2021 Annual Report

110 City of Chilliwack TOURISM CHILLIWACK INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Year Ended December 31, 2021 TOURISM CHILLIWACK INC. Notes to Consolidated Financial Statements (continued) Year ended December 31, 2021 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 and other income is recorded at time of sale. Rental revenues are recognized in the period the facilities are occupied. Revenue received in advance of the fee being earned or the service being performed is deferred and recognized when the fee is earned or service performed. 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 30, 2021. (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. 2. Inventories: 2021 2020 Flag shop inventory $ 15,640 $ 14,549 Maps, apparels and books 17,184 17,166 $ 32,824 $ 31,715 6 Annual Report 2021 111 TOURISM CHILLIWACK INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Year Ended December 31, 2021 TOURISM CHILLIWACK INC. Notes to Consolidated Financial Statements (continued) Year ended December 31, 2021 3. Tangible capital assets: 2021 2021 Opening Closing Cost Additions Disposals Cost Furniture and fixtures $ 67,738 $ - $ - $ 67,738 Computers 64,835 660 - 65,495 Leasehold Improvements 127,915 - - 127,915 Website 87,222 - - 87,222 $ 347,710 $ 660 $ - $ 348,370 2021 Opening 2021 Closing Accumulated Amortization Accumulated Amortization Disposals expense Amortization Furniture and fixtures $ 57,173 $ - $ 3,730 $ 60,903 Computers 57,287 - 3,448 60,735 Leasehold Improvements 123,305 - 1,636 124,941 Website 82,140 - 2,625 84,765 $ 319,905 $ - $ 11,439 $ 331,344 2021 Opening 2021 Closing Net book value Net book value Furniture and fixtures $ 10,565 $ 6,835 Computers 7,548 4,760 Leasehold Improvements 4,610 2,974 Website 5,082 2,457 $ 27,805 $ 17,026 Not included in tangible capital assets is $68,143 (2020 - $68,143) of works of art and cultural assets. During fiscal 2017, when these were purchased they were expensed on the statement of operations. 7

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