Financial & Audit Report 31 March 2001

THE INTERNET SOCIETY OF NEW ZEALAND INC

SCHEDULE OF CONTENTS : FOR THE YEAR ENDED 31 MARCH 2001

Audit Report
Statement of Financial Performance
Statement of Movement in Equity
Statement of Financial Position
Notes to the Financial Statements

AUDIT REPORT TO THE MEMBERS OF THE INTERNET SOCIETY OF NEW ZEALAND INCORPORATED

We have audited the Financial Statements consisting of the Statement of Financial Performance, Statement of Movement in Equity, Statement of Financial Position, and Notes to the Financial Statements.The Financial Statements provide information about the past performance of the Internet Society of New Zealand Incorporated and its financial position as at 31 March 2001.This informaqtion is stated in accordance with the accounting policies set out in the Notes to the Finanncial Statements.

Council's Responsibilities

The Council is responsible of the preparation of Financial Statements, which gives a true and fair view of the financial position of the Internet Society of New Zealand Incorporated as at 31 March 2001 and of the results of operations for the year ended 31 March 2001.

Auditor's Responsibilities

It is our responsibility to express an independent opinion on the Financial Statements presented by the Council and report our opinion to you.

Basis of Opinion

An audit includes examining, on a test basis, evidence relevant to the amounts and disclosures in the Financial Statements. It also includes assessing:

- The significant estimates and judgements made by the Council in the preparation of the Financial Statements; and

- Whether the accounting policies are appropriate to the Internet Society of New Zealand Incorporated circumstances, consistently applied and adequately disclosed.

We conducted our audit in accordance with generally accepted auditing standards in New Zealand.We planned and performed our audit so as to obtain all the information and explanations which we considered necessary in order to provide us with sufficient evidence to give reasonable assurance that the Financial Statements are free from material misstatements, whether caused by fraud or error.In forming our opinion we also evaluated the overall adequacy of the presentation of the information in the Financial Statements.

Other than in our capacity as Auditors, we have no relationship with or interest in theInternet Society of New Zealand Incorporated.

Unqualified Opinion

We have obtained all the information and explanations that we have required.

In our opinion:

- Proper accounting records have been kept by the Internet Society of New Zealand Incorporated as far as appears from our examination of those records; and

- The Financial Statements:

- comply with generally accepted accounting practice; and
- give a true and fair view of the financial position of the Internet Society of New Zealand Incorporated

as at 31 March 2001 and the results of its operations for the year ended on that date.

Our audit was completed on 11 June 2001 and our unqualified opinion is expressed as at that date.

Martin Jarvie PKF
Chartered Accountants
WELLINGTON

THE INTERNET SOCIETY OF NEW ZEALAND INC

STATEMENT OF FINANCIAL PERFORMANCE FOR THE YEAR ENDED 31 MARCH 2001

The accompanying notes form part of these financial statements

THE INTERNET SOCIETY OF NEW ZEALAND INC

STATEMENT OF MOVEMENT IN EQUITY FOR THE YEAR ENDED 31 MARCH 2001

The accompanying notes form part of these financial statements

THE INTERNET SOCIETY OF NEW ZEALAND INC

STATEMENT OF FINANCIAL POSITION FOR THE YEAR ENDED 31 MARCH 2001

The accompanying notes form part of these financial statements

THE INTERNET SOCIETY OF NEW ZEALAND INCORPORATED

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2001

1. STATEMENT OF GENERAL ACCOUNTING POLICIES

REPORTING ENTITY

The Internet Society of New Zealand Incorporated is an incorporated society and is registered under the Incorporated Societies Act 1908

These financial statements are general purpose financial statements and have been prepared in accordance with generally accepted accounting practice.

MEASUREMENT BASE

The accounting principles recognised as appropriate for the measurement and reporting of earnings and financial position on a historical cost basis are followed in these financial statements

SPECIFIC ACCOUNTING POLICIES

Accounts Receivable

Accounts Receivable are valued at expected realisable value.

Fixed Assets and Depreciation

Fixed Assets are recorded at cost less accumulated depreciation.Depreciation is provided at the rates allowed by the Inland Revenue Department

Investment

Investment is recorded at cost.

Goods and Services Tax

These statements are prepared on a GST exclusive basis.

Taxation

The Society, being a charitable organisation, is only taxed on income from beyond the circle of membership

Differential Reporting

These financial statements qualify for differential reporting as they are prepared for a society which is not publicly accountable and is not large under defined criteria.All appropriate exemptions have been applied.

CHANGES IN ACCOUNTING POLICIES

There have been no changes in accounting policies.All policies have been applied on bases consistent with those used in previous years.

While these Financial Statements to 31 March 2001 record 12 months trading, the comparative figures record only 6 months trading due to the change in Balance Date to 31 March 2000.

THE INTERNET SOCIETY OF NEW ZEALAND INC

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2001

3. INVESTMENT

The Statement of Financial Position records the value of shares in NZ Internet Registry Limited (Domainz) at the cost price to ISOCNZ of $1,000

4. RELATED PARTY TRANSACTION

The Society has received $160,736 in Management Fees during the period in accordance with the Management Service Agreement between the Society and Domainz.

The Society has received a net dividend of $275,683

©2001 The Internet Society of New Zealand
Last updated 12 June 2001