21. Notes to the Cash Flow Statement
2010
$
2009
$
(a) Reconciliation of (Deficit) for the period to Net Cash Flows From
Operating Activities
(Deficit) for the period
Depreciation and amortisation of non-current assets
Loss on sale of non-current assets
Dividends received
Interest received
Changes in net assets and liabilities:
Decrease / (Increase) in current receivables and other assets
(Decrease) / Increase in current payables and other liabilities
Increase in provisions (1,178,344)
648,088
14,164
(376,134)
(136,331) (48,086)
669,189
6,739
(138,931)
(162,160)
362,490
(9,583,212)
1,133,523 (407,570)
13,088,572
1,182,334
Net cash from operating activities (9,115,756) 14,190,088
(b) Reconciliation of Cash and Cash Equivalents
For the purposes of the cash flow statement, cash and cash equivalents
include cash at bank and on hand. Cash and cash equivalents at the end of
the financial year as shown in the cash flow statement is reconciled to the
related items in the balance sheet as follows:
Cash and cash equivalents
16,627,388
27,608,816
Cash includes $11,235,604 (2009: $22,022,809) which is held for disbursement in accordance with government
funding agreements, including to organisations other than KU.
During 2009 KU received $52,546,466 of cash in relation to Government brokered programs and expended
$31,893,298 on Government brokered programs. As at 31 December 2009 KU had $25,923,980 of prepaid
government funding shown as a liability in the financial statements. During 2010 KU expended this amount,
resulting in cash flow on brokered programs exceeding receipts by $11,019,236 and a liability of $15,207,136.
22. Financial Instruments
(a) Capital Risk Management
The capital structure of the company includes cash and cash equivalents and retained earnings.
(b) Categories of Financial Instruments
2010
$
2009
$
Financial assets
Loans and receivables
Cash and cash equivalents
Available for sale financial assets 2,406,073
16,627,388
7,621,477 2,398,334
27,608,816
7,561,554
Financial Liabilities
Trade and other payables 20,404,934 30,724,789
The carrying amount reflected above represent the Company’s maximum exposure to credit risk for such
loans and receivables.
Continues...
115th Annual Report 2010
35