**REGISTERED CHARITY NUMBER: 1053047**
## **REPORT OF THE TRUSTEES AND**
**UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2022**
## **FOR**
## **CHAPTER TWO**
Berringers LLP Chartered Accountants Lygon House 50 London Road Bromley Kent BR1 3RA
**CHAPTER TWO**
## **CONTENTS OF THE FINANCIAL STATEMENTS for the year ended 31 July 2022**
|||**Page**||
|---|---|---|---|
|**Reference and administrative details**||1||
|**Report of the trustees**|2|to|4|
|**Independent examiner's report**||5||
|**Statement of financial activities**||6||
|**Balance sheet**||7||
|**Notes to the financial statements**|8|to|15|
|**Detailed statement of financial activities**|16|to|17|
**CHAPTER TWO**
## **REFERENCE AND ADMINISTRATIVE DETAILS for the year ended 31 July 2022**
**TRUSTEES** S Attwood Mrs M E Cross H A Clark M D Grasso A F Warnes **PRINCIPAL ADDRESS** Fountain House Conduit Mews London SE18 7AP **REGISTERED CHARITY** 1053047 **NUMBER INDEPENDENT EXAMINER** Berringers LLP Chartered Accountants Lygon House 50 London Road Bromley Kent BR1 3RA
Page 1
**CHAPTER TWO**
## **REPORT OF THE TRUSTEES for the year ended 31 July 2022**
The trustees present their report with the financial statements of the charity for the year ended 31 July 2022. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
The present trustees, who all served throughout the year, are all listed on page 1.
## **OBJECTIVES AND ACTIVITIES**
## **Objectives and aims**
The principal objective is the advancement of the Christian faith through the provision of literature, and by other means including preaching, conferences, and various forms of outreach.
The charity owns three freehold properties which are used to meet its objectives. The shop, situated at 199 Plumstead Common, is used to distribute literature to the general public. The main warehouse and distribution centre is situated in Fountain House, 3 Conduit Mews, and this property is also used as an administration centre. The property situated at 2 Plum Lane is used to give short term accommodation to volunteer workers from UK and overseas.
The shop and warehouse continue to distribute literature, both by sale and by gift. The provision of free literature to support Christian outreach and follow-up is funded by sales to the public and by donations received into the General Fund. To enable the provision of quality Christian literature, the Trust seeks continually to update its book catalogue and to raise its profile locally as well through more general advertising.
## **Public Benefit**
The Trustees have had regard to Charity Commission guidance on public benefit and consider that the objectives, aims and achievements of the charity described in the report enable it to meet its duty to the Charity Commission as per Section 17 of the Charities Act 2011 and to the benefit of the public.
## **ACHIEVEMENT AND PERFORMANCE**
## **Charitable activities**
The general activities of the Trust continue to be self-financing, with donations and profits on sales of literature, financing literature distribution and administration.
During the year, the value of literature distributed worldwide has increased by 20%; the full range of activities, including the publication of new books and leaflets, has continued. Facilities at Fountain House for storage and despatch have been fully utilised. Literature and correspondence courses have continued to be sent to customers and other contacts in the UK and overseas, and in particular to UK prisons and detention centres.
Having said this, the coronavirus pandemic had some residual effects on the activities of the trust. It was not possible to hold the annual Plumstead Bible Conference at Yarnfield Park Training and Conference Centre in April 2022 due to concerns that a resurgence of the virus might result in the reimposition of restrictions on events and travel. This did not occur but we have since held a conference at the centre in April 2023.
Page 2
**CHAPTER TWO**
## **REPORT OF THE TRUSTEES for the year ended 31 July 2022**
## **ACHIEVEMENT AND PERFORMANCE**
We were able to achieve the following in 2021/22:
- Maintain recurring publications and restart new projects in the second half of the year which has led to two books and
- several tracts being printed since then.
- Open our shop on the street (199 Plumstead Common Road) throughout the year with sales exceeding previous years.
- Participate in the UK Christian Resources Exhibition in October 2021, which enabled us to reconnect with customers and make new contacts though the size of exhibition and the numbers who attended were less than in the years prior to the pandemic.
- Hold a successful second-hand book sale in January 2022.
- Supply literature for the Bibleway Camp bookstall in July 2022.
- Repair the back wall of Fountain House and carry out associated internal redecoration work.
- Extend the electricity supply contract for the shop on the street to 2026 before the significant hike in energy prices
- following the start of the war in Ukraine.
- Maintain sales internationally despite changing customs requirements since Brexit and the increased overheads associated with these in terms of time, cost and effort.
We believe these achievements have enabled us to maintain and improve our effectiveness and keep control of our running costs going forward.
## **FINANCIAL REVIEW**
## **Reserves policy**
The level of reserves is continually under review to ensure that adequate reserves are always available. The total reserves at 31 July 2022 stood at £1,648,119 (2021 - £1,678,673). This is to ensure that the Charity can meet its objectives and the Trustees are satisfied that the Charity has sufficient funds to fulfil its obligations.
The trustees have determined financial policies as set out below:
* the distribution of free literature, as well as other resources within the charity, continues to follow the principle laid down in 1 Peter 4:10 - 'As every man hath received the gift, even so minister the same one to another, as good stewards of the manifold grace of God.'
* cash resources not required for current needs are placed on bank deposit accounts prior to their being used to fund the Charity's activities.
* the charity is funded by both restricted and unrestricted funds.
* unrestricted funds are allocated to the general operations and activities. Donations are allocated to unrestricted funds unless specified otherwise by the donor. Assets representing unrestricted funds are managed by the General Manager and his staff.
* unrestricted funds (excluding designated funds) are to be maintained at a level sufficient to fund the stocks held for sale or distribution and to meet the costs of provision of further literature and governance costs for at least six months.
After meeting all the running costs of the charity, the final results from unrestricted activities, was a deficit of £26,015 (2021 - £34,602) Within the total figure for 2022, sales of literature showed an increase in turnover in comparison with the previous year and produced a surplus of £4,863 (2021 - £15,730).
The general fund at 31 July 2022 stood at £1,633,357 as compared with the balance at 31 July 2021 of £1,659,372.
## **FUTURE PLANS**
The Trustees are reliant on God's provision and help in fulfilling the purposes of the Trust and are thankful to record His goodness in sustaining them and the charity in his service. Continuing this dependence, the Trustees intend to continue the same activities for the forthcoming year to further the main objectives of the Trust.
The Trust has plans for future publishing projects and the promotion of the Christian faith, there are adequate reserves available to meet existing on-going needs. It will also continue to maintain and improve its buildings and other facilities.
Page 3
**CHAPTER TWO**
## **REPORT OF THE TRUSTEES for the year ended 31 July 2022**
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Governing document**
The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity.
The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity. Chapter Two is a trust governed by a constitution set out in November 1976 and revised in January 1995.
In the event of the charity being wound up, no liability in respect of the charity will vest in the members of the charity.
## **Recruitment and appointment of new trustees**
New trustees are appointed as and when required by the board of trustees.
## **Organisational structure**
The trustees have delegated day to day management of the charity to the General Manager Mr S Attwood. The General Manager organises the teams of volunteers involved in the distribution of literature from the shop and the warehouse. No salaries are drawn by the staff, all of whom are unpaid volunteers.
## **Related parties**
Mrs M Cross is also a trustee of the charity "Christian Outreach to the Handicapped". In addition Chapter Two continues to provide support services and consequently considers itself to be a connected party. Mr S Attwood is a trustee of UK Foundation for Christian Service, a charity which makes donations to Chapter Two from time to time.
Approved by order of the board of trustees on 8 May 2023 and signed on its behalf by:
S Attwood - Trustee
Page 4
## **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF CHAPTER TWO**
## **Independent examiner's report to the trustees of Chapter Two**
I report to the charity trustees on my examination of the accounts of Chapter Two (the Trust) for the year ended 31 July 2022.
## **Responsibilities and basis of report**
As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').
I report in respect of my examination of the Trust's accounts carried out under Section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under Section 145(5)(b) of the Act.
## **Independent examiner's statement**
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
1. accounting records were not kept in respect of the Trust as required by Section 130 of the Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Paul Allan BSocSC FCA
Berringers LLP Chartered Accountants Lygon House 50 London Road Bromley Kent BR1 3RA
8 May 2023
Page 5
## **CHAPTER TWO**
## **STATEMENT OF FINANCIAL ACTIVITIES for the year ended 31 July 2022**
|Notes
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
2
Charitable activities
3
Investment income
4
Other income
**Total**
**EXPENDITURE ON**
**Charitable activities**
5
Costs of charitable activities
Gifts & donations
Support costs
Donated books
**Total**
**NET INCOME/(EXPENDITURE)**
**Transfers between funds**
14
**Net movement in funds**
**RECONCILIATION OF FUNDS**
Total funds brought forward
**TOTAL FUNDS CARRIED FORWARD**|Unrestricted
funds
£
**52,733**
**135,351**
**87**
**-**
**188,171**
**130,088**
**-**
**76,152**
**-**
**206,240**
**(18,069)**
**(7,946)**
**(26,015)**
**1,659,372**
**1,633,357**|Restricted
funds
£
**17,408**
**-**
**-**
**-**
**17,408**
**-**
**21,520**
**-**
**8,373**
**29,893**
**(12,485)**
**7,946**
**(4,539)**
**19,301**
**14,762**|**2022**
**Total**
**funds**
**£**
**70,141**
**135,351**
**87**
**-**
**205,579**
**130,088**
**21,520**
**76,152**
**8,373**
**236,133**
**(30,554)**
**-**
**(30,554)**
**1,678,673**
**1,648,119**|2021
Total
funds
£
130,132
112,932
256
499|
|---|---|---|---|---|
|||||243,819|
|||||96,802
16,245
87,076
8,457|
|||||208,580|
|||||35,239
-|
|||||35,239
1,643,434|
|||||1,678,673|
The notes form part of these financial statements
Page 6
## **CHAPTER TWO**
## **BALANCE SHEET 31 July 2022**
|Notes
**FIXED ASSETS**
Tangible assets
10
**CURRENT ASSETS**
Stocks
11
Debtors
12
Cash at bank and in hand
**CREDITORS**
Amounts falling due within one year
13
**NET CURRENT ASSETS**
**TOTAL ASSETS LESS CURRENT**
**LIABILITIES**
**NET ASSETS**
**FUNDS**
14
Unrestricted funds
Restricted funds
**TOTAL FUNDS**|Unrestricted
funds
£
**1,096,103**
**280,560**
**18,492**
**255,622**
**554,674**
**(17,420)**
**537,254**
**1,633,357**
**1,633,357**|Restricted
funds
£
**-**
**-**
**-**
**28,267**
**28,267**
**(13,505)**
**14,762**
**14,762**
**14,762**|**2022**
**Total**
**funds**
**£**
**1,096,103**
**280,560**
**18,492**
**283,889**
**582,941**
**(30,925)**
**552,016**
**1,648,119**
**1,648,119**
**1,633,357**
**14,762**
**1,648,119**|2021
Total
funds
£
1,122,061
277,037
65,674
236,535
579,246
(22,634)
556,612
1,678,673
1,678,673
1,659,372
19,301
1,678,673|
|---|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 8 May 2023 and were signed on its behalf by:
S Attwood - Trustee
The notes form part of these financial statements
Page 7
**CHAPTER TWO**
## **NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2022**
## **1. ACCOUNTING POLICIES**
## **Basis of preparing the financial statements**
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention, as modified by the revaluation of certain assets.
## **Income**
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Donations, legacies and gifts are recognised when received or when the charity becomes legally entitled to them, having been notified in writing of both the amount and settlement date. Donations are allocated specifically at the request of the donor, or to the general fund. For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the charity that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor's intention to make a distribution.
## **Expenditure**
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
## **Tangible fixed assets**
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
|Freehold property|- 2% straight line|
|---|---|
|Fixtures and fittings|- 25% on reducing balance|
|Motor vehicles|- 25% on reducing balance|
Tangible fixed assets were capitalised at cost including any incidental expenses of acquisition or in cases where they have been donated the value at the time the donated asset is received. The freehold land and buildings have been subsequently recorded at valuation as at 8 July 2020. The Trustees believe that there has been no material market movement since then.
## **Stocks**
Stocks are valued at the lower of cost or net realisable value after making due allowance for any obsolete or slow moving items. A provision based on the current level of stocks given away during the current year is made to reduce the carrying value of stocks in respect of stocks to be given away during the forthcoming year.
## **Taxation**
The charity is exempt from tax on its charitable activities.
## **Fund accounting**
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
The three restricted funds include;
continued...
Page 8
**CHAPTER TWO**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 July 2022**
## **1. ACCOUNTING POLICIES - continued**
## **Fund accounting**
- 1) General gifts and donations that are used as specified by the donor.
- 2) Gifts of Bibles for Prisons
- 3) The conference, held in Yarnfield Park Training and Conference Centre.
The conference surplus/deficit is netted off to the general fund, and the balance of the gifts and donations are carried forward. Gifts for Bibles for Prisons, if in deficit, will be supported by the general fund.
## **Foreign currencies**
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.
## **2. DONATIONS AND LEGACIES**
## **3.**
|Gifts
Legacies
**CHARITABLE ACTIVITIES**
Sale of literature & related products
Management charges|**2022**
**£**
**65,441**
**4,700**
**70,141**
**2022**
**£**
**134,951**
**400**
**135,351**|2021
£
85,132
45,000|
|---|---|---|
|||130,132|
|||2021
£
112,532
400|
|||112,932|
The sale of Christian literature is considered by the Trustees to be trade pursuant to the charity's objects.
## **4. INVESTMENT INCOME**
|**INVESTMENT INCOME**|||
|---|---|---|
||**2022**|2021|
||**£**|£|
|Deposit account interest|**87**|256|
continued...
Page 9
## **CHAPTER TWO**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 July 2022**
## **5. CHARITABLE ACTIVITIES COSTS**
|**5.**
**CHARITABLE ACTIVITIES COSTS**|||||
|---|---|---|---|---|
|Costs of charitable activities
Gifts & donations
Support costs
Donated books
**6.**
**SUPPORT COSTS**
Support costs
Support costs, included in the above, are as follows:
**Other**
Rates and water
Insurance
Light and heat
Telephone
Postage and stationery
Advertising
Travelling
Motor expenses
Website & computer
Repairs & renewals
Cleaning & waste disposal
Sundries
Exchange rate movement
Amortisation of intangible fixed assets
Depreciation of tangible fixed assets
Leasing|Finance
£
**3,353**|Support
Direct
costs (see
Costs
note 6)
£
£
**130,088**
**-**
**21,520**
**-**
**2,308**
**73,844**
**8,373**
**-**
**162,289**
**73,844**
Governance
Other
costs
£
£
**63,191**
**7,300**
**2022**
Support
costs
**£**
**5,949**
**2,393**
**5,005**
**3,102**
**3,579**
**8,032**
**513**
**2,841**
**3,461**
**7,875**
**784**
**2,207**
**(10,223)**
**-**
**26,564**
**1,109**
**63,191**|Totals
£
**130,088**
**21,520**
**76,152**
**8,373**||
||||**236,133**||
||||Totals
£
**73,844**
2021
Total
activities
£
**5,435**
**2,433**
**4,592**
**4,311**
**2,477**
**4,093**
**87**
**3,361**
**3,049**
**5,494**
**712**
**1,670**
**8,507**
**2,212**
**27,488**
**1,014**
**76,935**|Totals
£
**73,844**|
|||||**76,935**|
continued...
Page 10
**CHAPTER TWO**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 July 2022**
## **6. SUPPORT COSTS - continued Governance costs**
|**SUPPORT COSTS - continued**
**Governance costs**|||
|---|---|---|
||**2022**|2021|
||Support|Total|
||costs|activities|
||**£**|£|
|Accountancy|**2,800**|**2,820**|
|Independent examination|**4,500**|**4,375**|
||**7,300**|**7,195**|
## **7. TRUSTEES' REMUNERATION AND BENEFITS**
Expenses during the year paid on behalf of a trustee amounted in total to £nil (2021 - £67) for travel costs on behalf of Chapter Two.
## **Trustees' expenses**
Included within restricted funds are those donations of £4,531 (2021 - £4,659) that were received by Chapter Two and distributed to specific Trustees as per the donors instructions.
In the year accommodation was provided for a few days a week in one of the properties owned by the charity to one trustee to enable him to more effectively fulfil his duties as a trustee in furthering the sale and distribution of Christian literature. The trustee lives at such a distance from the charity that daily commuting would be both costly to the charity and impractical.
## **8. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
|**INCOME AND ENDOWMENTS FROM**
Donations and legacies
Charitable activities
Investment income
Other income
**Total**
**EXPENDITURE ON**
**Charitable activities**
Costs of charitable activities
Gifts & donations
Support costs
Donated books
**Total**
**NET INCOME/(EXPENDITURE)**
**Transfers between funds**
**Net movement in funds**
**RECONCILIATION OF FUNDS**
Total funds brought forward|Unrestricted
funds
£
107,632
112,932
256
499
221,319
96,802
-
83,896
-
180,698
40,621
(6,019)
34,602
1,624,770|Restricted
funds
£
22,500
-
-
-
22,500
-
16,245
3,180
8,457
27,882
(5,382)
6,019
637
18,664|Total
funds
£
130,132
112,932
256
499|
|---|---|---|---|
||||243,819|
||||96,802
16,245
87,076
8,457|
||||208,580|
||||35,239
-|
||||35,239
1,643,434|
continued...
Page 11
## **CHAPTER TWO**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 July 2022**
## **8. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued**
|**TOTAL FUNDS CARRIED FORWARD**
**9.**
**INTANGIBLE FIXED ASSETS**
**COST**
At 1 August 2021 and 31 July 2022
**AMORTISATION**
At 1 August 2021 and 31 July 2022
**NET BOOK VALUE**
At 31 July 2022
At 31 July 2021|Unrestricted
funds
£
1,659,372|Restricted
funds
£
19,301|Total
funds
£|
|---|---|---|---|
||||1,678,673|
||||Website
£
**4,425**
**4,425**
**-**
-|
|**10.**
**TANGIBLE FIXED ASSETS**
**COST**
At 1 August 2021
Additions
At 31 July 2022
**DEPRECIATION**
At 1 August 2021
Charge for year
At 31 July 2022
**NET BOOK VALUE**
At 31 July 2022
At 31 July 2021|Freehold
property
£
**1,130,000**
**-**
**1,130,000**
**22,600**
**22,600**
**45,200**
**1,084,800**
1,107,400|Fixtures
and
fittings
£
**49,516**
**606**
**50,122**
**47,336**
**696**
**48,032**
**2,090**
2,180|Motor
vehicles
£
**26,222**
**-**
**26,222**
**15,514**
**2,677**
**18,191**
**8,031**
10,708|Computer
equipment
£
**2,364**
**-**
**2,364**
**591**
**591**
**1,182**
**1,182**
1,773|Totals
£
**1,208,102**
**606**|
|---|---|---|---|---|---|
||||||**1,208,708**|
||||||**86,041**
**26,564**|
||||||**112,605**|
||||||**1,096,103**|
||||||1,122,061|
The properties were revalued by P L W Morgan FRICS MCIArb of Morgans Chartered Surveyors, 28 Sundridge Avenue, Bromley BR1 2PX on 8 July 2020. Currently the valuation of the property is represented by:
|£|£|
|---|---|
|**Valuation surplus**
841,463||
|**Cost**
288,537||
|||
|**Total**
1,130,000||
|||
The Trustees believe that there has been no material market movement since then.
continued...
Page 12
**CHAPTER TWO**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 July 2022**
## **11. STOCKS**
|**11.**
**STOCKS**||||||
|---|---|---|---|---|---|
|Stocks
**12.**
**DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Trade debtors
Other debtors
VAT
Prepayments
**13.**
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Trade creditors
Other creditors
**14.**
**MOVEMENT IN FUNDS**
Net
movement
At 1.8.21
in funds
£
£
**Unrestricted funds**
General fund
**817,908**
**(18,069)**
Revaluation reserve
**841,464**
**-**
**1,659,372**
**(18,069)**
**Restricted funds**
Gifts and Donations
**19,301**
**(4,539)**
Bibles and Prison
**-**
**(7,946)**
**19,301**
**(12,485)**
**TOTAL FUNDS**
**1,678,673**
**(30,554)**||**2022**
**£**
**280,560**
**2022**
**£**
**10,103**
**-**
**2,349**
**6,040**
**18,492**
**2022**
**£**
**10,223**
**20,702**
**30,925**
Transfers
between
funds
£
**(7,946)**
**-**
**(7,946)**
**-**
**7,946**
**7,946**
**-**||2021
£
277,037||
|||||2021
£
10,260
45,000
2,149
8,265
65,674
2021
£
4,240
18,394
22,634
At
31.7.22
£
**791,893**
**841,464**|2021
£
10,260
45,000
2,149
8,265|
||||||65,674|
||||||2021
£
4,240
18,394|
||||||22,634|
||||**1,633,357**
**14,762**
**-**|||
||||**14,762**|||
||||**1,648,119**|||
continued...
Page 13
## **CHAPTER TWO**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 July 2022**
## **14. MOVEMENT IN FUNDS - continued**
Net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**Restricted funds**
Gifts and Donations
Bibles and Prison
**TOTAL FUNDS**|Incoming
resources
£
**188,171**
**16,981**
**427**
**17,408**
**205,579**|Resources
Movement
expended
in funds
£
£
**(206,240)**
**(18,069)**
**(21,520)**
**(4,539)**
**(8,373)**
**(7,946)**
**(29,893)**
**(12,485)**
**(236,133)**
**(30,554)**|Resources
Movement
expended
in funds
£
£
**(206,240)**
**(18,069)**
**(21,520)**
**(4,539)**
**(8,373)**
**(7,946)**
**(29,893)**
**(12,485)**
**(236,133)**
**(30,554)**|
|---|---|---|---|
||||**(12,485)**|
||||**(30,554)**|
## **Comparatives for movement in funds**
|**Unrestricted funds**
General fund
Revaluation reserve
**Restricted funds**
Gifts and Donations
Bibles and Prison
**TOTAL FUNDS**|At 1.8.20
£
783,306
841,464
1,624,770
18,664
-
18,664
1,643,434|Net
movement
in funds
£
40,621
-
40,621
637
(6,019)
(5,382)
35,239|Transfers
between
funds
£
(6,019)
-
(6,019)
-
6,019
6,019
-|At
31.7.21
£
817,908
841,464|
|---|---|---|---|---|
|||||1,659,372
19,301
-|
|||||19,301|
|||||1,678,673|
Comparative net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**Restricted funds**
Gifts and Donations
Bibles and Prison
**TOTAL FUNDS**|Incoming
resources
£
221,319
20,062
2,438
22,500
243,819|Resources
Movement
expended
in funds
£
£
(180,698)
40,621
(19,425)
637
(8,457)
(6,019)
(27,882)
(5,382)
(208,580)
35,239|Resources
Movement
expended
in funds
£
£
(180,698)
40,621
(19,425)
637
(8,457)
(6,019)
(27,882)
(5,382)
(208,580)
35,239|
|---|---|---|---|
||||(5,382)|
||||35,239|
continued...
Page 14
**CHAPTER TWO**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 July 2022**
## **14. MOVEMENT IN FUNDS - continued**
Both the Gifts and Donations fund and the Conference fund are restricted, but are supported, where necessary, by the unrestricted fund. Any shortfall or surplus in the Conference fund for the year is netted off to zero at the end of the year via a transfer from/to the unrestricted fund.
The expenditure relating to Bibles donated exceeded the donations received, and therefore a contribution was required from the general fund of £7,946 (2021: £6,019).
## **15. RELATED PARTY DISCLOSURES**
The charity has received £400 (2021 - £400) from Christian Outreach to the Handicapped by way of a management charge, which is considered a related party transaction.
UK Foundation for Christian Service, a related party due to a common trustee, donated £930 (2021: £2,000) to Chapter Two. CMI AID, a related party due to a common trustee, was invoiced £774 (2021: £1,051) during the year for postage and delivery charges.
Page 15
## **CHAPTER TWO**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES for the year ended 31 July 2022**
|**INCOME AND ENDOWMENTS**
**Donations and legacies**
Gifts
Legacies
**Charitable activities**
Sale of literature & related products
Management charges
**Investment income**
Deposit account interest
**Other income**
Gain on sale of tangible fixed assets
**Total incoming resources**
**EXPENDITURE**
**Charitable activities**
Opening stock
Purchases
Printing
Delivery, postage & wrapping
Donated books
Closing stock
Gifts & donations
**Support costs**
**Finance**
Bank charges
**Other**
Rates and water
Insurance
Light and heat
Telephone
Postage and stationery
Advertising
Travelling
Carried forward|2022
£
**65,441**
**4,700**
**70,141**
**134,951**
**400**
**135,351**
**87**
**-**
**205,579**
**277,037**
**103,626**
**8,804**
**23,489**
**8,373**
**(280,560)**
**21,520**
**162,289**
**3,353**
**5,949**
**2,393**
**5,005**
**3,102**
**3,579**
**8,032**
**513**
**28,573**|2021
£
85,132
45,000
130,132
112,532
400
112,932
256
499
243,819
274,140
71,243
8,228
20,228
8,457
(277,037)
16,245
121,504
2,946
5,435
2,433
4,592
4,311
2,477
4,093
87
23,428|
|---|---|---|
This page does not form part of the statutory financial statements
Page 16
## **CHAPTER TWO**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES for the year ended 31 July 2022**
|**DETAILED STATEMENT OF FINANCIAL ACTIVITIES**
**for the year ended 31 July 2022**|||
|---|---|---|
|**Other**
Brought forward
Motor expenses
Website & computer
Repairs & renewals
Cleaning & waste disposal
Sundries
Exchange rate movement
Amortisation of website
Depn of freehold property
Depn of fixtures & fittings
Depn of motor vehicles
Computer equipment
Leasing
**Governance costs**
Accountancy
Independent examination
Total resources expended
**Net (expenditure)/income**|2022
£
**28,573**
**2,841**
**3,461**
**7,875**
**784**
**2,207**
**(10,223)**
**-**
**22,600**
**696**
**2,677**
**591**
**1,109**
**63,191**
**2,800**
**4,500**
**7,300**
**236,133**
**(30,554)**|2021
£
23,428
3,361
3,049
5,494
712
1,670
8,507
2,212
22,600
727
3,570
591
1,014|
|||76,935
2,820
4,375|
|||7,195|
|||208,580|
|||35,239|
This page does not form part of the statutory financial statements
Page 17