STATE ADVANCES

Evening Post, Volume CXXIV, Issue 56, 3 September 1937, Page 10

STATE ADVANCES

CORPORATION YEAR

FINANCIAL RESULTS

SURPLUS FOR CROWN

A statement setting out the financial results of the past year's operations of the State Advances Corporation was published in the Gazette last evening. The interent account of the Corporation for the year ended March 31 last shows that interest amounting to £1,977,450 12s was received from mortgages, current accounts, and local body securities. Of this sum £128,291 8s 4d was transferred to the general reserve fund, leaving a balance of £1,849,165 3s Bd. Interest on temporary investments and sundries brought in £6032 Is 2d. Payments from the interest account by way of interest on stock and debentures amounted' to £1,107,990 15s 4d. The gross income carried forward to the profit and loss account was =£747,206.9s 6d. - The profit arid loss account shows that management '■ expenses (all inclusive) involved .an expenditure of £129,881 19s Id. An amount of £10,000 was set aside to reserve for losses, and £72,500 Was provided for contingent liability account. The net income carried forward to the appropriation account was £534,849 12s. According to the appropriation account, a surplus of £467,020 3s Id, including income tax provision, is available for distribution to the Crown. Dividends are represented by a payment of £4558 Is Id, income tax (balance 1935-36) by £58,020, and investment fluctuation .reserve by £20,000. The income of the appropriation account included £14,748 12s'2d from the superannuation reserve that was not required. ; The balance-sheet of the Corporation as at March 31, 1937 (shillings and pence omitted), was as follows:—

LIABILITIES. fi £ Authorised capital 1,000,000 Stock and debentures . 39,774,500 Accrued interest • 241,975 ■ — 40,016,475 Contingent liability to the Crown 11,715,730 Reserves— ■ General reserve ..... . 3,254,300 Reserve for losses on Investments ..... 15,000 ' Investment fluctuation reserve 30,000 . ■ — : 3,299,300 Sundry creditors 28,670 Surplus, Including income- tax provision ... 467,020 Balance of interest on : ■ contribution to general reserve .,. 62,256 . £56,589,458 •■■.'■ ASSETS. .■■■■■ ■ ''.•■. ,-•. « ' Mortgages and accrued ■ interest , 50,839,861 Securities in course of realisation • 335,038 Realisation suspense ac- ■ count (losses chargeable to contingent linv blllty account when defined) G3,G56 : 398,605 Advances on current account and accrued interest 1,409,808 Government and localbody securities and r accrued interest 3,230,079 Fixed assets—at cost, less provision for depreciation, office fur- l niture, and motor vehicles 29,517 Current assets— Sundry debtors ...... 4,986 i Lodgments in transit and cash in bank . and on hand 656,450 ggj 42» £56,589,458