2021-02-09 S&O Agenda - Item 11 - Attachment 1 - Tourism Noosa Annual Report 2019-20

(e)   Impairment of Assets

      At the end of each reporting period, the entity reviews the carrying values of its tangible and
      intangible assets to determine whether there is any indication that those assets have been
      impaired. If such an indication exists, the recoverable amount of the asset, being the higher of
      the asset's fair value less costs to sell and value in use, is compared to the asset's carrying value.
      Any excess of the asset's carrying value over its recoverable amount is recognised in profit or
      loss.


      Where the future economic benefits of the asset are not primarily dependent upon the asset’s
      ability to generate net cash inflows and when the entity would, if deprived of the asset, replace
      its remaining future economic benefits, value in use is determined as the depreciated
      replacement cost of an asset.

      Where it is not possible to estimate the recoverable amount of an individual asset, the entity
      estimates the recoverable amount of the cash-generating unit to which the asset belongs.


      Where an impairment loss on a revalued asset is identified, this is recognised against the
      revaluation surplus in respect of the same class of asset to the extent that the impairment loss
      does not exceed the amount in the revaluation surplus for that class of asset.

(f)   Employee Provisions

      Provision is made for the company’s liability for employee benefits arising from services
      rendered by employees to the end of the reporting period. Employee provisions that are
      expected to be settled within one year have been measured at the amounts expected to be
      paid when the liability is settled. Employee provisions payable later than one year have been
      measured at the present value of the estimated future cash outflows to be made for those
      benefits.

      Contributions are made by the entity to an employee superannuation fund and are charged
      as expenses when incurred.
(g)   Cash on Hand
      Cash on hand includes cash on hand, deposits held at-call with banks, other short-term highly
      liquid investments with original maturities of three months or less, and bank overdrafts. Bank
      overdrafts are shown within short-term borrowings in current liabilities on the statement of
      financial position.

(h)   Accounts receivable and other debtors

      Accounts receivable and other debtors include amounts due from members as well as amounts
      receivable from customers for goods sold in the ordinary course of business. Receivables
      expected to be collected within 12 months of the end of the reporting period are classified as
      current assets. All other receivables are classified as non-current assets.


      Accounts receivable are initially recognised at fair value and subsequently measured at
      amortised cost using the effective interest rate method, less any provision for impairment. Refer
      to Note 1(e) for further discussion on the determination of impairment losses.