Annual Report - QPAC

QUEENSLAND PERFORMING ARTS TRUST
Note 23
Financial Instruments (cont’d)
(c)
Credit Risk
The maximum exposure to credit risk at balance date in relation to each class of recognised financial asset is
represented by the carrying amount of those assets inclusive of any provisions for impairment. There are no
concentrations of credit risk as the Trust has a large number of customers. The Trust’s policy is that sales are
only made to customers that are credit worthy.
The maximum exposure to credit 2009 2008
risk at balance date is as follows : $’000 $’000
(d)
Financial Assets
Cash on hand and at bank 874 245
Short term securities 4,459 9,057
Receivables 6,101 4,264
11,434 13,566
Liquidity Risk
The Trust is exposed to liquidity risk through its trading in the normal course of business.
The Trust manages liquidity risk through use of the Financial Reserves Policy. This policy aims to reduce
exposure to liquidity risk by ensuring the Trust has sufficient funds available to meet employee and supplier
obligations as they fall due. This is achieved by ensuring that minimum levels of cash are held within the various
bank accounts so as to match the expected duration of the various employee and supplier liabilities.
Maturity Analysis
Less than 1 1 - 3 3 months Greater Carrying
month months to 1 year than 1 year Amount
2009 2009 2009 2009 2009
$’000 $’000 $’000 $’000 $’000
Financial Assets
Cash on hand and at bank 874 – – – 874
Short term securities 4,459 – – – 4,459
Receivables 5,601 250 250 – 6,101
Financial Liabilities
Payables 3,477 – – – 3,477
2008 2008 2008 2008 2008
$’000 $’000 $’000 $’000 $’000
Financial Assets
Cash on hand and at bank 245 – – – 245
Short term securities 9,057 – – – 9,057
Receivables 3,714 550 – – 4,264
Financial Liabilities
Payables 2,742 – – – 2,742
Notes to the Financial Report for the year ended 30 June 2009
62