BCS, The Chartered Institute for IT Annual Report and Consolidated ...

BCS, The Chartered Institute for IT
NOTES (continued)
Fund accounting
General funds comprise accumulated unrestricted surpluses and deficits on general funds and are
available for use at the discretion of the Trustees in furtherance of the objects of the Institute.
Designated funds represent earmarked funds allocated by the Trustees from the general funds for
specific purposes for which no binding commitment has been established at the time the financial
statements are prepared. Details of each designated fund are disclosed in note 15 to the financial
statements. Trustees agree allocations to designated funds and transfers between funds are made
accordingly.
The Institute has no restricted funds. Restricted funds are funds subject to specific instructions by the
donor, but still within the objects of the Institute.
Incoming resources
Incoming resources are reported gross and the Statement of Financial Activities recognises all
incoming resources receivable during the period after adjustments for any deferred income which is
included in the balance sheet as creditors.
Investment income is recognised on a receivable basis.
The Institute receives income from candidates at the time of registering for the ECDL. Income is
recognised at this point. Costs are accrued to match future costs which the Institute is contracted to
incur in respect of issuing the certificate to successful candidates. The accrual is calculated statistically
on the basis of historic information of candidate completion rates.
Event income is recognised when the course or event is run. Income received in advance of the
course or event dates is deferred and included in creditors on the balance sheet.
Membership subscription income is accounted on a receivable basis and represents only that part of
the subscription which relates to the financial year in which it is paid, the balance is included in deferred
income in creditors on the balance sheet and released in the period to which it relates.
Life membership is accounted for on a receivable basis and released into the Statement of Financial
Activities over ten years. The balance is included in creditors and carried forward to future years.
The three subsidiary companies, British informatics Society Limited (BISL), Communications
Management Association (CMA) and Activ Training Limited all provide goods and services. The
income for these goods and services are recognised at the time goods and services are delivered.
Resources expended
Resources expended are shown gross and an accruals adjustment has been made for all known
liabilities at the year end.
Charitable activities include expenditure associated with professional programmes, events, meetings
and special projects and publications. The costs are incurred by the Institute, Specialist Groups and
Branches and include both direct and indirect costs relating to these activities.
Direct costs are allocated on an actual basis to the relevant expense heading.
Governance costs include those costs incurred in the governance of the Institute and its assets and are
primarily associated with constitutional and statutory requirements. Support costs/central overheads
are reallocated to the relevant expense heading on the basis of staff numbers engaged in the relevant
activity.
Provisions for liabilities
A provision has been made for the estimate of costs for dilapidations which will be required at the end
of the lease which has been capitalised in accordance with FRS15 and will be depreciated over the life
of the lease to the Statement of Financial Activities.
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