Note 20: Memorandum account

Actual
2013/14
$000
Actual
2012/13
$000
Audit and assurance services
Balance at 1 July - -
Revenue 72,139 -
Expenses (71,605) -
Surplus/(deficit) for the year 534 -
Balance at 30 June 534 -

The Office has established a memorandum account, commencing from the 2013/14 financial year. The memorandum account summarises the accumulated surpluses and deficits incurred in the provision of audit and assurance services by the Office on a full cost recovery basis. These transactions are included as part of the Office's operating income and expenses in the surplus/deficit, however are excluded from the calculation of the Office's repayment of surplus (refer Note 12). The cumulative balance of the surplus/(deficit) of the memorandum account is recognised as a component of equity (refer Note 14).

The balance of the memorandum account is expected to trend toward zero over a reasonable period of time. The memorandum account balance will be taken into account when setting fees in future years.