2005/2006 - SANParks

ANNUAL FINANCIAL STATEMENTSfor the year ended 31 March 20062006South African National ParksSales- Sales are recognised upon delivery of the products and customeracceptance.Concession income- Income from concessions granted to operators to build, operateand transfer lodges and from rental of facilities to operators isrecognised as it accrues over the period of the agreement.Management fees- Management fees for managing special projects are recognised ona monthly basis, based on the services performed.Government grants- Government grants are recognised in surplus or defi cit on a systematicbasis over the periods necessary to match them with the relatedcosts. When they are for expenses or losses already incurred, theyare recognised in surplus or defi cit immediately.- Government grants related to the acquisition of assets, excludingland, are disclosed as deferred income and amortised as a creditto the depreciation expense over the useful lives of the respectiveassets.Donations and special grant funding- Donations received for the acquisition of land are recognised insurplus and defi cit when received, unless the conditions associatedwith the donations have not yet been met. The unrecognised portionat year end date is presented as deferred income. Ad-hoc donationsare recognised in surplus and defi cit when received.- Funding by way of special project grants are disclosed under currentliabilities and recognised as income to the extent of expenditure- Special grant funding utilised for the acquisition of assets, excludingland, are disclosed as deferred income and amortised as a creditto the depreciation expense over the useful lives of the respectiveassets.Interest- Interest is recognised as it accrues unless the collectability is indoubt.Rent received- Rent received is accrued on a daily basis in accordance with thesubstance of the relevant agreements.107