TRADE AND ECONOMIC DEVELOPMENT DEPARTMENT

In reply to Dr McFETRIDGE (Morphett) (20 November 2007).

The Hon. K.O. FOLEY (Port Adelaide—Deputy Premier, Treasurer, Minister for Industry and Trade, Minister for Federal/State Relations): The Department of Trade and Economic Development (DTED) has advised that the loss on sale of assets relates predominantly to the disposal of land at Monarto (which accounts for $98,000) and the disposal of office equipment (including one laptop).

The land at Monarto was classified as 'non-current assets held for sale' in the DTED 2005-06 financial statements and was subsequently sold in 2006-07.

When the land was valued, DTED obtained two valuations—one valuation for each of the three individual allotments (totalling $1.099 million) and one valuation for all three allotments (total $1 million) in order to provide a market value of all the allotments should they be sold as one.

In accordance with Australian accounting standards, the collective value of the individual allotments was recorded in the financial statements. When the land was sold, it was sold as one package and although DTED incurred a loss on disposal as a result of recording the collective value of each allotment, the land was sold at market value, per the valuer's report.