Annual Financial Statements for the year ended 30 June 2021 0 - Book - Page 160
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SASOL LIMITED COMPANY
Notes to the financial statements continued
23 Financial risk management and financial instruments continued
Cash flow sensitivity for variable rate instruments
Financial liabilities affected by interest rate risk include borrowings and deposits. A change of 1% in the prevailing interest rate in
that region at the reporting date would have increased/(decreased) earnings by the amounts shown below before the effect of tax.
The sensitivity analysis has been prepared on the basis that all other variables, in particular foreign currency exchange rates, remain
constant and has been performed on the same basis for 2020.
Income
statement –
1% increase
South Africa
Rm
30 June 2021
93
30 June 2020
144
A 1% decrease in the interest rate at 30 June would have the equal but opposite effect for rand exposure.
24 Statement of compliance
The financial statements are prepared in compliance with International Financial Reporting Standards (IFRS) and Interpretations of
those standards, as issued by the International Accounting Standards Board, the SAICA Financial Reporting Guides as issued by the
Accounting Practices Committee and Financial Reporting Pronouncements as issued by Financial Reporting Standards Council and
the South African Companies Act, 2008. The financial statements were approved for issue by the Board of Directors on
16 August 2021.
25 Basis of preparation of financial results
The financial statements are prepared using the historic cost convention except that, as set out in the notes above, certain items,
including derivative instruments, liabilities for cash-settled share-based payment schemes, financial assets at fair value through
profit or loss and investment in security, are stated at fair value.
The financial statements are prepared on the going concern basis, refer note 2 in the Group financial statements.
Except as otherwise disclosed, these accounting policies are consistent with those applied in previous years.
26 Going concern
Refer to note 2 in the Group annual financial statements.
27 Subsequent events
Refer to note 39 in the Group annual financial statements.
28 Other
For further information regarding the remuneration of directors and key management personnel, refer to the audited Report of the
Remuneration Committee on pages 37 to 46.
For information on major shareholders, refer to page 19.
Information on contingencies is contained in Note 37 of the consolidated Annual Financial Statements.
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Sasol Annual Financial Statements 2021