Internet Society of Australia
A Chapter of the Internet Society
ACN 076 406 801
Contents Page
Directors Report 2
Profit and Loss Statement 3
Balance Sheet 4
Statement of Cash Flows 5
Notes to the Accounts 6
Statement by Directors 10
Independent Audit Report 11
INTERNET SOCIETY OF AUSTRALIA
DIRECTORS' REPORT
Your Directors submit the following report for the period ended 30 June 1998
DIRECTORS
The names of the directors of the company at the date of this report are:
Mr Adam Burns Mr Leni Mayo
Mr Omar von Eichel Mr George Michaelson
Mr George Fong Mr Michael Paddon
Mr Simon Hackett Mr Richard Shepherd
Mr Geoff Huston Ms Pauline van Winsen
Dr Kate Lance Mr Greg Watson
PRINCIPAL ACTIVITIES
The principal activity of the company was to act as a representative
body for its members on Internet issues.
OPERATING RESULTS
The operating loss of the company for the period amounted to $2,869. No
income tax is payable as the company is exempt under section 23(h) of
the Income Tax Assessment Act 1936.
SIGNIFICANT EVENTS AFTER BALANCE DATE
There are no events which have occurred subsequent to balance date that
require disclosure.
DIRECTORS' BENEFITS
During or since the financial year no director of the company has
received or become entitled to receive a benefit, other than a benefit
included in the aggregate amount of emoluments received or due and
receivable by the directors shown in the accounts, by reason of a
contract entered into by the company or an entity that the company
controlled or a body corporate that was related to the company when the
contract was made or when the director received, or became entitled to
receive, the benefit with:
o a director, or
o a firm of which a director is a member, or
an entity in which a director has a substantial financial interest.
Signed in accordance with the resolution of the directors.
Mr Greg Watson Dr Kate Lance
Director Director
Melbourne, 25 November 1998
INTERNET SOCIETY OF AUSTRALIA
PROFIT AND LOSS STATEMENT
YEAR ENDED 30 JUNE 1998
Notes 1998 1997
$ $
OPERATING REVENUE 2 17,119 22,785
OPERATING PROFIT / (LOSS)
BEFORE INCOME TAX (2,869) 6,015
INCOME TAX ATTRIBUTABLE TO
OPERATING PROFIT 1(e) - -
OPERATING PROFIT AFTER
INCOME TAX (2,869) 6,015
RETAINED PROFITS at the
beginning of the financial period 6,015 -
RETAINED PROFITS at the end of
the financial period 3,146 6,015
INTERNET SOCIETY OF AUSTRALIA
BALANCE SHEET
AT 30 JUNE 1998
Notes 1998 1997
$ $
CURRENT ASSETS
Cash on hand 15,026 7,340
TOTAL CURRENT ASSETS 15,026 7,340
TOTAL ASSETS 15,026 7,340
CURRENT LIABILITIES
Accounts payable 3 11,880 1,325
TOTAL CURRENT LIABILITIES 11,880 1,325
TOTAL LIABILITIES 11,880 1,325
NET ASSETS 3,146 6,015
SHAREHOLDERS' EQUITY
- Issued Capital 4 - -
- Retained profits 3,146 6,015
TOTAL SHAREHOLDERS' EQUITY 3,146 6,015
INTERNET SOCIETY OF AUSTRALIA
STATEMENT OF CASH FLOWS
YEAR ENDED 30 JUNE 1998
Notes 1998 1997
$ $
CASH FLOWS FROM OPERATING
ACTIVITIES
Receipts from members 10,400 22,785
Donations received 6,711 -
Interest received 8 -
Payments to suppliers (8,928) (15,950)
NET CASH FLOWS FROM OPERATING
ACTIVITIES 8(a) 8,191 6,835
CASH FLOWS FROM FINANCING
ACTIVITIES
Advance received - 505
Advance paid (505) -
NET CASH FLOWS FROM FINANCING
ACTIVITIES (505) 505
NET INCREASE IN CASH HELD 7,686 7,340
Add opening cash brought forward 7,340 -
CLOSING CASH CARRIED FORWARD 15,026 7,340
INTERNET SOCIETY OF AUSTRALIA
NOTES TO AND FORMING PART OF THE ACCOUNTS
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(a) Basis of Accounting
The financial report is a general purpose financial report which has
been prepared in accordance with the requirements of the Corporations
Law which includes applicable Accounting Standards. Other mandatory
professional reporting requirements (Urgent Issues Group Consensus
Views) have also been complied with.
(b) Reporting Period
The Internet Society of Australia was incorporated on 15 November
1996. The financial statements represent the operating results for the
year ended 30 June 1998. This is the first full year of operations.
1997 comparatives shown relate to the seven (7) months trading period,
15 November 1997 to 30 June 1997.
(c) Cash
For the purposes of the statement of cash flows, cash includes cash on
hand and in banks, and money market investments readily convertible to
cash within 2 working days, net of outstanding bank overdrafts.
(d) Revenue Recognition
Revenue from membership fees are bought to account when cash and
applications are received.
(e) Income Tax
The company is not liable for payment of income tax under section 23(h)
of the Income Tax Assessment Act 1936 as amended.
(f) Going Concern
The 30 June 1998 financial statements have been prepared on a going
concern basis because the Internet Society of Australia has received
$45,000 worth of sponsorship pledges for the financial year ending 30
June 1999.
INTERNET SOCIETY OF AUSTRALIA
NOTES TO AND FORMING PART OF THE ACCOUNTS
2. OPERATING PROFIT
1998 1997
$ $
The operating profit before income
tax is arrived at after charging/
(crediting) the following items:
Banking fees and charges 301 688
Secretariat 7,728 820
ISOC International fees 10,737 13,152
Included in the operating profit are
the following items of operating revenue:
Member fees revenue 10,400 22,785
Donations 6,711 -
Interest Revenue 8 -
17,119 22,785
3. ACCOUNTS PAYABLE
1998 1997
$ $
Trade creditors 1,144 820
Advance payable - 505
ISOC International Fees 10,730 -
11,880 1,325
4. SHARE CAPITAL
The company is a public company limited by
guarantee and not having a share capital.
INTERNET SOCIETY OF AUSTRALIA
NOTES TO AND FORMING PART OF THE ACCOUNTS
5. REMUNERATION OF DIRECTORS
1998 1997
$ $
(a) Directors' remuneration
Income paid or payable, or otherwise
made available, in respect of the
period, to all directors of Internet
Society of Australia, directly or
indirectly, from the entity or any
related party: nil nil
The number of directors of Internet
Society of Australia whose income
(including superannuation
contributions) falls within the
following bands is:
$0 - $9,999 18 3
6. AUDITORS' REMUNERATION
No amounts are receivable or due and receivable by the auditors
from the entity for auditing accounts or other services.
INTERNET SOCIETY OF AUSTRALIA
NOTES TO AND FORMING PART OF THE ACCOUNTS
7. RELATED PARTY DISCLOSURES
(a) The directors of the Internet Society of Australia during the
financial year were:
Mr Adam Burns
Mr Omar von Eichel
Mr George Fong
Mr Simon Hackett
Mr Geoff Huston
Dr Kate Lance
Mr Leni Mayo
Mr George Michaelson
Mr Michael Paddon
Mr Richard Shepherd
Ms Pauline van Winsen
Mr Greg Watson
Karl Auer (resigned November 1997)
Tony Barry (resigned November 1997)
Peter Elford (resigned November 1997)
Hugh Irvine (resigned November 1997)
Bob Kummerfield (resigned November 1997)
David Purdue (resigned November 1997)
8. STATEMENT OF CASH FLOWS
1998 1997
$ $
a) Reconciliation of the operating
profit / (loss) after tax to the net
cash flows from operations
Operating profit after tax (2,869) 6,015
Changes in assets and liabilities
Trade creditors 11,060 820
Net cash flow from operating activities 8,191 6,835
INTERNET SOCIETY OF AUSTRALIA
STATEMENT BY DIRECTORS
In accordance with a resolution of the directors of the Internet
Society of Australia we state that:
1. In the opinion of the directors:
a) the profit and loss account is drawn up so as to give a true and
fair view of the profit of the company for the period to 30 June 1998;
b) the balance sheet is drawn up so as to give a true and fair view of
the state of affairs of the company as at 30 June 1998; and
c) at the date of this statement there are reasonable grounds to
believe that the company will be able to pay its debts as and when they
fall due.
On behalf of the Board
Greg Watson
Director
Dr Kate Lance
Director
Melbourne, 25 November 1998
INDEPENDENT AUDIT REPORT
To the members of the Internet Society of Australia
Scope
We have audited the financial statements of Internet Society of
Australia for the period ended 30 June 1998, as set out on pages 3 to
10, including the Statement by Directors. The company's directors are
responsible for the preparation and presentation of the financial
statements and the information they contain. We have conducted an
independent audit of these financial statements in order to express an
opinion on them to the members of the company.
Our audit has been conducted in accordance with Australian Auditing
Standards to provide reasonable assurance whether the financial
statements are free of material misstatement. Our procedures included
examination on a test basis, of evidence supporting the amounts and
other disclosures in the financial statements, and the evaluation of
accounting policies and significant accounting estimates. These
procedures have been undertaken to form an opinion whether, in all
material respects, the financial statements are presented fairly in
accordance with Accounting Standards, other mandatory professional
reporting requirements, and statutory requirements so as to present a
view which is consistent with our understanding of the companys
financial position, the results of its operations and its cash flows.
The audit opinion expressed in this report has been formed on the above
basis.
Audit Opinion
In our opinion, the financial statements of the Internet Society of
Australia are properly drawn up:
a) so as to give a true and fair view of:
(i) the state of affairs as at 30 June 1998 and the profit and cash
flows for the period ended on that date of the company; and
(ii)the other matters required by Divisions 4, 4A and 4B of Part
3.6 of the Corporations Law to be dealt with in the financial
statements;
(b) in accordance with the provisions of the Corporations Law; and
(c) in accordance with applicable Accounting Standards and other
mandatory professional reporting requirements.
Ernst & Young RJ Walsh
Partner
Melbourne
Date: 25 November 1998