1993 — Page 58

KUB

九巴服務 日日進步

NOTES ON THE ACCOUNTS

56

d.

Leased assets

Payments under operating leases are charged to the profit and loss account on a

straight line basis over the periods of the respective leases.

Deferred taxation

Deferred taxation is provided using the liability method in respect of the taxation

effect arising from all timing differences which are expected with reasonable

probability to crystallise in the foreseeable future.

2. TURNOVER

Turnover comprises fares and other income from the operation of franchised public buses

by the Company.

3.

PROFIT BEFORE TAXATION

Profit before taxation is arrived at after charging:-

1993

HK$'000

1992

HK$'000

Depreciation

196,302

171,664

Operating lease charges on

temporary bus depots and terminal shelters

6,857

20,110

- buses

1,271

5,641

Auditors' remuneration

734

686

Interest payable on:-

Bank loans and overdrafts repayable

―

– within 5 years

26,401

-

over 5 years

7,278

22,911

15,582

Balance of premium on land

4

27

Provision for staff retirement fund

- additional contribution

126,000

90,200

— annual contribution

87,661

77,694