Notes to the Financial Statements

for the year ended 30 September 2019

12. Financial instruments

Credit risk

The Society is party to the following financial instruments: Cash, Deposits, Debtors, Prepayments, Creditors and Accruals. The financial instruments which potentially subject the Society to credit risk principally consist of Cash, Deposits and Debtors. The maximum exposure to credit risk is:

2019 2018 $ $

The fair value of the financial instruments is their carrying value as shown in the Statement of Financial Position. No collateral is held on the above amounts.

Concentrations of credit risk

The Society is not exposed to any concentrations of credit risk, as the cash and deposits are made with a number of registered banks.

Credit facilities

The Society has a total bank overdraft facility of $100,000 (2018: $100,000). Of this, none has been utilised by the Society at balance date. ASB Bank Limited holds a registered mortgage over the Society’s building, Chancery Chambers, at 2 Chancery Street in regards to this facility agreement.

Interest rate risk

The Society is exposed to interest rate risk in that future interest rate movements will affect the returns earned and the cash flows on short-term bank deposits and the interest paid on bank debts.

13. Related parties

There are transactions between the Society and its Members in the normal course of business. The following persons were members of the Council as at 30 September 2019: Tony Bouchier, Marie Dyhrberg QC, Chris Eggleston, Craig Fisher, Tony Herring, Mary Anne Shanahan, Ellen Snedden, Michael Wallmannsberger.

The following persons were members of the Council during the financial year and retired or did not have terms renewed at the March 2019 AGM: Joanna Pidgeon, Stephanie Nicolson, Bernard Smith.

Cash and deposits 3,554,850 3,340,327 Debtors 559,443 458,250 4,114,293 3,798,577 2019 2018 $ $

President’s honorarium 111,720 111,020

Non-lawyer Council members’ remuneration 30,000 28,750

President’s expenses 5,675 4,913

Council members’ expenses 8,569 9,188

Council members’ expenses are primarily for non-Auckland members’ travel and accommodation whilst engaged on Council business.