Annual Report 2010-2011 - Western Australian Museum

Western Australian Museum ANNUAL REPORT 2010/2011
s) Resources received free of charge or for nominal cost
Resources received free of charge or for nominal cost that can be reliably measured are recognised as income at fair
value. Where the resource received represents a service that the Western Australian Museum would otherwise pay
for, a corresponding expense is recognised. Receipt of assets are recognised in the Statement of Financial Position.
Assets or services received from other State Government agencies are separately disclosed under Income from
State Government in the Statement of Comprehensive Income.
t) comparative figures
Comparative figures are, where appropriate, reclassified to be comparable with the figures presented in the current
financial year.
3. DepARtMent of cultuRe AnD tHe ARts
The Department of Culture and the Arts provides staff and support to agencies in the Culture and Arts portfolio. The
Department receives an appropriation for salary costs, superannuation, fringe benefits tax and some capital and
project expenses. These resources, provided to the Western Australian Museum, but paid for by the Department,
have been treated as ‘Resources received free of charge’ in the Statement of Comprehensive Income.
In addition, the Department also provides shared corporate services to the Western Australian Museum that are not
recognised in the Statement of Comprehensive Income.
4. JuDGeMents MADe By MAnAGeMent in ApplyinG AccountinG policies
The preparation of financial statements requires management to make judgements about the application of
accounting policies that have a significant effect on the amounts recognised in the financial statements. The Western
Australian Museum evaluates these judgements regularly.
operating lease commitments
The Western Australian Museum has entered into commercial leases rather than finance leases for motor vehicles.
The Western Australian Museum has determined that the lessor retains substantially all the risks and rewards
incidental to ownership of the vehicles. Accordingly, these leases have been classified as operating leases.
5. DisclosuRe of cHAnGes in AccountinG policy AnD estiMAtes
initial application of an Australian Accounting standard
The Western Australian Museum has applied the following Australian Accounting Standards effective for annual
reporting periods beginning on or after 1 July 2010 that impacted on the Western Australian Museum:
2009-5 Further Amendments to Australian Accounting Standards arising from the
Annual Improvements Project [AASB 5, 8, 101 107, 117, 118, 136 & 139]
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Under amendments to AASB 117, the classification of land elements of all existing leases has
been reassessed to determine whether they are in the nature of operating or finance leases.
As leases of land and buildings recognised in the financial statements have not been found to
significantly expose the Western Australian Museum to the risks/rewards attributable to control
of land, no changes to accounting estimates have been included in the Financial Statements
and Notes to the Financial Statements.