2022 AVBOB Integrated Annual Report - FINANCIALS

CHAPTER 8 | FINANCIAL STATEMENTS 126 INTEGRATED ANNUAL REPORT 2022 AVBOB MUTUAL ASSURANCE SOCIETY AND ITS SUBSIDIARIES NOTES TO THE SUMMARISED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2022 (continued) 21. RESTATEMENT - CLASSIFICATION OF DIVIDENDS RECEIVED AND INTEREST RECEIVED AS INVESTMENT INCOME 2021 2021 Previous Adjustment Restated R 000 R 000 R 000 SOCIETY Statement of comprehensive income Net fair value gain on financial assets at FVPL 3 558 246 (3 558 246) - Investment income 290 933 663 839 954 772 Other gains/(losses) 4 039 2 894 407 2 898 446 GROUP Statement of comprehensive income Net fair value gain on financial assets at FVPL 3 558 246 (3 558 246) - Investment income 179 482 663 839 843 321 Other gains/(losses) ( 896) 2 894 407 2 893 511 22. RESTATEMENT - CLASSIFICATION BETWEEN CASH AND CASH EQUIVALENTS AND FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT AND LOSS 2021 2021 Previous Adjustment Restated R 000 R 000 R 000 SOCIETY Statement of financial position Financial assets at FVPL 19 297 673 115 156 19 412 829 Listed fixed-income securities 4 284 134 115 156 4 399 290 Cash and cash equivalents 2 521 848 (115 156) 2 406 692 A short-term interest-bearing income fund that is actively used for operational cash purposes in the Society's Financial Sector Code investment portfolio was previously disclosed as cash and cash equivalents. Considering the nature of this income fund, it is deemed to be more accurate to disclose it as part of financial assets at FVPL. The reclassification adjustment had an impact on cash and cash equivalents and financial assets at fair value through profit and loss in the statements of financial position and the statements of cash flows. The reclassification adjustment had no impact on profit before transfer to policyholder liabilities or the income tax expence. Dividends received and interest received were previously disclosed in net fair value gains on financial assets at FVPL. Considering the nature of this income, it is deemed to be more accurate to disclose it as part of investment income. In addition, the remaining net fair value gains on financial assets at fair value through profit and loss were reclassified as other gains in the statements of comprehensive income. The reclassification adjustment had an impact on the statements of comprehensive income, but no impact on profit before transfer to policyholder liabilities or the income tax expense.