a) DANKE STATE UNIVERSITY
STATEMENT OF FINANCIAL PERFORMANCE FOR THE YEAR ENDED 31/12/2021

b) DANKE STATE UNIVERSITY
STATEMENT OF FINANCIAL POSITION AS AT 31/12/2021

c) Accounting policies applied in preparing the financial statements:

1. General Statement: The university prepares its financial statements in compliance with Public Financial Management Act 2016 (Act 921) and its Regulation 2019, LI2378, and International Public Sector Accounting Standards (IPSAS).
2. Basis of Accounting: The University uses Accrual Accounting Basis in the preparation of its Financial Statements.
3. Valuation of Receivables: The University fees recoverable are stated at those amounts only reflecting good receivables. Provision for unrecoverable fees income is made at the rate of 7%.
4. Depreciation of Non-Current Assets: The University uses the Straight-Line basis in computing its consumption of Fixed Assets, where the cost of the Fixed Assets is spread against its useful life. The basic Capital Assets and their Useful Life are as follows:

5. Inventory Valuation: In line with IPSAS 12, the University values stationery at the lower of cost and its replacement amount because it is held for consumption, but values its inventory of Textbook at the lower of cost and net realisable value since it is held for sale.

WORKINGS:

1. Internally Generated Fund
   | Item | GH¢’000 |
   |—————————-|———–| | Proceeds from Sale of Textbooks | 98,290 | | Mature Entrance Exams Fee | 190,280 | | Graduation Fees | 450,000 | | Fees Income | 3,600,000 | | Resit Examination Fees | 67,950 | | Sales of Admission Vouchers| 450,110 | | Transcript Fees | 24,700 | | Academic Facility User Fees| 2,040,580 | | Other Facility User Fees | 816,010 | | Less Prepayment | 1,050 | | Other Income | | | Interest on Staff Loan (2% of 187,200) | 3,744 | | Total Internally Generated Fund | 7,740,614 |
2. Compensation of Employees
   | Item | GH¢’000
   Established Post Salaries | 4,452,150 |
   | Outstanding Salaries | 120,000 |
   | Employer’s Contribution to Provident Fund | 22,550 |
   | Non-Established Post Salaries | 1,128,240 |
   | Casual Labour | 250,650 |
   | 13% SSF (Employer’s contribution) | 32,550 |
   | Salary Related Allowance | 180,560 |
   | Book and Research Allowance | 135,600 |
   | Total Compensation of Employees | 6,322,300 |
3. Goods and Services
   | Item | GH¢’000 | |——————————|———–|
   | Program Accreditation Cost | 508,950 |
   | Examination Invigilation Cost| 450,000 |
   | Cost of Textbooks | 45,790 |
   | Cost of Stationery | 342,290 |
   | Graduation Cost | 15,580 |
   | Meeting Sitting Allowance | 71,000 |
   | Exams Scripts Marking Cost | 78,050 |
   | Internet Broadband Cost | 5,338,270 |
   | Examination Moderation Cost | 226,670 |
   | Project Work Supervision Allowance | 43,650 |
   | Staff Training and Development | 2,093,600 |
   | Utility Bills | 504,040 |
   | Outstanding Utility Bills | 15,500 |
   | Applied Research Conference | 300,000 |
   | Bad Debt – Expelled students | 21,062 |
   | Provision for doubtful debt | 23,512 |
   | Sponsorship | 7,290 |
   | Total Goods and Services | 10,085,253 |
4. Other Expenses
   | Item | GH¢’000 | |——————————|———–|
   | Per Trial Balance | 63,900 |
   | Bad Debt – Expelled students | 21,062 |
   | Provision for doubtful debt | 23,512 |
   | Total Other Expenses | 108,473 |
5.  Non-Current Asset Schedule
   
6. Inventory
   
   
7. Receivables
   
8. Provision for Bad Debt
   | Item | GH¢’000 |
   | Balance b/f | 4,500 |
   | Charge for the year | 23,512 |
   | Total Provision for Bad Debt | 28,012 |
9. Payables
   | Item | GH¢’000 |
   | Balance Per TB | 164,550 |
   | Outstanding Utilities | 15,500 |
   | Outstanding Salaries | 120,000 |
   | Fees Prepayments | 1,050 |
   | Withholding Tax | 81,450 |
   | Total Payables | 382,550 |