The Australian Literacy & Numeracy Foundation
AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE ABN 27 098 802 094
FINANCIAL REPORT FOR THE YEAR ENDED 31 DECEMBER 2017 AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE ABN 27 098 802 094
TABLE OF CONTENTS
Directors' Report ...... 1 Auditor's Independence Declaration ...... 4 Financial Report - Statement of Comprehensive Income ...... 5 - Statement of Financial Position ...... 6 - Statement of Changes in equity ...... 7 - Statement of Cash Flows ...... 8 - Notes to the Financial Statements ...... 9-13 Directors' Declaration ...... 14 Independent Audit Report ...... 15-16 Additional Information ...... 17-18 AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE ABN 27 098 802 094
DIRECTORS' REPORT
The directors present their report, together with the financial statements, on the company for the year ended 31 December 2017.
Directors The following persons were directors of the company during the whole of the financial year and up to the date of this report, unless otherwise stated:
Mary Ruth Mendel (3 December 2001 to present) Kim Eva Kelly (3 December 2001 to present) Leslie Butterfield (17 November 2005 to present) Prof Thomas Calma (27 September 2010 to present) Jonathan McCauley (23 November 2015 to present) Adam Goodes (appointed 16 August 2017 to present)
Objectives The company is dedicated to raising language, literacy and numeracy standards in Australia and raises funds to develop, implement and sustain innovative projects for individuals, families and communities.
Strategy for achieving the objectives The company teaches marginalised Australians-including those in refugee and Indigenous communities-how to read and write. It also help to develop the skills of teachers, carers, healthcare workers, community workers and volunteers to pass on good literacy practices to their families and communities. The company's programs are tailored to the needs of individuals, groups and communities, and are incredibly effective in delivering tangible outcomes and creating a real impact.
Principal activity The principal activity of the company during the financial year was to engage in the direct provision of speech, literacy, and numeracy services to sick, self-distress, misfortune, disable, destitute and helpless individuals; - To directly assist persons of all ages with language, literacy and numeracy needs, difficulties and disabilities who are unable to afford assistance; To develop, teach and train others in sound methods of teaching and supply appropriate services to those in need; - To facilitate both professional and public access to information about literacy and numeracy. No significant changes in the nature of the company's activity occurred during the year.
Performance measures The company measures its perfonnance in both the amount of funds raised and amount of funds spent in accordance with the requirements of funding agreements.
Information on Directors
-Founder of the Australian Literacy and Numeracy Foundation Speech Pathologist who Mary Ruth Mendel operates a private practice in Sydney specialising in literacy and language learning difficulties, with a local and international client base. Formerly principle co-owner of The Sydney Literacy Centre. At present is a Director of Yabayaba Resources Pty Limited.
- Co-founder of the Australian Literacy and Numeracy Foundation. Formerly principle Kim Eva Kelly co-owner of Monde Model Management and The Sydney Literacy Centre. At present is a Director of Maverick Developments and of Yabayaba Resources Pty Limited
- CEO of McLachlan Lister. Independent Management Consultants and Project Managers Leslie Butterfield Currently on the Board of the Queensland Micro Technology Centre. Ms Butterfield was the Inaugural NSW President and National Vice President for the National Association of Women in Construction, was inducted to Inaugural Business Women’s Hall of Fame, and was Telstra Business Woman of the year
1 AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE ABN 27 098 802 094
DIRECTORS' REPORT (continued)
Prof. Thomas Calma - Former Aboriginal and Torres Strait Islander Social Justice Commissioner Prof. Calma is an Aboriginal elder from the Kungarakan tribal group and the Iwaidja tribal group whose traditional lands are south west of Darwin and on the Coburg Peninsula in the Northern Territory. He has been involved in Indigenous affairs at a local, community, and state, national and international level and has worked in the public sector for over 30 years.
Until his appointment on 12 July 2004 as Aboriginal and Torres Strait Islander Social Justice Commissioner, for an appointment of five years and Race Discrimination Commissioner since July 2008, Prof. Calma managed the Community Development and Education Branch at Aboriginal and Torres Strait Islander Services (ATSIS) where he worked with remote Indigenous communities to implement community-based and driven empowerment and participation programs. In 2003, he was Senior Adviser of Indigenous Affairs to the Minister of Immigration, Multicultural and Indigenous Affairs and from 1995 to 2002 he was a senior diplomat in India and Vietnam.
Prof. Calma is also a White Ribbon Day ambassador, the International Day for the Elimination of Violence Against Women, held on 25 November each year. Commissioner Calma is also a national patron of Wakakirri National Story Festival
Jonathan McCauley - Jonathan McCauley is an advertising and communications specialist with over 25 years’ experience. He has worked with a number of multinational advertising agencies as a copywriter, creative director and brand strategist. In 2008 he started his own agency, along with two partners, called Elevencom. At Elevencom, Jonathan has helped guide the marketing of some of Australia’s most successful retailers and fresh food marketers. In 2009 Jonathan and his agency created the Wall of Hands fundraising campaign as pro bono project for the ALNF. So far, this campaign has raised over $2 million and is recognised as one of the most successful online fundraisers in Australia. Jonathan holds a Communications degree from Charles Sturt University (Mitchell CAE) and is an alumnus of the Benevolent Society’s social leadership program, Sydney Leadership. “I have been luck}' enough to build a career using words and writing as a foundation. But far too many children in Australia do not share my luck. If Australia is a country that believes everyone deserves a fair go, then every child must deserve the fundamental skills ofliteracy as a starting point.”
Adam Goodes - An Adnyamathanha man, Adam Goodes is a former professional Australian rules footballer who played for the Sydney Swans team in the Australian Football League (AFL). Goodes holds an elite place in VFL/AFL history as a dual Brownlow Medallist, dual premiership player, four-time All-Australian, member of the Indigenous Team of the Century and representative of Australia in the International Rules Series. In addition, he holds the record for the most VFL/AFL games played by an Indigenous player, surpassing Andrew McLeod's record of 340 during the 2014 AFL season and retiring the following year with a career total of 372.”
Goodes was named Australian of the Year in 2014 for his community work through the Go Foundation and advocacy against racism
2 AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE ABN 27 098 802 094
DIRECTORS' REPORT (continued)
Meetings of Directors
During the financial year, - meetings of directors (including committee meetings) were held. Attendances by each director were as follows:
DIRECTORS' MEETINGS Number Number eligible attended to attend Mary Ruth Mendel (3 December 2001 to present) 12 12 Kim Eva Kelly (3 December 2001 to present) 12 12 Leslie Butterfield (17 November 2005 to present) 12 3 Prof. Thomas Calma (27 September 2010 to present) 12 12 Jonathan McCauley (23 November 2015 to present) 12 7 Adam Goodes (16 August 2017 to present) 3 3
Contributions on winding up The company is incorporated under the Corporations Act 2001 and is a company limited by guarantee. If the company is wound up, the constitution states that each member is required to contribute a maximum of $ 10 each towards meeting any outstanding and obligations of the company.
Auditor's Independence Declaration The lead auditor's independence declaration for the year ended 31 December 2017 has been received and can be found on page 4.
This report is made in accordance with a resolution of directors, pursuant to section 298(2) (a) of the Corporations Act 2001.
On behalf of the directors
3 Level 22 Australia Square Omniwealth Accounting and Advisory 264 George Street ABN 82 145 887 252 invest in you. Sydney NSW 2000 T + 61 2 9112 4300 GPO Box 7055 F + 61 2 9112 4399 ©OMNIWEALTH Sydney NSW 2001 omniwealth.com.au
AUDITOR'S INDEPENDENCE DECLARATION TO THE DIRECTORS OF AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE
As lead audit partner for the audit of Australian Literacy & Numeracy Foundation limited By Guarantee for the year ended 31 December 2017,1 declare that, to the best of my knowledge and belief, there have been:
i) no contraventions of the auditor independence requirements of the Corporations Act 2001 in relation to the audit; and ii) no contraventions of any applicable code of professional conduct in relation to the audit.
Omniwealth Accounting & Advisory
Duncan Barber Director
Level 22 Australia Square 264 George Street SYDNEY NSW 2000
Dated this ^ l day of (_ 2018
Liability limited by a scheme Accounting and Advisory Mortgage and Finance approved under Professional 4 Financial Planning Property Standards Legislation Legal Superannuation Estate Planning General Insurance AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE ABN 27 098 802 094
STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER 2017
Notes 2017 2016 $ $
Revenue 2 3,587,383 2,370,116 Depreciation and amortisation expenses (19,894) (60,973) Other expenses (2,564,242) (2,065,528) Surplus/(deficit) before income tax expense 1,003,247 243,615
Income tax expense
Surplus/(deficit) after income tax expense for the year attributable to the members of Australian Literacy & Numeracy Foundation Limited By Guarantee 1,003,247 243,615
Other comprehensive income for the year, net of tax ______i ______^
Total comprehensive ineome/(loss) for the year attributable to the members of Australian Literacy & Numeracy Foundation Limited By Guarantee 1,003.247 243.615
5 AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE ABN 27 098 802 094
STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2017
Notes 2017 2016 $ $
CURRENT ASSETS Cash and cash equivalents 3 1,761,596 1,002,570 Trade and other receivables 4 35,484 24,415 Other 5 _ 66,519 44,945 TOTAL CURRENT ASSETS 1,863,599 1,071,931
NON-CURRENT ASSETS Property, plant and equipment 6 ______177,166 ______22,565 TOTAL NON-CURRENT ASSETS ______177,166 ______22,565
TOTAL ASSETS 2,040,765 1,094,496
CURRENT LIABILITIES Trade and other payables 7 32,812 26,250 Provisions 8 72,857 43,364 Other liabilities 9 _ ^ 100,000 TOTAL CURRENT LIABILITIES ______105,669 169,614
NON-CURRENT LIABILITIES Provisions 8 ______25,545 ______18,578 TOTAL NON-CURRENT LIABILITIES ______25,545 ______18,578
TOTAL LIABILITIES 131,214 ______188,192
NET ASSETS 1,909,551 906 304
EQUITY Retained surpluses 10 1,909,551 ______906,304 TOTAL EQUITY 1,909,551 906,304
6 AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE ABN 27 098 802 094
STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 31 DECEMBER 2017
Retained Total surpluses equity $ $
Balance at 1 January 2016 662,689 662,689 Other comprehensive income for the year; net of tax -- Surplus after income tax expense for the year 243 615 243.615 Total comprehensive income for the year 243,615 243,615
Balance at 31 December 2016 906304 906.304
Retained Total surpluses equity $ $
Balance at 1 January'2017 906,304 906,304 Other comprehensive income for the year; net of tax -- Surplus after income tax expense for the year 1.003.247 1.003.247 Total comprehensive income for the year 1,003,247 1,003,247
Balance at 31 December 2017 1.909.551 1.909.551
7 AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE ABN 27 098 802 094
STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2017
Notes 2017 2016 $ S
CASH FLOW FROM OPERATING ACTIYITIES Donations received 2,698,639 1,666,061 Receipts from grants 321,600 502,564 Services rendered 485,256 260,000 Activities income - 23,073 Payments to suppliers and employees (2,597,978) (2.024,121) Interest received 16,637 13,341 Other income 9,365 5,077 Net cash provided by/(used in) operating activities 15 933.519 445,995
CASH FLOW FROM INVESTING ACTIVITIES Payment for property, plant and equipment (174.493) (4.914) Net cash used in investing activities 1174.493) (4,914) Net increase/!decrease) in cash and cash equivalents 759,026 441,081 Cash and cash equivalents at the beginning of the financial year 1.002.570 561.489 Cash and cash equivalents at the end of the financial year 3 1.761.596 1.002.570 AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE ABN 27 098 802 094
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2017
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The principal accounting policies adopted in the preparation of the financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
New, revised or amending Accounting Standards and Interpretations adopted
The company has adopted all of the new, revised or amending Accounting Standards and Interpretations issued by the Australian Accounting Standards Board (‘AASB’) that are mandatory for the current reporting period.
Any new, revised or amending Accounting Standards or Interpretations that are not yet mandatory have not been early adopted.
Basis of preparation
In the directors’ opinion the company is a not a reporting entity because there are no users dependent on general purpose financial statements.
These are special purpose financial statements that have been prepared for the purpose of complying with the New South Wales legislation the Charitable Fundraising Act 1991 and associated regulations and the Corporations Act 2001 requirements to prepare and distribute financial statements to the members of Australian Literacy & Numeracy Foundation Limited By Guarantee. The directors have determined that the accounting policies adopted are appropriate to meet the needs of the members of Australian Literacy & Numeracy Foundation Limited by Guarantee.
These financial statements have been prepared in accordance with the recognition and measurement requirements specified by the Australian Accounting Standards and Interpretations issued by the Australian Accounting Standards Board (‘AASB’) and the disclosure requirements of ASSB 101 ‘Presentation of Financial Statements’, AASB 107 ‘ Statement of Cash Flows’, AASB 108 ‘Accounting Policies, Changes in Accounting Estimates and Errors’, AASB 1031 ‘Materiality’, AASB 1048 ‘Interpretation and Application of Standards" and AASB 1054 ‘Australian Additional Disclosures’, as appropriate for not-for-profit oriented entities. These financial statements do not conform to International Financial Reporting Standards as issued by the International Accounting Standards Board (TASB’).
Historical cost convention
The financial statements have been prepared on an accrual basis and are based on historical costs unless otherwise stated in the notes.
The accounting policies that have been adopted in the preparation of this report are as follows:
Accounting Policies
(a) Income Tax
No provision for income tax has been raised as the company is exempt from income tax under Division 50 of the Income Tax Assessment Act 1997.
(b) Unearned Revenue
Unearned revenue shown in the accounts will be brought to account over the life of the contract.
(c) Cash and Cash Equivalents
Cash and cash equivalents include cash on hand, deposits held at-call with banks, and cash at bank.
(d) Trade and Other Payables
Trade and other payables represent the liability outstanding at the end of the reporting period for goods and services received by the company during the reporting period which remains unpaid. The balance is recognised as a current liability with the amount being normally paid within 30 days of recognition of the liability.
9 AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE ABN 27 098 802 094
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2017
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
(e) Revenue
Donations and interest revenue is recognised when received.
Grant revenue is recognised in the statement of comprehensive income when it is controlled. When there are conditions attached to grant revenue relating to the use of those grants for specific purposes it is recognised in the balance sheet as a liability until such conditions are met or services provided.
Other revenue is recognised when the right to receive the revenue has been established.
All revenue is stated net of the amount of goods and services tax (GST).
(f) Goods and Services Tax (GST)
Revenues, expenses and assets are recognised net of the amount of GST, except where the amount of GST incurred is not recoverable from the Tax Office. In these circumstances, the GST is recognised as part of the cost of acquisition of the asset or as part of an item of the expense. Receivables and payables in the statement of financial position are shown inclusive of GST.
Cash flows are presented in the statement of cash flows on a gross basis, except for the GST components of investing and financing activities, which are disclosed as operating cash flows.
(g) Plant & Equipment Each class of property plant and equipment is carried at cost or fair value less, where applicable, any accumulated depreciation.
Plant and equipment is measured on cost basis. All assets are depreciated over their useful lives to the company.
(h) Employee benefits Wages and salaries, annual leave and sick leave Liabilities for wages and salaries, including non-monetary benefits, annual leave and accumulating sick leave expected to be settled within 12 months of the reporting date are recognised in current liabilities in respect of employees’ services up to the reporting date and are measured at the amounts expected to be paid when the liabilities are settled. Non-accumulating sick leave is expensed to profit and loss account when incurred.
New Accounting Standards and Interpretations not yet mandatory or early adopted
Australian Accounting Standards and Interpretations that have recently been issued or amended but are not yet mandatory, have not been early adopted by the company for the annual reporting period ended 31 December 2017. The company has not yet assessed the impact of these new or amended Accounting Standards and Interpretations.
10 AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE ABN 27 098 802 094
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2017
Note 2017 2016 $ $
NOTE 2: REVENUE Sales revenue - donations received 2,698,639 1,666,061 - interest 2(a) 16,637 13,341 - operating grants 421,600 402,564 - activities income - 23,073 - services rendered 441,142 260,000 - other revenue 9,365 5,077 3,587,383 2,370,116 (a) Interest from: - financial institutions 16,637 13,341 16,637 13,341
NOTE 3: CASH AND CASH EQUIVALENTS Cash on hand 200 200 Cash at bank 786,976 224,020 Deposits at call 974,420 778,350 1,761,596 1,002,570
Reconciliation of Cash Cash and cash equivalents 1,761,596 1,002,570 1,761,596 1,002,570
NOTE 4: TRADE AND OTHER RECEIVABLES CURRENT Sundry Debtors 10,042 741 BAS receivable 25,442 23,674 35,484 24,415
NOTE 5: OTHER ASSETS CURRENT Prepayments 58,452 36,168 Staff advances - 710 Sundry deposits 8,067 8,067 66,519 44,945
11 AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE ABN 27 098 802 094
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2017
Note 2017 2016 S $
NOTE 6: PLANT AND EQUIPMENT
PLANT AND EQUIPMENT (a) Office equipment At cost 49,506 49,506 Less accumulated depreciation (47,353) (46,730) ______2,153 2,776 (b) Computer equipment At cost 35,433 27,937 Less accumulated depreciation (31,686) (25,480) ______3,747 2,457 (c) Website At cost 480,387 313,387 Less accumulated depreciation (309,121) (296,055) ______171,166 17,332 (d) Art At cost 268 268 Less accumulated depreciation (268) (268)
Total plant and equipment 177,166 22,565
NOTE 7: TRADE AND OTHER PAYABLES CURRENT Sundry payables ______32,812 ______26,250 32,812 26.250
NOTE 8: PROVISIONS CURRENT Annual leave ______72,857 ______43,364 72.857 43.364
NON - CURRENT Long service leave ______25,545 ______18,578 25,545 18 578
NOTE 9: OTHER LIABILITIES CURRENT Deferred income ______- ______100,000
- 100.000
NOTE 10: RETAINED SURPLUSES Retained surpluses at the beginning of the financial year 906,304 662,689 Surplus/(deficit) for the year _____ 1,003,247 ______243.615 Retained surpluses at the end of the financial year 1,909,551 906,304
12 AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE ABN 27 098 802 094
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2017
Note 2017 2016 S S
NOTE 11: REMUNERATION OF AUDITORS Audit services - Omniwealth Accounting & Advisory Audit of the financial statements and the grants 6,200 6,200 Other services 3,000 3,372 9.200 9.572 NOTE 12: CONTINGENT LIABILITIES The company had no contingent liabilities as at 31 December 2017 and 31 December 2016.
NOTE 13: COMMITMENTS The company had no capital commitments for funds to be spent in accordance with the funding agreements as at 31 December 2017 Refer note 9 for the amounts of these commitments as at 31 December 2016.
NOTE 14: EVENTS AFTER THE REPORTING PERIOD No matter or circumstances has arisen since 31 December 2017 that has significantly affected, or may significantly affect the company’s operations, the results of those operations, or the company’s state of affairs in future financial years.
NOTE 15: RECONCILIATION OF SURPLUS AFTER INCOME TAX TO NET CASH FROM OPERATING ACTIVITES
2017 2016 s s
Surplus/fdeficit) from operating activities after income tax 1,003,247 243,615 Non-cash flows in surplus Depreciation 19,894 60,700 Changes in assets and liabilities (lncrease)/decrease in receivables (11,069) 7,139 (Increase)/decrease in other assets (21,574) 3,154 Increase/fdecrease) in grants received in advance (100,000) 100,000 Increase in employee benefits 36,460 30,204 Increase/fdecrease) in trade and other payables 6,561 1,183 Cash flows from operations 933.519 445.995
NOTE 16: MEMBERS’ GUARANTEE The company is incorporated under the Corporations Act 2001 and is a company limited by guarantee. If the company is wound up, the constitution states that each member is required to contribute a maximum of $10 each towards meeting any outstanding and obligations of the company.
NOTE 17: COMPANY DETAILS The registered office of the company is: 208 New South Head Road EDGECLIFF NSW 2027
13 AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE ABN 27 098 802 094
DIRECTORS' DECLARATION
In the directors’ opinion:
• the company is not a reporting entity because there ait; no users dependent on general purpose financial statements. Accordingly, as described in note 1 to the financial statements, the attached special purpose financial statements have been prepared for the purposes of complying with the New South Wales legislation the Charitable Fundraising Act 1991 and associated regulations and the Corporations Act 2001 requirements to prepare and distribute financial statements to the members of Australian Literacy & Numeracy Foundation Limited By Guarantee;
• the attached financial statements and notes thereto comply with the Corporations Act 2001, the Accounting Standards as described in note 1 to the financial statements, the Corporations Regulations 200! and other mandatory professional reporting requirements;
• the attached financial statements and notes thereto give a true and fair view of the company’s financial position as at 31 December 2017 and of its performance for the financial year ended on that date; and
• there are reasonable grounds to believe that the company will be able to pay its debts as and when they become due and payable,
Signed in accordance with a resolution of directors made pursuant to section 295(5) of the Corporations Act 2001.
On behalf of the directors
Director Director
Dated this day of 2018
14 Level 22 Australia Square Omniwealth Accounting and Advisory 264 George Street ABN 82 145 887 252 invest in you. Sydney NSW 2000 T + 61 2 9112 4300 GPO Box 7055 F + 61 2 9112 4399 ©OMNIWEAITH Sydney NSW 2001 omniwealth.com.au
INDEPENDENT AUDIT REPORT TO THE MEMBERS OF AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE
Report on the Financial Report
We have audited the accompanying financial report, being a special purpose financial report, of Australian Literacy & Numeracy Foundation Limited By Guarantee, which comprises the statement of financial position as at 31 December 2017, statement of comprehensive income and statement of cash flows for the year then ended, a summary of significant accounting policies, other explanatory notes and the directors' declaration.
Directors Responsibility for the Financial Report
The directors of the company are responsible for the preparation of the financial report that gives a true and fair view and have determined that basis of preparation described in Note 1 to the financial report is appropriate to meet the requirements of the Corporations Act 2001 and is appropriate to meet the needs of the members. The directors' responsibility also includes designing, implementing and maintaining internal control relevant to the preparation and fair presentation of the financial report that is free from material misstatement, whether due to fraud or error; selecting and applying appropriate accounting policies; and making accounting estimates that are reasonable in the circumstances.
Auditor’s Responsibility
Our responsibility is to express an opinion on the financial report based on our audit. No opinion is expressed as to whether the accounting policies used, as described in Note 1, are appropriate to meet the needs of the members. We conducted our audit in accordance with Australian Auditing Standards. These Auditing Standards require that we comply with relevant ethical requirements relating to audit engagements and plan and perform the audit to obtain reasonable assurance whether the financial report is free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial report. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the financial report, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the company's preparation and fair presentation of the financial report in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the company's internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by the directors, as well as evaluating the overall presentation of the financial report.
The financial report has been prepared for distribution to members for the purpose of fulfilling the director’s financial reporting responsibilities under the Corporations Act 2001. We disclaim any assumption of responsibility for any reliance on this report or on the financial report to which it relates to any person other than the members, or for any purpose other than that for which it was prepared.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Independence
In conducting our audit, we have complied with the independence requirements of the Corporations Act 2001. We confirm that the independence declaration required by the Corporations Act 2001, provided to the directors of Australian Literacy & Numeracy Foundation Limited By Guarantee on, would be in the same terms if provided to the directors as at the date of this auditor's report.
Liability limited by a scheme Accounting and Advisory Mortgage and Finance approved under Professional 15Financial Planning Property Standards Legislation Legal Superannuation Estate Planning General Insurance Level 22 Australia Square Omniwealth Accounting and Advisory 264 George Street ABN 82 145 887 252 invest in you. Sydney NSW 2000 T + 61 2 9112 4300 GPO Box 7055 F + 61 2 9112 4399 ©OMNIWEAITH Sydney NSW 2001 omniwealth.com.au
Auditor’s Opinion
In our opinion, the financial statements presents fairly, in all material respects, the financial position of Australian Literacy & Numeracy Foundation Limited By Guarantee as of 31 December 2017 and of its financial performance and cash flows for the year then ended in accordance with the Corporations Act 2001 and the Australian Accounting Standards (including Australian Accounting Interpretations) to the extent described in Note 1.
Basis of preparation
Without modifying our opinion, we draw attention to Note 1 to the financial report, which describes the basis of preparation. The financial report has been prepared for the purpose of New South Wales legislation the Charitable Fundraising Act 1991 and associated regulations and the Corporations Act 2001 requirements to prepare and distribute financial statements to the members of Australian Literacy & Numeracy Foundation Limited by Guarantee. As a result, the financial report may not be suitable for another purpose.
Omniwealth Accounting & Advisory Level 22, Australia Square 264 George Street SYDNEY NSW 2000
Duncan Barber Director
Dated this 2day of^ 2018
Liability limited by a scheme Accounting and Advisory Mortgage and Finance approved under Professional Financial Planning Property Standards Legislation ^Legal Superannuation Estate Planning General Insurance Level 22 Australia Square Omniwealth Accounting and Advisory 264 George Street ABN 82 145 887 252 invest in you. Sydney NSW 2000 T + 61 2 9112 4300 GPO Box 7055 F + 61 2 9112 4399 ©OMNIWEALTH Sydney NSW 2001 omniwealth.com.au
DISCLAIMER TO THE MEMBERS OF AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE
The additional financial data presented on the following page is in accordance with the books and records of the company which have been subjected to the auditing procedures applied in our statutory audit of the company for the financial year ended 31 December 2017. It will be appreciated that our statutory audit did not cover all details of the additional financial data. Accordingly, we do not express an opinion on such financial data and we give no warranty' of accuracy or reliability in respect of the data provided. Neither the firm nor any member or employee of the firm undertakes responsibility in any way whatsoever to any person other than Australian Literacy & Numeracy Foundation Limited by Guarantee in respect of such data, including any errors or omissions therein however caused.
Omniwealth Accounting & Advisory Level 22, Australia Square 264 George Street SYDNEY NSW 2000
Duncan Barber Director
Dated this 2^\ day of 2018
Liability limited by a scheme Accounting and Advisory Mortgage and Finance approved under Professional ’ /Financial Planning Property Standards Legislation Legal Superannuation Estate Planning General Insurance AUSTRALIAN LITERACY & NUMERACY FOUNDATION LIMITED BY GUARANTEE ABN 27 098 802 094
PRIVATE INFORMATION FOR THE DIRECTORS ON THE 2017 FINANCIAL STATEMENTS
DETAILED PROFIT AND LOSS FOR THE YEAR ENDED 31 DECEMBER 2017
2017 2016 s s
INCOME Donations 2,698,639 1,666,061 Interest 16,637 13,341 Subsidies and grants 421,600 402,564 Activities income - 23,073 Services rendered 441,142 260,000 Other income 9,365______5,077 TOTAL INCOME 3,587,383 2,370,116 LESS EXPENSES PROGRAM COSTS Administration costs 42,000 57,000 Advertising 54,656 77,682 Audit fees 4,400 4,675 Computer Support 3,426 7,686 Consultancy fees 426,755 344,000 Campaign 32,797 2,534 Depreciation 13,066 56,568 Employee costs 743,396 535,344 General expenses 27,369 41,219 Printing and stationery 14,450 31,450 Project resources 320,033 120,706 Project support 62,060 50,659 Project management 180,000 175,000 Project reporting 66,353 72,000 PR communications 5,710 19,000 Delivery & logistics 169,189 117,289 Website costs 47,528 48,755 Photography & Film 41,324 EL&L Site Cost 14,200 Certification Cost IV EL&L 19,527 Other expenses 168,778______271,836 TOTAL PROGRAM COSTS 2,457,017______2,033,403
HEAD OFFICE COSTS Audit and other services fees 4,800 4,897 Depreciation 6,828 4,405 General expenses 115,491 83,796 TOTAL HEAD OFFICE COSTS 127,119______93,098
TOTAL EXPENSES ______2,584,136______2,126,501
SURPLUS/(DEFICTT) 1,003,247______243,615
These financial statements should be read in conjunction with the attached Disclaimer.
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