RTIA Annual Report E-Book

Road Traffic Infringement Agency Annual Financial Statements for the year ended 31 March 2024 __________________________________________________________________________________________________________________________________________________________ Significant Accounting Policies - It is probable that the economic benefits or service potential associated with the transaction will flow to the RTIA, and Expenses may arise from exchange and non-exchange transactions or from individual transactions or groups of transactions.

- The amount of the revenue can be measured reliably. Interest is recognised using the effective interest rate method for financial instruments, and using the nominal interest rate method for statutory receivables. Interest levied on transactions arising from exchange or non-exchange transactions is classified based on the nature of the underlying transaction. 1.15 Financing costs Borrowing costs are interest and other expenses incurred by an entity in connection with the borrowing of funds. Borrowing costs are recognised as an expense in the period in which they are incurred. 1.16 Repairs and maintenance The GRAP standard requires that information regarding the repairs and maintenance be presented either on the face of the statement of financial performance or in the notes. Where, an entity incurs material repairs and maintenance, it may not be appropriate to present a separate line item in the statement of financial performance, thus it will be appropriate to disclose the information in the notes. 1.17 Other operating expense Expenses are decreases in the net financial position of the entity, other than decreases arising from ownership distributions.

Expenses are recognised on the accrual basis of accounting when the transactions, other events and conditions occur, not when cash is paid or received. Expenses are measured at the historical cost which measures using information derived from the price of the transaction or other event that gave rise to them. 1.18 Fruitless and wasteful expenditure Fruitless and wasteful expenditure when incurred and confirmed is recorded in the annual financial statements disclosure. This relates to fruitless and wasteful expenditure incurred in the current financial year, with a one previous financial year comparative analysis.

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Road Traffic Infringement Agency • Annual Report 2023/24