2000 Annual Report - Heron Resources Limited

5.0 Continued
Financial Statements
• 1,000,000 Options were issued to I J Buchhorn during the year as approved by Shareholders at the 1999 Annual
General Meeting on the following terms:
Number Issued Expiry Date Exercise Price
200,000 19 December 2002 25 cents
200,000 19 December 2002 35 cents
200,000 19 December 2002 45 cents
200,000 19 December 2002 55 cents
200,000 19 December 2002 65 cents
The value of Options is calculated to be $60,000. This amount has been included in the remuneration of Directors
(Note 14).
d) No other benefits have been received or are receivable by Directors or Director related entities, other than those already
disclosed in the notes to the accounts.
e) Heron Resources NL is the ultimate parent entity. Ownership interest in the controlled entity is as set out in Note 22.
NOTE 17. FINANCIAL INSTRUMENTS
a) Terms, conditions and accounting policies
The economic entity’s accounting policies, including the terms and conditions of each class of financial asset, financial
liability and equity instrument, both recognised and unrecognised at the balance date, are as follows:
Recognised Financial Balance Accounting Policies Terms and Conditions
Instruments
Sheet Notes
i) Financial assets
11am Call Accounts 11am Call Accounts are carried at cost. The 11am Call Accounts are at call
with an interest rate of 5.75%
(1999 : 4.5%).
Commercial Bills Commercial Bills are carried at an Commercial Bills have a term
amount representing cost and a portion of 26 days with an interest
of the discount recognised as
rate of 6.15% (1999 : nil).
income on an effective yield basis.
Environmental Bonds
ii) Financial liabilities
Environmental Bonds are carried at cost. Environmental Bonds are security
term deposits with a 6 month term
with an interest rate of 5.5%
(1999 : nil).
Trade creditors 10 Liabilities are recognised for amounts Trade liabilities are normally settled
and accruals to be paid in the future for goods and on 30 day terms.
services received, whether or not billed
to the economic entity.
iii) Equity
Ordinary Shares 12 Ordinary Share capital is recognised at Details of the Shares issued and the
the fair value of the consideration terms and conditions of the Options
received by the economic entity. outstanding over ordinary Shares at
balance date are set out in Note 12.
page 56 Heron Resources NL Annual Report 2000