Section 2 - Sugar Research and Development Corporation

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Sugar Research and Development Corporation
NOTES OF THE FINANCIAL STATEMENTS
Note 1: Summary of Signifi cant Accounting Policies
1. Objectives of Sugar Research and Development Corporation
The Corporation is an Australian Government controlled entity. The objective of Sugar Research
and Development Corporation (the Corporation) is to foster an innovative and sustainable
Australian sugar industry through targeted investment in research and development.
The Corporation’s corporate outcomes expresses the overall goal of profi table and internationally
competitive and sustainable Australian sugar industry providing economic, environmental and
social benefi ts for rural and regional communities through targeted investment in research and
development.
The continued existence of the Corporation in its present form and with its present programs is
dependent on Government policy and on continuing funding by Parliament for the Corporation’s
administration and programs.
1.2 Basis of Preparation of the Financial Statements
The fi nancial statements and notes are required by clause 1(b) of Schedule 1 of the Commonwealth
Authorities and Companies Act 1997 and are general purpose fi nancial statements.
The fi nancial statements have been prepared in accordance with:
a) Finance Minister’s Orders (FMOs) for reporting periods ending on or after 1 July 2010; and
b Australian Accounting Standards and Interpretations issued by the Australian Accounting
Standards Board (AASB) that apply for the reporting period.
The fi nancial statements have been prepared on an accrual basis and in accordance with the
historical cost convention, except for certain assets and liabilities at fair value. Except where stated,
no allowance is made for the effect of changing prices on the results or the fi nancial position.
The fi nancial statements are presented in Australian dollars and values are rounded to the nearest
thousand dollars unless otherwise specifi ed.
Unless an alternative treatment is specifi cally required by an accounting standard or the FMOs,
assets and liabilities are recognised in the balance sheet when and only when it is probable that
future economic benefi ts will fl ow to the Corporation or a future sacrifi ce of economic benefi ts will
be required and the amounts of the assets or liabilities can be reliably measured. However, assets
and liabilities arising under executor contracts are not recognised unless required by an accounting
standard. Liabilities and assets that are unrecognised are reported in the schedule of commitments
or the schedule of contingencies.
Unless alternative treatment is specifi cally required by an accounting standard, income and
expenses are recognised in the Statement of Comprehensive Income when and only when the fl ow,
consumption or loss of economic benefi ts has occurred and can be reliably measured.
SRDC Annual Report 2010–2011