Wreck Bay Aboriginal Community Council

ABN: 62 564 797 956

Notes to and forming part of the financial statements

for the period ended 30 June 2020

FINANCIAL POSITION

This section analyses the Council's assets used to conduct its operations and the operating liabilities

incurred as a result.

Employee related information is disclosed in the People and Relationships section.

2.1: Financial Assets

2020

2019

$

$

2.1A: Cash and Cash Equivalents

Cash on hand or on deposit

4,321,916

1,365,551

Total cash and cash equivalents

4,321,916

1,365,551

The closing balance of Cash on hand or on deposit does not include amounts held in Term Deposit.

See note 2.1C Other Financial Assets for more information.

Accounting Policy

Cash is recognised at its nominal amount, Cash and cash equivalents includes:

a) cash on hand;

b) demand deposits in bank accounts with an original maturity of 3 months or less that are

readily convertible to known amounts of cash and subject to insignificant risk of changes in

value; and

c) cash in special accounts.

2.1B: Trade and Other Receivables

Goods and services receivable

Goods and services

780,511

553,627

Total goods and services receivable

780,511

553,627

Other receivables

Interest receivable

4,967

8,460

Total other receivables

4,967

8,460

Total trade and other receivables (gross)

785,478

562,087

Less impairment allowance

-

(12,996)

Total trade and other receivables (net)

785,478

549,091

Credit terms for goods and services were within 30 days (2019: 30 days).

Accounting Policy

Financial Assets

Trade receivables, loans and other receivables that are held for the purpose of collecting contractual

cashflows where the cashflows are solely payments of principal and interest, that are not provided at

below-market interest rates, are subsequently measured at amortised cost using the effective interest

method adjusted for any loss allowance.

Accounting Policy

Financial assets are assessed for impairment at the end of each reporting period.

2020

2019

$

$

2.1C: Other Financial Assets

Term deposits

1,080,723

1,060,913

Total other financial assets

1,080,723

1,060,913

Term deposits are expected to be recovered in no more than 12 months.