Entire Document - Chris Hani District Municipality

4.1 Audited Financial statements 2011-12CHRIS HANI DISTRICT MUNICIPALITYANNUAL FINANCIAL STATEMENTSfor the year ended 30 June 2012REPORT OF THE CHIEF FINANCIAL OFFICER1. INTRODUCTIONCHRIS HANI DISTRICT MUNICIPALITY ANNUAL REPORT 2011 / 2012It gives me great pleasure to present the financial position of Chris HaniDistrict Municipality at 30 June 2012 and the results of its operations andcash flows for the year then ended.These Annual Financial Statements have been prepared in accordance with GenerallyRecognised Accounting Practice (GRAP), issued by the Accounting Standards Board(ASB) in accordance with Section 122(3) of the Municipal Finance ManagementAct, (Act No 56 of 2003). The standards and pronouncements that form the GRAPReporting Framework for the 2010/11 financial period is set out in Directive 4 andDirective 5 issued by the ASB on 11 March 2009.The Statement of Financial Position at 30 June 2012 indicates an increase in NetAssets and in Non-current Liabilities, and an decrease in Current Liabilities.The increase in Net Assets is ascribed primarily to the increase in AccumulatedSurplus as a result of identifying, componentising and measuring immovable assets.The decrease in Non-current Liabilities is primarily as a result of the repayment ofLong-term Loans. The increase in Current Liabilities is ascribed primarily to anincrease in Unspent Conditional Grants92