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Salaries and Wages. Head Office costs under this heading are disproportionate while only one station is in operation, but the effect will diminish as all stations become revenue-earning. Sjjj It will be noted that, after making allowance for purely capital charges, expenditure amounted to some £9,057, against which revenue earnings were £6,462. Accounts. The Revenue Account for the period of operation, and Balance-sheet as at 31st March, 1937, certified by the Controller and Auditor-General, are also attached. Advertising Contracts. During the period under review contracts were accepted, not only for broadcasting from Station IZB, Auckland, but also for national advertising to be broadcast from all stations. The position at 31st March, 1937, is shown below : — £ Total contracts accepted to 31st March .. .. .. .. 26,357 Value of advertising charged to 31st March .. .. .. .. 6,462 Contracts uncompleted at 31st March .. .. .. .. 19,895 I have, &c., James Shelley, Director of Broadcasting. The Right Hon. the Prime Minister.

THE NEW ZEALAND BROADCASTING BOARD. Revenue Account fob the Six Months ended 30th June, 1936. Expenditure. £ s. d. Income. £ g. d. Expenditure on programmes including payments to License fees .. .. .. .. 112 863 6 1 artists, performing rights, relay lines, music, Net interest .. .. .. .. 1319133 salaries, and expenses of programme staff, records, stationery, and sundry miscellaneous items .. 33,735 3 0 Maintenance of plant, power, salaries of engineering and operating staffs .. .. . . 8,449 13 4 General expenses including rent, rates, insurance, lighting, heating, legal, audit, printing, stationery, salaries and wages, telephones, travelling-expenses, repairs and maintenance of buildings, and sundry miscellaneous items .. .. .. 7,338 6 11 Administration salaries and expenses .. .. 3,925 5 7 Subsidies to "B" Stations .. .. .. 1,281 0 0 Depreciation of assets .. .. .. 11,820 5 8 Balance .. .. .. .. .. 47,633 410 £114,182 19 4 £114,182 19 4 Balance-sheet as at 30th June, 1936. Liabilities. Assets. I. Accumulated Eund — £ s. d. £ s. d. I. Land and buildings — £ s. d. £ g. d. Balance at Ist January, Balance at Ist January, 1936, 1936.. .. .. 181,686 17 0 less depreciation .. 84,935 8 9 Balance of Revenue Ac- Additions during 1936 at count at 31st December, cost, less depreciation .. 11,616 10 0 1935.. .. .. 2,502 14 5 11. Machinery and plant— 96,551 18 9 Transfer of Reserve for Balance at Ist January, 1936, Renewals and Replace- less depreciation .. 52,203 5 10 ments .. .. 14,000 0 0 Additions during 1936 at 198,189 11 5 cost, less depreciation .. 1,231 310 11. Sundry creditors .. .. .. 6,070 11 1 53,434 9 S 111. Revenue Account: Balance 111. Office and studio equipment— as at 30th June, 1936 .. .. 47,633 410 Balance at Ist January, 1936, less depreciation .. 7,019 15 0 Additions during 1936 at cost, less depreciation .. 1,034 13 2 8,054 8 2 IV. Sundry debtors and prepayments .. .. .. .. 3,239 3 2 V. Post and Telegraph Department — Investment Account .. 72,000 0 0 License Fees Account .. 14,863 6 1 86,863 6 1 VI. Cash at bank and in hand— At bank .. .. 3,640 1 6 In hand .. .. .. 110 0 0 3,750 1 6 £251,893 7 4 £251,893 7 4 H. D. Vickery, Chairman. I liereby certify that the Revenue Account and Balance-sheet have been duly examined and compared with the relative books and documents submitted for audit, and correctly state the position as disclosed thereby.—J. H. Fowler, Deputy Controller and Auditor-General.

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