Queensland Art Gallery Annual Report 2001-02

STATEMENT OF CASH FLOWS FOR YEAR ENDED 30 JUNE 2002 Note 2002 $'000 CASH FLOWS FROM OPERATING ACTIVITIES Inflows: Grants 10,649 Gallery Store Operations 1,365 Interest Received 129 GST Collected on Sales 192 GST Input Tax Credits Received from ATO 527 Other 1,336 Outflows: Employee Expenses (6, 653) Supplies and Services 14,431 ) Gallery Store Operations (882) Grants and Subsidies 1500) GST Paid on Purchases 1541 I GST Remitted to ATO 11 89) Borrowing Costs 114) Other 134) Net cash provided by/(used in) operating activities 14 954 CASH FLOWS FROM INVESTING ACTIVITIES Inflows: Proceeds from Disposal of Plant and Equipment 18 Proceeds from Deaccessioning of Art Works Outflows: Purchases of Art Works 1139) Purchases of Property, Plant and Equipment (11 4) Net cash provided by/(used in) investing activities (234) CASH FLOWS FROM FINANCING ACTIVITIES Inflows: Borrowings Outflows: Borrowing Redemptions 149) Net cash provided by/(used in) financing activities (49) Net increase/(decrease) in cash 671 Cash at beginning of financial year 1,825 Cash at end of financial year 15 2,496 To be read in conjunction with the attached notes 2001 $'000 9.452 1,568 123 199 423 1.491 16.115) 14,650) 1999) 1492) 11 96) Ill 133) 770 203 1251) 178) (1 26) 275 [4) 271 91 5 91 0 1,825 NOTES TO AN D FORMI NG PART OF TH E FINANC IAL STATEMENTS FOR YEAR ENDED 30 JUN E 2002 NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (al Basis of Accounting These fi nancial statements are a general purpose financial report and have been prepared in accordance with the Australian Accounting Standards issued by the Australian accounting bodies as endorsed by the Financial Management Standard 7997. Revenue and expenses are brought to account on an accrual basis with revenue being recognised on production of an invoice. The acco unts are in accordance with conventional historical cost principles except for certain assets at valuation. The acco unting poli ci es adopted are consistent with those for the previous year. (bi Corporate Administration Agency The Corporate Admin istration Agency (CAA) was established on 1 July 1997, as a unit of Arts Queensland. The CM provides corporate support to the Gallery in the areas of Finance and Human Resources. The CAA processed all financial transactions in respect of the Gallery·s General Fund during 2001/2002 (cl Cash Assets For financial reporting purposes, cash includes all cash and cheques receipted but not banked as well as deposits at call with financial institutions. It also includes liquid investments with short periods to maturity which are convertible readily to cash on hand at the investor's option and that are subject to an insignificant risk of changes in value. (di Receivables Receivables are recognised at the amount due at the time of sale or service delivery. The collectability of receivables is assessed period ically with provision being made for doubtful debts. All known bad debts have been written off Settlement on trade debtors is generally required within thirty days. le) Inventories Inventories represent stock on hand for sale through the Gallery Store operations and are valued at the lower of cost and net realisable value. Cost includes expenditure incurred in acquiring the inventories and bringing them to their existing condition. Net realisable value is determined on the basis of the Gallery Store·s normal selling pattern. Expenses associated with marketing, selling and distribution are deducted to determine net realisable value. If) Other Financial Assets Investments are recorded at cost and income is brought to account on an accrual basis. (g) Non Current Assets Acqu isition of Assets The Gallery uses actual cost for the initial recording of all acquisitions of assets. Assets acquired at no cost or for nominal considerations are recognised at their fair value at date of acquisition in accordance with AAS 21 - Acquisition of Assets. 71