Berry Street Web Docs Financial Report 2009 | Page 31

BERRY STREET VICTORIA INC.
ABN 24 719 196 762

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2009

Note 23: NEW ACCOUNTING STANDARDS FOR APPLICATION IN FUTURE PERIODS
The AASB has issued new, revised and amended Standards and Interpretations that have mandatory
application dates for future reporting periods and which the association has decided not to early adopt. A
discussion of those future requirements and their impact on the association is as follows:
AASB 3: Business Combinations, AASB 127: Consolidated and Separate Financial Statements,
AASB 2008–3:
Amendments to Australian Accounting Standards arising from AASB 3 and AASB 127 [AASB Standards 1,
2, 4, 5, 7, 101, 107, 112, 114, 116, 121, 128, 131, 132, 133, 134, 136, 137, 138 and 139 and Interpretations
9 and 107] (applicable for annual reporting periods commencing from 1 July 2009) and AASB 2008–7:
Amendments to Australian Accounting Standards — Cost of an Investment in a Subsidiary, Jointly
Controlled Entity or Associate [AASB 1, AASB 118, AASB 121, AASB 127 and AASB 136] (applicable for
annual reporting periods commencing from 1 January 2009).
These Standards are applicable prospectively and so will only affect relevant transactions and
consolidations occurring from the date of application. Neither of these Standards are currently applicable to
the association.
AASB 8: Operating Segments and AASB 2007–3:
Amendments to Australian Accounting Standards arising from AASB 8 [AASB 5, AASB 6, AASB 102, AASB
107, AASB 119, AASB 127, AASB 134, AASB 136, AASB 1023 and AASB 1038] (applicable for annual
reporting periods commencing from 1 January 2009).
This Standard replaces AASB 114 and requires identification of operating segments on the basis of internal
reports that are regularly reviewed by the group’s board for the purposes of decision making. Whilst the
impact of this Standard cannot be assessed at this stage, there is the potential for more segments to be
identified. Given the lower economic level at which segments may be defined, and the fact that cash
generating units cannot be bigger than operating segments, impairment calculations may be affected.
Management presently do not believe impairment will result however.
AASB 101: Presentation of Financial Statements, AASB 2007–8:
Amendments to Australian Accounting Standards arising from AASB 101, and AASB 2007–10: Further
Amendments to Australian Accounting Standards arising from AASB 101 (all applicable to annual reporting
periods commencing from 1 January 2009).
The revised AASB 101 and amendments supersede the previous AASB 101 and redefine the composition
of financial statements including the inclusion of a statement of comprehensive income. There will be no
measurement or recognition impact on the association. If an entity has made a prior period adjustment or
reclassification, a third balance sheet as at the beginning of the comparative period will be required.
AASB 123: Borrowing Costs and AASB 2007–6:
Amendments to Australian Accounting Standards arising from AASB 123 [AASB 1, AASB 101, AASB 107,
AASB 111, AASB 116 and AASB 138 and Interpretations 1 and 12] (applicable for annual reporting periods
commencing from 1 January 2009).
The revised AASB 123 has removed the option to expense all borrowing costs and will therefore require the
capitalisation of all borrowing costs directly attributable to the acquisition, construction or production of a
qualifying asset. Management has determined that there will be no effect on the association as a policy of
capitalising qualifying borrowing costs has been maintained by the association.

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