Untitled - Annual Report 2004 - The University of Western Australia

THE UNIVERSITY OF WESTERN AUSTRALIANotes to the Financial Statementsfor the year ended 31 December 20041. Statement of Accounting Policies (continued)(v)Employee benefitsVariation in measurement, recognition and disclosures of defined benefit plans while significant is anticipated to have alimited impact on the financial statements of the University due to the limited information available on the multi-employersuperannuation plans administered by UniSuper Ltd and the relatively small size of the University plans. Changes in themeasurement of the liability and disclosures is anticipated.(vi)Financial InstrumentsClassification of financial instruments is required to be undertaken to determine the relevant measurement andrecognition under IFRS. As the University currently records the majority of investment assets (excluding land andbuildings) at market value at each reporting date, changes in measurement and recognition requirements areanticipated to have limited impact on the financial statements of the University.(vii)Internally developed softwareInternally developed software is recorded as property, plant and equipment under current GAAP. Under IFRS, the assetclass is reclassified as intangible assets, and consequently is subject to changes in measurement, recognition anddisclosure requirements.(viii)Business combinationsThe IFRS measurement requirements in relation to controlled entities and the recognition of goodwill requires thereversal of accumulated amortisation of purchased goodwill and a review for impairment losses in relation to thegoodwill. An impairment loss has been brought to account for all purchased goodwill at the transition date.(ix)Retrospective adjustmentsCurrently the identification of prior year errors are brought to account in the reporting period in which the error isidentified. Changes in recognition requirements under IFRS results in the recognition of prior year error retrospectivelyresulting in either amendment to comparative reports at the transition date or potentially to comparative information infuture reporting periods.(y)Financial DisclosuresThe 2003 comparative figures have been amended for any material changes in classifications and presentation structure.DEST requirements for 2004 have resulted in additional disclosure within the Statement of Financial Performance andStatement of Cash Flows and comparative disclosure has been adjusted accordingly. During 2004, some endowment landsproperty previously recorded within Property, Plant and Equipment has been transferred to the investment category in theStatement of Financial Position.54