2021 Annual Report web - Flipbook - Page 34
INC ANNUAL REPORT | 2021
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Note 1. Corporate Information
Christian Outreach Centre is incorporated under Letters Patent issued pursuant to the Religious Education and
Charitable Institutions Act 1861-1967 on 9th September, 1976. The organisation is a not for profit entity established
to pursue charitable purposes only and must apply its income in promoting those purposes.
Christian Outreach Centre has a registered trading name of International Network of Churches which is now in
common use for the organisation.
The address of the registered office of Christian Outreach Centre is:
3374 Pacific Highway,
Springwood QLD 4127
The National Executive is of the view that the Group is a going concern. The Group has a reported working capital
deficit of $10.49 million for the year ended 31 December 2020. External banking facility agreements are in place
with Westpac Banking Corporation (Westpac) to manage the Group’s cash movement needs.
Included in the working capital deficit is $2.89 million in Members' investment funds held. It is unlikely that all of
the funds would be withdrawn and not replaced in the 2020 financial year. The Group is required to maintain
sufficient margin in its multi-option credit agreement with Westpac to cover all Member investments at any given
time should the investment funds be called upon.
The working capital deficit also includes accrued long service leave entitlements of $6.2 million. In the normal
course of operations it is unlikely that this will need to be paid out in full in any one year.
Note 2. Summary of Significant Accounting Policies
(a) Basis of Preparation
The National Executive has determined that Christian Outreach Centre is not a reporting entity. The financial
report is a special purpose financial report, which has been prepared in accordance with the requirements of
the Australian Charities and Not-for-Profits Commission Act 2012 and the following Australian Accounting
AASB 10 Consolidated Financial Statements
AASB 15 Revenue from Contracts with Customers
AASB 16 Leases
AASB 101 Presentation of Financial Statements
AASB 107 Statement of Cash Flows
AASB 108 Accounting Policies, Changes in Accounting Estimates and Errors
AASB 110 Events After the End of the Reporting Period
AASB 1048 Interpretation of Standards
AASB 1054 Australian Additional Disclosure
The financial report is presented in Australian dollars and all values are rounded to the nearest thousand dollars
($000) unless otherwise stated.