5.1.1 Movement in the provision for doubtful debt 2017 2016 $ $ Balance at beginning of the year (24,593) (28,109) Increase in provision recognised in the net result (31,091) (23,921) Reversal of provision of receivables written off during the 24,593 27,437 year as uncollectable Balance at end of the year (31,091) (24,593) Doubtful debts: receivables are assessed for bad and doubtful debts on a regular basis. A provision for doubtful debts is recognised when there is objective evidence that the debts may not be collected and bad debts are written off when identified. In assessing impartment of statutory (non-contractual) financial assets, which are not financial instruments, professional judgment is applied in assessing materiality using estimates, averages and other computational methods in accordance with AASB 136 Impairment of Assets. A provision is made for estimated irrecoverable amounts from the sales of goods when there is objective evidence that an individual receivable is impaired. The increase in the provision for the year is recognised in the net result. Bad debts considered as written off by mutual consent are classified as a transaction expense. Bad debts not written off, but included in the provision for doubtful debts, are classified as other economic flows in the net result. 5.1.2 Aging of contractual receivables Past due but not impaired Not past due Carrying and not Less than 1 1–3 3 months – amount impaired months 1 year 1–5 years $ $ $ $ $ $ 2017 Fee paying overseas 1,007,619 965,768 41,851 – – – students receivables 1,075,978 1,073,433 1,625 920 – – Total 2,083,597 2,039,201 1,625 920 41,851 – 2016 Fee paying overseas 839,869 792,612 47,257 – – – students receivables 836,573 804,233 16,500 10,000 5,840 – Total 1,676,442 1,596,845 16,500 10,000 5,840 47,257 The average credit period for fee paying overseas students is 45 days and for receivables is 30 days. A provision has been made for estimated irrecoverable amounts from the fee paying students.
5.1.1 Movement in the provision for doubtful debt 2017 $ 2016 $ Balance at beginning of the year (24,593) (28,109) Increase in provision recognised in the net result (31,091) (23,921) Reversal of provision of receivables written off during the year as uncollectable 24,593 27,437 Balance at end of the year (31,091) (24,593) Doubtful debts: receivables are assessed for bad and doubtful debts on a regular basis. A provision for doubtful debts is recognised when there is objective evidence that the debts may not be collected and bad debts are written off when identified. In assessing impartment of statutory (non-contractual) financial assets, which are not financial instruments, professional judgment is applied in assessing materiality using estimates, averages and other computational methods in accordance with AASB 136 Impairment of Assets. A provision is made for estimated irrecoverable amounts from the sales of goods when there is objective evidence that an individual receivable is impaired. The increase in the provision for the year is recognised in the net result. Bad debts considered as written off by mutual consent are classified as a transaction expense. Bad debts not written off, but included in the provision for doubtful debts, are classified as other economic flows in the net result. 5.1.2 Aging of contractual receivables Past due but not impaired Carrying amount $ Not past due and not impaired $ Less than 1 $ 1–3 months $ 3 months – 1 year $ 1–5 years $ 2017 Fee paying overseas students 1,007,619 965,768 – – – 41,851 receivables 1,075,978 1,073,433 – 1,625 920 – Total 2,083,597 2,039,201 – 1,625 920 41,851 2016 Fee paying overseas students 839,869 792,612 – – – 47,257 receivables 836,573 804,233 16,500 10,000 5,840 – Total 1,676,442 1,596,845 16,500 10,000 5,840 47,257 The average credit period for fee paying overseas students is 45 days and for receivables is 30 days. A provision has been made for estimated irrecoverable amounts from the fee paying students.
AnnualReport2016-2017wordwebversion.docx