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26 TRUST STRUCTURE (CONTINUED)
The jointly controlled entities assets and liabilities accounted for using equity accounting was:
Consolidated
2016
$'000
2015
$'000
Statement of financial position
Current assets
23,952
33,181
Non-current assets
85,754
76,935
Total assets
109,706
110,116
Current liabilities
9,980
23,569
Non-current liabilities
48,453
42,157
Total liabilities
58,433
65,726
Net assets
51,273
44,390
The jointly controlled entities revenue and expenses accounted for using equity accounting was:
Consolidated
2016
$'000
2015
$'000
Statement of comprehensive revenue and expense
Revenues
68,346
48,102
Expenses
(60,761)
(51,654)
Surplus before income tax
7,585
(3,552)
Recognition and measurement
Investments in joint ventures are classified as either jointly controlled assets, joint operations or jointly controlled entities
depending on the contractual rights and obligations of each investor. The Trust has assessed the nature of its joint ventures and
determined them to be jointly controlled entities. Jointly controlled entities are accounted for using the equity method.
Under equity method of accounting, interests in jointly controlled entities are initially recognised at cost and adjusted thereafter
to recognise the Trust’s share of the post-acquisition profits or losses and movements in other comprehensive revenue and
expense. When the Trust’s share of losses in jointly controlled entities equals or exceeds its interest in the jointly controlled
entity (which includes any long term interests that, in substance, form part of the Trust’s net investment in the jointly controlled
entity), the Trust does not recognise further losses, unless it has incurred obligations or made payments on behalf of the jointly
controlled entity.
Unrealised gains or transactions between the Trust and its jointly controlled entities are eliminated to the extent of the Trust’s
interest in the jointly controlled entity. Unrealised losses are also eliminated unless the transaction provides evidence of an
impairment of the assets transferred.
WAIKATO RAUPATU LANDS TRUST
Notes to the financial statements
FOR THE YEAR ENDED 31 MARCH 2016