Notes To The Financial Statements (Continued) for the year ended 30 June 2014 Due to a clerical error in 2013, the fixed assets were understated by $56,875. The total depreciation for motor vehicles disposed in 2013 amounted to $55,000 and $1,875 for a motor bike written off. The total of $56,875 reduced depreciationfor the year. The financial statements have been restated to correct this error. 19 REMUNERATION OF KEY MANAGEMENT PERSONNEL The remuneration of the directors and senior management (National Director,Finance Director, Legal Programmes Director) is set out below in aggregate as required by IAS 24 Related Party Disclosures: Short-term employee benefits Pension contributions 11 530 171 522 2014 $ 159 992 2013 $ 148 092 12 588 160 680 Under accounts receivables further disclosures relating loans to key staff are required as follows Included in prepayments - Advanced during the year 16 299 1 080 Repaid during the year (16 299) (1 080) Balance at the end of the year - - 20 FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICES The organisation has overall responsibility for the determination of the organisation’s risk management objectives and policies and, whilst retaining ultimate responsibility for them, it has delegated the authority for designing and operating processes that ensure the effective implementation of the objectives and policies to the organisation’s finance function. The organisation’s management also reviews the risk management policies and processes and reports their findings to the organisation. The company is exposed through its operations to the following financial risks: 1. Credit risk 2. Fair value or cash flow interest rate risk 3. Liquidity risk 20.1 Interest Rate Risk Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in the market interest rates. The organisation has borrowing that is subject to both fixed interest rates and floating interest rates. Details of the organisation’s borrowings are described in Note 15. The Board of Trustees is dedicated to reviewing the loan exposures and repayment plans for the organisation’s external borrowings. The Board of Trustees reviews the loan exposures, meets on regular basis and uses various models to project the organisation’s risk exposures and proposes methods to deal with the risk arising in an appropriate manner. The Board of Trustees also approves the term sheets for such borrowing, and ensures that the interest rate exposure of the organisation is appropriately managed. 20.2 Credit risk Credit risk is the risk that a counter party will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. The organisation is exposed to credit risk from its operating activities (primarily for trade receivables) and from its financing activities, including deposits with banks and financial institutions and other financial instruments. Financial assets, which potentially subject the organisation to concentration of credit risk, consist of accounts receivable and cash. The organisation’s cash equivalents are placed with high credit quality financial institutions. Trade debtors are presented net of allowances for doubtful debts. Credit with respect to trade debtors is limited due to stringent credit control policy. 54