ANZUP Cancer Trials Group Limited Notes to the financial statements For the year ended 31 March 2012 Note 1. Summary of significant accounting policies Reporting basis and conventions This financial report is a general purpose financial report which has been prepared in accordance with Australian Accounting Standards - Reduced Disclosure Requirements, including the Australian Accounting Interpretations and other authoritative pronouncements of the Australian Accounting Standards Board and the Corporations Act 2001. This financial report covers ANZUP Cancer Trials Group Limited (the company) as an individual entity for the year ended 31 March 2012. The company is limited by guarantee and is incorporated and domiciled in Australia. Early adoption of standards The company has elected to apply the following pronouncements to the annual reporting period beginning 1 April 2010: AASB 1053: Application of Tiers of Australian Accounting Standards and AASB 2010-2 Amendments to Australian Accounting Standards arising from Reduced Disclosure Requirements. Historical cost convention The financial report has been prepared on an accrual basis and is based on historical costs. Cost is based on the fair values of the consideration given in exchange for assets.
Accounting policies (a)
Going concern
The financial report has been prepared on a going concern basis. Refer to Note 14 for considerations regarding economic dependence.
(b)
Income tax
The company is exempt from the payment of income tax under section 50-35 of the Income Tax Assessment Act 1997. The company is a deductible gift recipient.
(c)
Revenue recognition
Grant funding is recognised in the Statement of Comprehensive Income when it is controlled. When there are conditions attached to grant funding relating to the use of those funds for specific purposes, it is recognised as deferred revenue until such conditions are met or services provided.
Other income is recognised in the period to which it relates.
All revenue is stated net of the amount of goods and services tax (GST).
(d)
Cash and cash equivalents
Cash and cash equivalents includes cash on hand, deposits held at call with financial institutions and other short-term, highly liquid investments with original maturities of three months or less that are readily convertible to known amounts of cash which are subject to an insignificant risk of changes in value.
(e) Employee benefits Provisions are measured at the present value of management’s best estimate required to settle the present obligation at the reporting date. The discount rate used to determine the present value reflects current market assessments of the time value of money and the risks specific to the liability. The increase in the provision due to the passage of time is recognised as interest expense.
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