OTAGO MUSEUM

OTAGO MUSEUM TRUST BOARD
NOTES TO THE FINANCIAL STATEMENTS (Cont.)
For the Financial Year Ended 30 June, 2015
21. NOTES TO THE CASH FLOW STATEMENT
(a)
Reconciliation of Cash and Cash Equivalents
For the purposes of the cash flow statement, cash and cash equivalents includes cash on hand, deposits held on call with banks
and other short-term highly liquid investments with original maturities of three months or less. Cash and cash equivalents at
the end of the financial year as shown in the Cash Flow Statement is reconciled to the related items in the Statement of
Financial Position as follows:
2015 2014
$ $
Cash & Cash Equivalents 7,851,724 8,132,205
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$7,851,724 $8,132,205
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22. FINANCIAL INSTRUMENTS
(a)
Capital Risk Management
The Otago Museum Trust Board Act 1996 (the Act) requires the Museum to manage and account for its revenue, expenses,
assets, liabilities, investments and financial dealings generally and in accordance with the relevant financial management
principles of the Local Government Act 2002 and Generally Accepted Accounting Practice. Museum Capital is largely
managed as a by-product of managing revenues, expenses, assets, liabilities, investments and general financial dealings.
The Museum has the following reserves:
Restricted Reserves (Trust Funds); and
Museum Reserves (Special Funds).
Interest and realised gains or losses on the sale of shares are recognised through the Statement of Financial Performance.
They accordingly form part of the surplus or deficit transferred to Museum Capital. Investment revenue is then allocated to the
Reserves on a pro-rata basis. Subsequent use of these funds may be restricted by Trust Deed or established policy.
Following the change in leadership and an extensive consultation process with stakeholders, both internal and external, the
Otago Museum Trust Board has adopted a new strategic direction. This strategy has four main focuses.
A World-class Collection: aiming to share the collection as much as possible; develop the collection where
appropriate; care for the collection; and research and interpret the collection.
Engaging our Community: aiming to be a valuable part of the community; partner, support and engagement with
communities throughout Otago; encourage interaction on-site, off-site and online; and inspire passion for learning.
Business Sustainability: aiming to diversify the organisation’s funding base; develop new and existing income
steams; deliver value for money; maximise income from commercial activities; and have the highest standards of
commercial accountability.
An Outward-looking and Inclusive Culture: aiming to be driven by the needs of those the organisation serves;
building and sustaining a culture of collaboration and partnership; and supporting vision and mission.
(b)
Significant Accounting Policies
Details of the significant accounting policies and methods adopted, including the criteria for recognition, and the basis of
measurement applied in respect of each class of financial asset, financial liability and equity instrument are disclosed in Note
1 to the financial statements.
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