anrep0607 - Health Systems Trust

2007 2006
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15. Capital commitments
Capital expenditure contracted for at balance sheet date but not recognised in the financial statements is as
follows:
Property, plant and equipment - 2,300,000
16. Change in accounting policy
In previous years income from donations and grants were included in income resources when such donations
and grants were received. In the current year the accounting policy has changed to record income to
compensate for the related costs as they are incurred. Where the related costs have been deferred to future
accounting periods, the income has also been deferred. This adjustment has been accounted for in terms of IAS
8 with restatement of prior year figures where necessary.
The above adjustment, when applied retrospectively, has the following effect on opening retained earnings:
Decrease in grant income (5,682,084) -
Decrease in deferred tax - -
Decrease in opening retained earnings (5,682,084) -
The above adjustment has had the following effect on the
net profit for the year:
Decrease in grant income - (5,682,084)
Decrease in income tax expense - -
Decrease in net profit for the year - (5,682,084)
HEALTH SYSTEMS TRUST 53 ANNUAL REPORT 2006/07