L’ASSOCIATION DES FRANCOPHONES DE NANAIMO
NOTES TO FINANCIAL STATEMENTS
FOR THE YEAR ENDED MARCH 31, 1997

(Unaudited)

SIGNIFICANT ACCOUNTING POLICIES

The financial statements of the association have been
prepared in accordance with accounting principles generally
accepted for non-profit organizations.
(a) Depreciation

Depreciation of capital assets is not recorded in the
accounts.

(b) Capital assets

Capital assets are recorded at cost.

Capital assets are recorded as expenditures in the
statement of revenue and expenditure when purchased and
recorded as capital assets on the balance sheet.with an
equal increase in equity in capital assets.

(c) Supply inventory

Supply inventory is recorded at cost.

CAPITAL ASSETS

1997 1996
Land and building $ 84,127 $ 84,127
Furniture and equipment 25,070 25,070
$ 109,197 $ 109,197

BANK OVERDRAFT

The association has an approved line of credit of $45,000
bearing interest at the bank prime rate plus 3% secured by a
first mortgage against the association’s Hecate Street property.

F BESTWICK &
PARTNERS

CHARTERED ACCOUNTANTS
Est. 1945