Workers Compensation premium adjustment Gain/(Loss) on disposal of property, plant and equipment Depreciation of property, plant and equipment Operating lease rental expenses: Minimum lease payments Net bad and doubtful debts arising from: Other entities (c) Deficit for the year The total reported deficit for the year is $1,178,344 (2009 Deficit: $48,086). 28 KU Children’s Services 2009 $ 28,894,958 2,498,069 35,745,768 18,862,032 668,023 136,331 376,134 27,550 37,106 6,338 848,114 88,100,423 27,413,656 712,268 33,126,386 15,362,341 665,609 162,160 138,931 34,069 17,246 70,037 1,299,730 79,002,432 (1,220,110) (14,164) (648,088) (165,843) (6,739) (669,189) (771,127) (697,736) (36,594) (28,741)