TlB Annual Report 2009 - Triodos Bank

TAXATION ON OPERATING RESULT
Taxes are calculated on the pre-tax result on the basis of the applicable profit tax rates. Exempted profit items,
deductible items, additions and differences between the balance sheet value and the fiscal value of particular
assets and liabilities are taken into account.
Deferred tax items arising from differences between the balance sheet value and the fiscal value are valued at
nominal value.
CASH FLOW STATEMENT
The cashflow statement sets out the movement in Triodos Bank’s funds, broken down into operating activities,
investment activities and financing activities. The funds consist of cash and the on demand deposits with banks.
The cashflow statement is produced using the indirect method.
THE USE OF ESTIMATES AND ASSUMPTIONS IN THE PREPARATION OF THE FINANCIAL
STATEMENTS
The preparation of the consolidated fi nancial statements requires Triodos Bank to make estimates and assumptions
that affect the reported amounts of assets and liabilities and the contingent assets and liabilities at the
balance sheet date, and the reported income and expenses for the financial year. It mainly concerns the
methods for determining the provisions for doubtful debts, determining the fair value of assets and
liabilities and determining impairments. This involves assessing the situations on the basis of available
financial data and information. Although these estimates with respect to current events and actions are
made to the best of management’s knowledge, actual results may differ from the estimates.
Estimates and underlying assumptions are reviewed on a regular basis. Revisions to accounting estimates are
recognised in the period in which the estimate is revised or in the period of revision and future periods if the
revision impacts both the reporting period and future periods.
For further details about these accounting principles, please refer to the corresponding notes to the financial
statements.
92 TRIODOS BANK - ANNUAL REPORT 2009