2020 Annual Report

City of Chilliwack 106 TOURISM CHILLIWACK INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Year Ended December 31, 2020 TOURISM CHILLIWACK INC. Notes to Consolidated Financial Statements (continued) Y ar ended December 3 , 2020 1. Significant accounting policies (continued): (e) Revenue recognition: Grant revenues are recognized when the grants have been approved and the conditions required to earn the grants have been completed. Revenue from the sale of goods is recorded at time of sale. Advertising commission revenue is recognized when the related advertisement or commercial appears before the public. (f) Budget figures: Budget figures represent the budget approved by board of directors on November 26, 2019. (g) Use of estimates: The preparation of the financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the year. Actual results could differ from those estimates. 6