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1.2 Own-source Revenue and gains

Own-Source Revenue

2019

$

2018

$

1.2A: Sale of Goods and Rendering of Services

Member contributions for Group Life Insurance

217,132

216,448

Donations received

31,535

9,266

Collection on-costs recovered

-

902

Miscellaneous income

50

267

Total Sale of Goods and Rendering of Services

248,717

226,883

Accounting Policy

Revenue from the sale of goods is recognised when:

  1. the risks and rewards of ownership have been transferred to the buyer;
  2. the RWTF retains no managerial involvement nor effective control over the goods.

The stage of completion of contracts at the reporting date is determined by reference to the proportion that costs incurred to date bear to the estimated total costs of the transaction.

Receivables for goods and services, which have 30 days terms, are recognised at the nominal amounts due less any impairment allowance account. Collectability of debts is reviewed as at end of reporting period. Allowances are made when collectability of the debt is no longer probable.

Resources Received Free of Charge

Resources received free of charge are recognised as revenue when and only when, a fair value can be reliably determined and the services would have been purchased if they had not been donated. Use of those resources is recognised as an expense. Resources received free of charge are recorded as either revenue or gains depending on their nature.

Other Types of Revenue

A charge is recovered from loan applicants to help defray administrative expenses and to provide growth in the RWTF. These member contributions are recognised as income in the year the loan is made and form part of the outstanding loan amount.

Revenue from Group Life Insurance premiums are recognised on an accruals basis.

2019

$

2018

$

1.2B: Fees and fines

Member contributions on loans

538,223

530,828

Total fees and fines

538,223

530,828

1.2C: Interest

Bank interest

54,505

62,946

Loan interest (refer Note 6.3)

1,072,675

1,001,593

Total interest

1,127,180

1,064,539

Accounting Policy

Interest revenue is recognised using the effective interest method.