Download the 2005-06 Annual Report - Swimming Canada

Financial services
(e)
Trust funds:
Trust fund activity is recorded as a direcĐ
operations.
The Swimmer Reserve Fund is recorded at market value and the Victor Davis Memorial Fund is recorded at cost.
(f)
Donated supplies and services:
Private companies and individuals donate supplies and services throughout the year to assist the Association in carrying out its activities. The value of these supplies
and services is not readily determinable, therefore, no amount has been reflected in these financial statements.
(g)
Use of estimates:
e estimates and assump-
The preĐ
tions that affect the reported amounts of Đted
amounts of revenue and expenses Đ
become necessary, they are recorded in the financial statements in the period in which they become known.
3. Swimmer Reserve Fund:
The Swimmer Reserve Fund represents promotionalĐ
of the swimmers. The Association holds the funds on the swimmers’ behalf in accordance with the guidelines of the Canada Revenue Agency.
Swimmer Reserve Fund cash and investments are recorded at market value.
4. Victor Davis Memorial Fund:
The Victor Davis Memorial Fund was established in 1989 in memory of Victor Davis to encourage young Canadians towards excellence. Members of the Victor Davis Memorial Fund
directorate serve as the awards committee, which grants bursaries to young swimmers.
SWIMMING CANADA - ANNUAL REPORT 2005-06
The Fund balance is comprised of the following amounts:
2006 2005
Cost Market Cost Market
Cash and short-term investments $ 61,232 $ 61,812 $ 63,000 $ 63,481
Prepaid expenses 642 642 - -
Marketable securities 19,180 59,414 18,335 46,085
$ 81,054 $ 121,868 $ 81,335 $ 109,566
5. Commitments and guarantees:
(a)
Commitments:
The Association is committed to annual operating lease payments for premises and equipment. Future lease payments, including estimated municipal taxes and operating
costs over the next five years, are as follows:
2006/2007 $ 29,333
2007/2008 27,075
2008/2009 25,000
2009/2010 25,000
2010/2011 8,332
(b)
Guarantees:
$ 114,740
In the normal course of business, the Association has entered into lease agreements for premises and equipment. It is common in such commercial lease transactions for
the Association as the lessee, to agree to indemnify the lessor for liabilities that may arise from the use of the leased assets. The maximum amount potentially payable
under the foregoing indemnitieĐ
6. Related entities:
The Association controls I Can Swim Inc. and is entitled tĐ
I Can Swim Inc. have not been consolidated in these Đ
were not available during the preparation of these financial statements.
7. Fair value of financial instruments:
The carrying value of cash, short term investmenĐt
period to maturity of the instruments.
The fair value of the Swimmer Reserve Fund assets is disclosed in note 3.
The fair value of the Victor Davis Memorial Fund assets is disclosed in note 4.
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