b'EPRA ANNUAL REPORT 2014ELECTRONIC PRODUCTS RECYCLING ASSOCIATIONnotes to financial statementsYear ended December 31, 2014The Electronic Products Recycling Association (theEPRA program. The Association recognizes these EPRA or the Association) is an industry-led, not-for- fees as revenue when received or receivable if profit association dedicated to ensuring the safe, securethe amount to be received can be reasonably and responsible recycling of end-of-life electronics andestimated and collection is reasonably assured. ensuring compliance with the provincial regulationsEHF revenue is recognized as individual stewards on electronics recycling. Members of Electronicsreport and remit them as required by applicable Product Stewardship Canada and the Retail Council ofprovincial environmental legislation.Canada established the EPRA in 2011. The EPRA collectsManagement fee and interest revenue are environmental handling fees from registered companiesrecognized as earned.(stewards) who sell electronics into the marketplace. These fees are in turn used to pay the handlers of end-of- (c) Direct collection, handling and processing and life electronics, mainly collection depots, transportationother expenses:companies and processors. The fees also cover theProcessing, handling and collection expenses communication and education outreach on the(including transportation, warehouse and related electronics recycling programs and drop-off locations. storage) are recorded on the date the electronics The EPRA was incorporated on April 14, 2011 as aare gathered from collection sites. Other Canadian not-for-profit organization without shareexpenditures are recognized as incurred. capital. The Association was previously incorporated(d) Allocated expenditures:under the Canada Corporations Act and was continuedAllocated expenditures, such as administration under the Canada Not-for-Profit Corporations Act inservices, including harmonization costs, recycling March 2013. The Association operates programs in Britishquality office costs, administration and other Columbia, Manitoba, Quebec, Nova Scotia and Princegovernance expenses, are allocated to the EPRA Edward Island, Saskatchewan, and Newfoundland ®ions of British Columbia, Manitoba, Quebec, Labrador without monetary gain or profit to its stewards.Nova Scotia, Prince Edward Island, Saskatchewan The EPRA is exempt from income taxes under Section 149and Newfoundland & Labrador based on actual (1) of the Income Tax Act (Canada).costs as incurred.1. Significant accounting policies: (e) Capital assets:These financial statements have been prepared byPurchased capital assets are recorded at cost. management in accordance with Canadian accountingAmortization is provided on a straight-line basis standards for not-for-profit organizations: over the estimated useful lives of the assets. Repairs (a) Cash and cash equivalents: and maintenance costs are charged to expense. Betterments which extend the estimated life of Cash and cash equivalents include cash on handan asset are capitalized. When a capital asset and term deposits which are highly liquid. no longer contributes to the Associations ability (b) Revenue: to provide services, its carrying amount is written The Association follows the deferral method ofdown to its residual value. accounting for revenue. Environmental handling3 yearsfees (EHF) are received from registered stewardsSoftware within the provinces which participate in the5 yearsFurniture and equipment Over lease termLeasehold improvements23'