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APPENDIXES
QUEENSLAND ART GALLERY ANNUAL REPORT 2007–08 95
Other Market Sensitivity Analysis
The following other market risk sensitivity analysis is based on a report similar to that which would be provided to management, depicting the outcome to profit
and loss if the market changed by +/- 10% from the year-end rates applicable to the Gallery's financial assets.
With all other variables held constant, the Gallery would have a surplus and equity increase/(decrease) of $1 211 000 (2007: $1 531 000). This is mainly
attributable to the Gallery's exposure to other market risks on its managed funds and shares.
The disclosures are prepared on the basis of direct investment and not on a look through basis.
Consequently, interest rate risk and foreign currency rate risk of funds are not separately disclosed however are reflected in the price risk.
2008 Other Market price risk
Carrying amount
-10% Profit
+10% Profit
$'000
$'000
$'000
Financial Instruments
Managed funds and shares
12 107
(1211)
1211
Overall effect on profit
(1211)
1211
2007 Other Market price risk
Carrying amount
-10% Profit
+10% Profit
$'000
$'000
$'000
Financial Instruments
Managed funds and shares
15 314
(1531)
1531
Overall effect on profit
(1531)
1531
Interest Rate Sensitivity Analysis
The following interest rate sensitivity analysis is based on a report similar to that which would be provided to management, depicting the outcome to profit and
loss if interest rates would change by +/- 1% from the year-end rates applicable to the Gallery's financial assets and liabilities. With all other variables held
constant, the Gallery would have a surplus and equity increase/(decrease) of $226,000 (2007: $212,000). This is mainly attributable to the Gallery's exposure
to variable interest rates on its managed funds and shares.
2008 Interest rate risk
Carrying amount
-1% Profit
-1% Equity
+1% Profit
+1% Equity
$'000
$'000
$'000
$'000
$'000
Financial Instruments
Cash
10 999
(109)
(109)
109
109
Managed funds and shares
11 650
(117)
(117)
117
117
Overall effect on profit and equity
(226)
(226)
226
226
2007 Interest rate risk
Carrying amount
-1% Profit
-1% Equity
+1% Profit
+1% Equity
$'000
$'000
$'000
$'000
$'000
Financial Instruments
Cash
5884
(59)
(59)
59
59
Managed funds and shares
15 291
(153)
(153)
153
153
Overall effect on profit and equity
(212)
(212)
212
212
Fair Value
The fair value of financial assets and liabilities is determined as follows:
l
The carrying amount of cash, cash equivalents, receivables, payables approximate their fair value and are not disclosed separately below.
The carrying amounts of all financial assets and financial liabilities are representative of their fair value.