NOTES TO THE FINANCIAL STATEMENTS  for the year ended 30 June 2001 to and still included in the balance of, the asset revaluation reserve, the decrement is debited directly to that reserve.  Otherwise the decrement is recognised as an expense in the profit and loss account. Revaluations have not taken into account potential capital gains tax. Shares in listed companies held as current assets are valued by Directors at those shares' market value at each balance date. Unrealised gains are credited to asset revaluation reserve. Unrealised losses are debited to asset revaluation reserve to the extent that the revaluation decrement reverses a previous revaluation increment credited to the reserve. (f) Investments (i) Intangible Assets Goodwill Patents and Trademarks Shares: Non-current investments are carried at cost or at Directors’ valuation. The carrying amount of investments is reviewed annually by directors to ensure it is not in excess of the recoverable amount of these investments. The recoverable amount is assessed from the shares’ current market value or the underlying net assets in the particular entities. The expected net cash flows from investments have not been discounted to their present value in determining the recoverable amounts. Investments in Associates are recognised in the financial statements by applying the equity method of accounting.  On acquisition of some, or all, of the assets of another entity or, in the case of an investment in a controlled entity, on acquisition of some, or all, of the equity of that controlled entity, the identifiable net assets acquired are measured at their fair value. The excess of the fair value of the purchase consideration plus incidental expenses over the fair value of the identifiable net assets acquired (i.e. goodwill) is amortised on a straight line basis over twenty years, being the period during which the benefits are expected to arise. Significant costs associated with patents and trademarks having a benefit or relationship to more than one accounting period are deferred and amortised over the periods of their expected benefit. (j) Cash For purposes of the statement of cash flows, cash includes deposits at call which are readily convertible to cash on hand and which are used in the cash management function on a day-to-day basis, net of outstanding bank overdrafts. Operating revenue is recognised upon billing of taxi hire charges and account service fees. Account service fee revenue is disclosed net of Goods and Services Tax ("GST"), where applicable. Taxi hire charges are GST inclusive since the GST is embedded in taxis’ metered fares and liability for the GST lies with the driver. Dividend revenue is recognised when the right to dividend has been established. (k) Revenue (l) Comparative Figures (g) Leased Non-Current Assets Where required by Accounting Standards comparative figures have been adjusted to conform with changes in presentation for the current financial year. Provision is made for the economic entity's liability for employee entitlements arising from services rendered by employees to balance date. Employee entitlements expected to be settled within one year together with entitlements arising from wages and salaries, annual leave and long service leave which will be settled after one year, have been measured at their nominal amount. Other employee entitlements payable later than one year have been measured at the present  value of the estimated future cash outflows to be made for those entitlements. Contributions are made by the economic entity to employee superannuation funds and are charged as expenses  when incurred. Depreciation is calculated on straight line and diminishing value basis to write off the net cost or revalued amount of each item of property, plant and equipment over its expected useful life. Estimates of remaining useful lives are made on a regular basis for all assets, with annual reassessments for major items. (m) Employee Entitlements (h) Depreciation A distinction is made between finance leases which effectively transfer from the lessor to the lessee substantially all the risks and benefits incident to ownership of leased non-current assets (finance leases), and operating leases under which the lessor effectively retains substantially all such risks and benefits.  Where a non-current asset is acquired by means of a finance lease, the asset is established at its fair value at the inception of the lease. The liability is established at the same amount. Lease payments are allocated between the principal component and the interest expense. Operating lease payments are representative of the pattern of benefits derived from the leased assets and accordingly are charged to the profit and loss account in the period in which they are incurred. The depreciation rates used for each major class of asset are: Buildings 1% Furniture, fittings and machines 5% to 33% (the majority have a useful life of 3 to 8 years) EFTPOS Equipment 12.5% 21 ABN 99 001 958 390 CABCHARGE AUSTRALIA LIMITED  AND CONTROLLED ENTITIES