Annual Report 2021-22

Noosa Council
Notes to the Financial Statements
for the year ended 30 June 2022

Note 27. Reconciliation of Net Result for the year to Net Cash Inflow/(Outflow) from
         Operating Activities
§Note/Subtotal§
§Subnote§




$ '000                                                                                                  2022                2021

Net Operating Result from Income Statement                                                           17,960              13,466

Non-Cash Items
Depreciation and Amortisation                                                                         17,929              17,082
Non-cash Capital Contributions                                                                         (699)              (1,730)
                                                                                                     17,230              15,352
Losses/(Gains) recognised on fair value re-measurements through the Income
Statement
Investment Properties                                                                                   (400)                100
Movement in Restoration Provisions                                                                      8,016              1,236
                                                                                                       7,616               1,336
Investing and Development Activities
Net (Profit)/Loss on Disposal of Assets                                                                 2,645               4,700
Capital Grants and Contributions                                                                     (14,745)            (11,447)
Share of Net (Profits)/Losses of Associates                                                           (6,508)             (5,556)
Impairment of Receivables and Bad Debts Written Off                                                         7                  (8)
Interest Expense capitalised in QTC loans                                                                 527               3,458
                                                                                                    (18,074)             (8,853)
Changes in Operating Assets and Liabilities:
(Increase)/Decrease in Receivables                                                                     (970)               (365)
Increase/(Decrease) in Provision for Doubtful Debts                                                        –                  (6)
(Increase)/Decrease in Inventories                                                                         1                  37
(Increase)/Decrease in Contract Assets                                                                   487                    –
(Increase)/Decrease in Other Assets                                                                    1,717               1,497
Increase/(Decrease) in Payables                                                                        8,671                 554
Increase/(Decrease) in Contract Liabilities                                                            (547)                 118
Increase/(Decrease) in Employee Leave Entitlements                                                     (282)                 328
Increase/(Decrease) in Other Liabilities                                                              12,385               (163)
                                                                                                     21,462                2,000

Net Cash provided from/(used in) Operating Activities from the
Statement of Cash Flows                                                                              46,194              23,301


Note 28. Changes in Accounting Policy
§Note§




Software as a Service (SaaS) Arrangements
§Subnote§
§Total§




In April 2021, the International Financial Reporting Interpretations Committee (IFRIC), published an agenda decision clarifying
how the configuration and customisation costs incurred in implementing Software as a Service (SaaS) should be accounted for.

SaaS arrangements are service contracts providing the customer with the right to access the provider’s application software
over the contract period. Costs incurred to configure or customise software in a cloud computing arrangement, can be
recognised as intangible assets only if the activities create an intangible asset that the entity controls and the intangible asset
meets the recognition criteria.

Some of these costs incurred are for the development of software code that enhances or modifies, or creates additional
capability to, existing on-premises systems and meets the definition of and recognition criteria for an intangible asset. These
costs are recognised as intangible software assets and amortised over the useful life of the software on a straight-line basis.



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