Statement of accounts 2006-07

48GlossaryGlossary of TermsAssistance to the PublicThis heading covers activities such as involving thecommunity in police activity through various initiatives,operating Police Community Support Officers and indealing with press and public relations.BudgetA statement defining the Authority’s policy over aspecified period and expressed in financial or otherterms.Capital ExpenditureExpenditure on the acquisition, creation orenhancement of fixed assets.Capital ReceiptsMoney obtained on the sale of a capital asset. Theycan only be used for capital purposes, e.g. fundingcapital expenditure or repaying debt.Corporate Democratic Core CostsThis covers bank charges, auditors’ fees and the costof the Authority as well as the corporate activities ofHead Office departments.Credit ArrangementsAn arrangement other than borrowing where theuse of a capital asset is acquired and paid for overa period of more than one year. The main types ofcredit arrangements are leases of buildings, land andequipment.CreditorsIndividuals or organisations to which the Authorityowes money at the end of the financial year.DebtorsIndividuals or organisations that owe the Authoritymoney at the end of the financial year.Employee CostsThe salaries and wages of employees together withnational insurance, superannuation and all otherpay-related allowances. Training expenses andprofessional fees are also included.Finance LeaseA finance lease normally involves payment by a lesseeto a lessor of the full cost of the asset, together witha return on the finance provided by the lessor. Thelessee has substantially all the risks and rewardsassociated with ownership of an asset, other thanlegal title.Government GrantsPart of the cost of the service is paid for by centralgovernment from its own tax income. Grant income ispartly received through the s.102 payments made bythe GLA. In addition, the Home Office pays specificgrants direct to the Authority towards both revenueand capital expenditure.Investigating CrimeThis heading includes activities such as investigation,information gathering, analysis of crimes and criminalactivity by detectives, specialist staff and specialistunits such as marine, air and dog units.Long Term DebtorsAmounts due to the Authority where payment is to bemade by instalments over a pre-determined period oftime in excess of one year.Minimum Revenue ProvisionThe amount that the Authority is statutorily requiredto set aside from revenue each year as a provisionto meet credit liabilities. For the Authority this relatesto a principal sum calculated by reference to thecapital financing requirement, which is used for theredemption of external debt.