NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 2000 There are no unrecognised financial instruments. Recognised Balance Financial Sheet Accounting Policies Terms and Conditions Instruments Notes (i) Financial Assets Trade debtors, 7 Trade debtors are carried at nominal Credit sales are on 30 day terms. Other debtors amounts due less any provision for doubtful debts. A provision for doubtful debts is recognised when collection of the full nominal amount is no longer probable. Loans – other 7 Amounts receivable from other Interest is charged at the rate of persons persons are carried at nominal 7.55% amounts due. Interest (when charged) is taken up as income on an accrual basis. Loans – related 7 Amounts receivable from related Details of the terms and conditions  parties parties are carried at nominal are set out in note 27. amounts due. Interest (when charged) is taken up as income on an accural basis. Investments 11 Investments are recorded at the lower  of cost and recoverable amount. (ii) Financial Liabilities Trade creditors 14 Liabilities are recongised for amounts Trade liabilites are normally settled to be paid in the future for goods and by terms ranging from 7 to 30 days. services received, whether or not billed to the economic entity. Other creditors  14 Liabilities are recognised for amounts Other creditors and accruals are  and accuals to be paid in the future for goods normally settled by terms ranging and services received, whether or not from 7 to 30 days. billed to the economic entity. Hire purchase 15 The hire purchase liability is At balance date, the consolidated  liability accounted for in accordance with entity had hire purchase agreements AASB 1008. with an average lease term of 4 years at an average discount rate of 8.57%. The security over the respective assets under the hire purchase agreements is disclosed in note 15. Bank loan – 15 The bank loans are carried at the The bank loans have maturity dates  secured principal amount. Interest is charged of 31 January 2000 and 30 June  as an expense as it accrues. 2004. Interest is charged at the bank’s floating rate. Details of the security over the bank loans is set out in note 15. Loan payable – 15 Loans are carried at the principal Interest is charged at the fixed rate other persons amount. Interest is charged as an 8% per annum. (iii) Equity Ordinary shares 17 Ordinary share capital is recognised Details of shares on issue at at the fair value of the consideration balance date are set out in note 17. received by the company. 58 Gar