Annual Report 2011 - The Malaysian Institute Of Certified Public ...

More documents

Recommendations

Info

President’s Statement Financial Statement109(iii) Market riskMarket risk is the risk that the value of the financial instruments will fluctuate due to changes inmarket prices.The Institute’s main market risk exposure are currency and interest rate fluctuations and whichare discussed under the respective risk headings.Interest rate riskThe Institute ensures that it places fixed deposits at competitive rates under the most favourableterms and conditions.The Institute is also exposed to interest rate risk in respect of its fixed deposits with licensedbanks. As these fixed deposits are subject to fixed rate and not accounted for at fair value throughprofit or loss, a change in the market interest rates would not affect the financial result for the yearand the fund of the Institute.Currency riskThe currency risk relates to transactions denominated in foreign currencies.The Institute is exposed to currency risk mainly due to payments made in foreign currency thatare denominated in currency other than Ringgit Malaysia. The currency giving rise to this riskis Australian Dollar (“AUD”). The Institute’s foreign currency exposure profile on payables isdisclosed in Note 10.The Institute minimises the exposure to foreign exchange risk by monitoring the movement inthe exchange rates with a view to ensuring that the most competitive rates are secured, whereappropriate.The Institute does not hedge nor speculate in foreign currency derivatives.Currency risk sensitivity analysisA 10 percent strenghtening or weakening of AUD against RM at the end of the reporting periodwould have decreased / increased the Institute’s net operating surplus for the financial year byRM17,123 (2010 : RM2,623).(c)Fair value of financial instrumentsThe carrying amount of the financial assets and financial liabilities of the Institute at the end of thefinancial year approximated their fair values due to their short term to maturity.
110Financial StatementPresident’s Statement20. CAPITAL MANAGEMENTThe objectives of the Institute in managing capital are:• to safeguard the Institute’s ability to continue as a going concern to enable its statutory obligations under theCompanies Act, 1965 is fulfilled;• to develop and maintain the qualification programme and continuing professional development programme forstudents and members; and• to provide capital for the purpose of strengthening the Institute’s operational efficiency.The Institute regularly reviews and manages its capital to ensure adequacy for both operational and capitalneeds. All surpluses are transferred to the accumulated fund for future operational needs.For the purpose of capital disclosure, the Council regards the accumulated fund as capital of the Institute.
Page 1 and 2:
PROGRESS THROUGH PARTNERSHIPSAnnual
Page 3 and 4:
02notice of 54th AGMnotice of annua
Page 5 and 6:
04objects, vision and missionobject
Page 7 and 8:
06MICPA Council 2011 / 2012MICPA Co
Page 9 and 10:
08committees 2011 / 2012Co-opted Me
Page 11 and 12:
10committees 2011 / 2012Disciplinar
Page 13 and 14:
12committees 2011 / 2012Financial S
Page 15 and 16:
14committees 2011 / 2012Membership
Page 17 and 18:
16committees 2011 / 2012Tax Practic
Page 19 and 20:
18President’s StatementTalent is
Page 21 and 22:
20President’s StatementfinanceThe
Page 23 and 24:
22President’s Statement39%CPA Mem
Page 25 and 26:
24President’s Statementprovisiona
Page 27 and 28:
26President’s Statementadvocating
Page 29 and 30:
28President’s Statementtechnical
Page 31 and 32:
30President’s StatementThe MFRS F
Page 33 and 34:
32President’s StatementSSM had es
Page 35 and 36:
34President’s Statementcommunicat
Page 37 and 38:
36President’s StatementPresentati
Page 39 and 40:
38President’s Statementinvestigat
Page 41 and 42:
40President’s Statementsecretaria
Page 43 and 44:
42Technical PronouncementsPresident
Page 45 and 46:
Page 47 and 48:
Page 49 and 50:
Page 51 and 52:
Page 53 and 54:
Page 55 and 56:
Page 57 and 58:
Page 59 and 60: 58Technical PronouncementsPresident
Page 71 and 72: 70Financial StatementPresident’s
Page 109: 108Financial StatementPresident’s
Page 115 and 116: 114Penyata KewanganPresident’s St
show all

Annual Report 2011 - The Malaysian Institute Of Certified Public ...

Create successful ePaper yourself

Delete template?

Save as template?