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Advances fbom Broadcasting Account. In each Balance-sheet since the inception of Commercial broadcasting the total of advances to meet the cost of establishing the Service has shown successive increases until, at 31st March, 1939, the amount owing stood at £101,926. During the year now under review the balance was reduced by repayments totalling £33,000. As an offset to this figure, charges for interest (£3,678) and copyright (£4,421) have been added to the balance, leaving a net decrease of £24,901 in advances, which, at 31st March, 1940, stood at £77,025. C. G. Scbimgeour, Controller. NATIONAL COMMERCIAL BROADCASTING SERVICE. Income and Expenditure Account for the Year ended 31st March, 1940. Expenditure. Income. Expenditure on programmes, £ s. d. £ s. d. £ 8- d. including payments to artists, Sales of station time .. .. .. . . 171,547 11 11 hire of special recordings, relay Service fees .. .. .. .. • ■ 553 18 0 lines, and sundry miscellaneous Miscellaneous .. .. .. .. 29 It 11 items .. .. .. 14,775 8 2 Less sundry programme charges borne by advertisers .. 2,891 8 6 11,883 19 8 Broadcasting rights and copyright .. .. 4,758 0 8 General administrative and running expenses, including rents, rates, and insurance, lighting, heating, and power, legal and audit, printing and stationery, salaries and wages, telephone services, repairs and maintenance of buildings, plant and office and studio equipment, advertising, commission, participation in New Zealand Centennial Exhibition, and sundry miscellaneous items .. 116,360 4 11 Interest 3,678 3 9 Bad debts .. .. 1,270 14. 6 Depreciation .. .. .. .. 12,123 4 4 Balance carried down : Net profit for year .. 22,056 6 0 £172,130 13 10 £172,130 13 10 £ s. d. Balance brought forward from previous year .. 2,709 17 7 Fire loss, Station 3ZB : Balance written off .. 5,529 12 8 Reserve for income-tax .. .. •• 13,400 0 0 £ s. d. Balanco .. .. .. ..- •• 416 15 9 Balance brought down .. .. .. 22,056 6 0 £22,056 6 0 £22,056 6 0 Balance-sheet as at 31st March, 1940. Liabilities. Assets. £ s. d. £ s. d. Advances from Broadcasting Account .. .. 77,025 10 7 Land and buildings .. .. .. .. 4,923 7 4 Creditors £ 8, d. Transmitting and technical equipment .. .. 24,911 7 2 Sundry .. .. .. 1,739 12 0 Office and studio equipment, including furniture, Departmental 714 8 9 typewriters, office mechanical appliances, and Commission .. '.'. .. 2,485 011 library .. .. 22,773 1 3 4,938 19 8 Purchase of Station IZB, Auckland .. .. 20 0 0 Revenue received in advance .. .. .. 121 18 0 Motor-vehicle .. .. .. .. 371 11 7 Fees collected on behalf of agents .. .. 170 0 0 Records, music, and script .. .. .. 5,397 14 6 Income-tax deposits of staff . . .. . . 10 0 Highcliffe relay installation . . .. .. 300 0 0 Deposits on account of prize-money for competitions 731 19 9 Work in progress .. .. .. .. 329 9 9 Deposit Account .. .. .. • • 29 13 4 Payments in advance .. .. .. 71 19 10 Reserve for income-tax .. .. ■• 13,400 0 0 Unplayed episodes of features .. .. .. 650 11 6 Writings off, Reserve .. .. •• 1,687 13 10 Stocks of spares, transmitting and technical cquipIncome and Expenditure Account .. .. 416 15 9 ment .. .. .. .. •• 7,987 7 8 Debtors — £ s. d. £ s. d. Sundry .. 23,677 811 Departmental .. 345 2 7 24,022 11 6 Less reserve for bad debts .. 2,600 0 0 — 21,422 11 6 Cash in bank .. .. .. .. 7,641 1 8 Cash on deposit .. .. •. .. 29 13 4 Writings off, Suspense .. .. .. 1,687 13 10 £98,523 10 11 £98,523 10 11 C. G. Scrimgeouk, Controller. I hereby 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.— Cykil G. Collins, Controller and Auditor-General.

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