CAV Annual Report 2021

CENTURION AEROSPACE VILLAGE NPC Registration Number: 2000/006996/08 ANNUAL FINANCIAL STATEMENT FOR THE YEAR ENDED 31 MARCH 2021

NOTES TO THE ANNUAL FINANCIAL STATEMENTS

2021

2020

R

R

The objective of the Company’s liquidity and funding management is to ensure that all foreseeable operational, capital expansion and loan commitment expenditure can be met under both normal and stressed conditions. The company has adopted an overall statement of financial position approach, which consolidates all sources and uses of liquidity, while aiming to maintain a balance between liquidity, profitability and interest rate considerations. The company’s risk to liquidity is a result of the funds available to cover future commitments. The company manages liquidity risk through an on-going review of future commitments and credit facilities. Cash flow forecasts are prepared and adequate utilised borrowing facilities are monitored. Contractual undiscounted cash flows At 31 March 2021 0-1 year 1-5 years 5 years +

Carrying amount

Total cash flows

Trade and other payables

994 674 994 674

994 674 994 674

994 674 994 674

Total

-

-

Contractual undiscounted cash flows

At 31 March 2020

Carrying amount

Total cash flows

0-1 year

1-5 years

5 years +

Trade and other payables

510 333 510 333

510 333 510 333

510 333 510 333

Total

-

-

Credit risk Credit risk is the risk of financial loss to the company should any of the customers or counterparties (including government) to a financial instrument fail to meet their contractual obligations. This risk arises principally from the entity’s receivables from customers (loans receivable, trade and sundry receivables) The company only deposits its cash surpluses with major banks with high credit standing and limits exposure to any one counter party. The Board of Directors has an established policy for the management of credit risk arising on receivables from customers. Under this policy the creditworthiness of potential and existing customers is assessed prior to contractingwith new or existing customers. On-going credit evaluation of the company is performed.The granting of credit is approved by the directors. At year end, the company did not consider there to be any significant concentration of credit risk which has not been adequately provided for. Credit exposure and concentration of credit risk The carrying amount of financial assets represents the maximum credit exposure at the reporting date. Financial assets by category The accounting policies for financial instruments have been applied to the line items below:

CENTURION AEROSPACE VILLAGE NPC I ANNUAL REPORT I 2020/21

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