This change in accounting policy also has the effect that all income is now accounted for on a similar basis, being the cash basis. Comparative information has not been restated because it has already been reported in Parliament and the Department is of the opinion that the restatement of unappropriated income at the beginning of the year may lead to confusion. The information necessary for the calculation of the restatement is also not readily available, All private radio communication debtors outstanding as at 31 March 1996, except those amounts that were received during the current financial year, were written back to income, in compliance with the new accounting policy. Private radio communication debtors as at 31 March 1997 comprise only items in respect of which licences had already been issued. 1.3 Fixed assets and depreciation Fixed assets are stated at cost price less accumulated depreciation and are depreciated according to the straight-line method over their estimated useful lives from the financial year that follows the date of commissioning.
Furniture is regarded as operating costs and written off against income in the year of purchase.
1.4 Investments Investments in shares are shown at the valuation of the shares as at the date of issue. The shares issued to the State represent the net asset value of the relative enterprises as determined at 30 September 1991 by the then Minister of Transport and of Posts and Telecommunications with the consent of the Minister of Finance. Consequently these assets have not been depreciated. No provision for tax has been made as the Department is exempted from income tax. The GEPF is materially underfunded.