**Charity Registration No. 206169**
## **THE RAMAKRISHNA VEDANTA CENTRE**
## **ANNUAL REPORT AND FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 DECEMBER 2020**
## **THE RAMAKRISHNA VEDANTA CENTRE**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
|**Trustees**|Rev S Sarvasthananda (Chairman)||
|---|---|---|
||Rev S Shivarupananda (Treasurer)||
||Mr M Bedish (Secretary)||
||Mr S Ghosh (Vice-President)||
||Mr J Wilcox||
||Mr V Bhatt||
||Mrs S Jayabalan||
||Mr R Das||
||Dr U Vajpei||
||J A Power|(Appointed 29 November|
|||2020)|
|**Charity number**|206169||
|**Principal address**|Blind Lane||
||Bourne End||
||Bucks||
||SL8 5LF||
|**Auditor**|Azets Audit Services||
||The Mill House||
||Boundary Road||
||Loudwater||
||High Wycombe||
||Buckinghamshire||
||United Kingdom||
||HP10 9QN||
|**Bankers**|HSBC||
||1 Corn Market||
||High Wycombe||
||Bucks||
||HP11 2AY||
|**Investment advisors**|Investec Wealth and Investment||
||2 Castlefield Court||
||Church Street||
||Reigate||
||Surrey||
||RH2 0AH||
||United Kingdom||
## **THE RAMAKRISHNA VEDANTA CENTRE**
## **CONTENTS**
||**Page**|
|---|---|
|Trustees' report|1 - 3|
|Statement of trustees' responsibilities|4|
|Independent auditor's report|5 - 8|
|Statement of financial activities|9|
|Balance sheet|10|
|Notes to the financial statements|11 - 22|
## **THE RAMAKRISHNA VEDANTA CENTRE**
## **TRUSTEES' REPORT** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
The trustees present their report and financial statements for the year ended 31 December 2020.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's governing document, the Charities Act 2011 and “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)” (as amended for accounting periods commencing from 1 January 2016)
## **Objectives and activities**
## Objectives
The objectives of the Centre, as set out in the constitution, are to promote and propagate Vedanta, the study of comparative religion and philosophy, and to assist in bringing about the harmony of religions, and to promote philanthropic work where appropriate.
## Aims
The Centre's aim is to continue to promote Vedanta and Spiritual knowledge through lectures, retreats and information via the website. It's aim is to also continue to provide money for charitable and relief work.
## Public Benefit
The Ramakrishna Vedanta Centre is the only Centre in the UK affiliated to the Ramakrishna order and for this reason attracts visitors from all over the country. The Centre provides a retreat for these visitors, as well as promoting Spiritual knowledge through it's bookshop, lectures and it's website. The Centre's work is not restricted to Great Britain though, every year the Centre donates funds for charitable and relief work mainly carried out by the Ramakrishna Order overseas.
In setting our objectives and planning our activities, we have given careful consideration to the Charity Commissions' general guidance on public benefit.
## **Achievements and performance**
## Activities
During the first quarter of the year, before government restrictions came into force, activities continued as usual. Lectures and retreats were held on a regular basis at the Centre; daily services were conducted in the Meditation room and special worship was held on the birthdays of religious teachers. Many visitors used the Meditation room for private prayer and contemplation, and visited the bookshop with its large stock of books on Vedanta and related subjects. Swami Sarvasthananda travelled to France to conduct a retreat.
Although the Centre’s activities during the year were circumscribed by the pandemic, the monks were able to continue to promote Vedanta and Spiritual knowledge to a wide audience, throughout the week, through talks and classes over the internet. They were also able to provide individual guidance through the internet and telephone, and to meet individuals in the Centre’s grounds subject to government guidelines. Swami Sarvasthananda participated in international webinars on Vedanta and Spirituality. The Centre continued to publish 'Vedanta' a bimonthly journal which entered its 68th year. Articles from 'Vedanta' were made available to a wider audience via our website.
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## **THE RAMAKRISHNA VEDANTA CENTRE**
## **TRUSTEES' REPORT (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **Financial review**
## Financial Review
The Centre generated a total income of £303,518 in the year. The total expenditure in the year was £272,669 of which £56,304 was spent on relief work and funding welfare programmes etc. Most of the money for charitable work was distributed for the work of the Ramakrishna Math and Mission and the Sarda Math, mainly for work in India. Details of the major relief and rehabilitation work, medical and educational work etc. conducted by these organisations are given in their Annual Reports. Several Trustees and members of the Centre visited branches of the Math and Mission and witnessed the selfless service being carried out there. Significant renovation work was undertaken at the Centre during the year, but some renovation was postponed because of the pandemic.
The results for the year are set out in the Statement of Financial Activities on page 9.
## Investment Policy
The Board of Management has formulated the most appropriate investment policy and the implementation of the policy has been delegated to fund managers at Investec Wealth & Investment Limited. Reports issued by the fund managers are reviewed periodically by the Board to ensure their policy being implemented and to monitor the performance of their investments and they are pleased to report the return on investments is satisfactory.
## Reserves Policy
Unrestricted funds at the year end are £14,880,899 (2019: £13,993,176) These funds are held for the purpose of continuing the operations of the Centre. Total unrestricted funds includes £13,595,330 (2019: £12,768,857) designated to the Expansion Scheme fund and £660,672(2019: £531,219) designated to the Memorial Fund.
It is the policy of the Board of Management to carry the minimum of reserves equivalent to 3 to 6 months of its operational budget. Reserves are considered to be the Net Current Assets stated on the balance sheet of £366,224 (2019: £347,959). The patterns of income and expenditure differ over the course of the year. Expenditure tends to be concentrated in the first half of the year while income is more evenly spread. Thus cash balances are built up during the second half of the year to accommodate this pattern.
## Risk Management
The Board of Management has conducted its own review of the major risks to which the Centre is exposed and systems have been established to mitigate those risks.
Significant external risks to the funding have led to the development of a strategic plan, which will allow for diversification of investments.
## **Structure, governance and management**
## Governing Document
The Ramakrishna Vedanta Centre is an unincorporated registered charity. It is governed by a constitution adopted on 11th December 1951 (amended 8th April 1962 and 29th June 1996).
The charity's principal address is Blind Lane, Bourne End, Buckinghamshire, SL8 5LF.
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## **THE RAMAKRISHNA VEDANTA CENTRE**
## **TRUSTEES' REPORT (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## Trustees
The trustees who served during the year and up to the date of signature of the financial statements were: Rev S Sarvasthananda (Chairman) Rev S Shivarupananda (Treasurer) Mr M Bedish (Secretary) Mr S Ghosh (Vice-President) Mr J Wilcox Mr A Patankar (Resigned 25 February 2021) Mr V Bhatt Mrs S Jayabalan Mr R Das Dr U Vajpei J A Power (Appointed 29 November 2020)
## Recruitment and Appointment of New Trustees
The members of the Board of Trustees are appointed from among the members of the Centre and hold office for three years. At the end of this period the members of the Centre elect a new Board at the annual general meeting.
## Title of Land and Buildings
The following Trustees hold title to the freehold land and buildings belonging to the charity:
Rev S Sarvasthananda Rev S Shivarupananda Mr S Ghosh Dr U Vajpei
## Organisational Structure
Day-to-day management of the charity is taken on by the board of Trustees as a whole.
The trustees' r eport was approved by the Board of Trustees.
## **Rev S Sarvasthananda (Chairman)**
Trustee Dated: 12 July 2021
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## **THE RAMAKRISHNA VEDANTA CENTRE**
## **STATEMENT OF TRUSTEES' RESPONSIBILITIES**
## _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
The trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that year.
In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping sufficient accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
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## **THE RAMAKRISHNA VEDANTA CENTRE**
## **INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF THE RAMAKRISHNA VEDANTA CENTRE**
## **Opinion**
We have audited the financial statements of The Ramakrishna Vedanta Centre (the ‘charity’) for the year ended 31 December 2020 which comprise the statement of financial activities, the balance sheet and the notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 _The Financial Reporting Standard applicable in the UK and Republic of Ireland_ (United Kingdom Generally Accepted Accounting Practice) .
In our opinion, the financial statements:
- give a true and fair view of the state of the charity’s affairs as at 31 December 2020 and of its incoming resources and application of resources, for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Charities Act 2011.
## **Basis for opinion**
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Conclusions relating to going concern**
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
## **Other information**
The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
- 5 -
## **THE RAMAKRISHNA VEDANTA CENTRE**
## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THE RAMAKRISHNA VEDANTA CENTRE**
## **Matters on which we are required to report by exception**
We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:
- the information given in the financial statements is inconsistent in any material respect with the trustees' r eport; or
- sufficient accounting records have not been kept; or
- the financial statements are not in agreement with the accounting records; or
- we have not received all the information and explanations we require for our audit.
## **Responsibilities of trustees**
As explained more fully in the s tatement of trustees' r esponsibilities, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to cease operations, or have no realistic alternative but to do so.
## **Auditor's responsibilities for the audit of the financial statements**
We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: http s :// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
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## **THE RAMAKRISHNA VEDANTA CENTRE**
## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THE RAMAKRISHNA VEDANTA CENTRE**
## **Extent to which the audit was considered capable of detecting irregularities, including fraud**
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above and on the Financial Reporting Council’s website, to detect material misstatements in respect of irregularities, including fraud.
We obtain and update our understanding of the entity, its activities, its control environment, and likely future developments, including in relation to the legal and regulatory framework applicable and how the entity is complying with that framework. Based on this understanding, we identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. This includes consideration of the risk of acts by the entity that were contrary to applicable laws and regulations, including fraud.
In response to the risk of irregularities and non-compliance with laws and regulations, including fraud, we designed procedures which included:
- Enquiry of management and those charged with governance around actual and potential litigation and claims as well as actual, suspected and alleged fraud;
- Reviewing minutes of meetings of those charged with governance;
- Assessing the extent of compliance with the laws and regulations considered to have a direct material effect on the financial statements or the operations of the entity through enquiry and inspection;
- Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations;
- Performing audit work over the risk of management bias and override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for indicators of potential bias.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of noncompliance. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
## **Other matter s**
Your attention is drawn to the fact that the charity has prepared financial statements in accordance with "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)" (as amended) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.
This has been done in order for the financial statements to provide a true and fair view in accordance with current Generally Accepted Accounting Practice.
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## **THE RAMAKRISHNA VEDANTA CENTRE**
## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THE RAMAKRISHNA VEDANTA CENTRE**
## **Use of our report**
This report is made solely to the charity’s trustees, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.
**Christopher Nisbet BA(Hons) FCA (Senior Statutory Auditor) for and on behalf of Azets Audit Services**
28 July 2021
**Chartered Accountants Statutory Auditor**
The Mill House Boundary Road Loudwater High Wycombe Buckinghamshire United Kingdom HP10 9QN
Azets Audit Services is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under of section 1212 of the Companies Act 2006.
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## **THE RAMAKRISHNA VEDANTA CENTRE**
## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
|**Unrestricted Unrestricted**
**funds**
**funds**
**general d esignated**
**2020**
**2020**
**Notes**
**£**
**£**
**Income from:**
Donations and legacies
**3**
41,458
47,542
Other trading activities
**4**
2,645
-
Investments
**5**
46
211,827
**Total income**
44,149
259,369
**Expenditure on:**
Raising funds
**6**
5,845
56,556
Charitable activities
Provision of Centre
**7**
48,909
105,000
Relief work and charity
**7**
-
56,304
**Total charitable expenditure**
48,909
161,304
Other
**11**
57
-
**Total resources**
**expended**
54,811
217,860
Net gains/(losses) on
investments
**12**
-
856,876
**Net (outgoing)/**
**incoming resources**
**before transfers**
(10,662)
898,385
Gross transfers
between funds
8,461
(8,461)
**Net movement in funds**
(2,201)
889,924
Fund balances at 1
January 2020
693,098 13,300,078
**Fund balances at 31**
**December 2020**
690,897 14,190,002|**Total**Unrestricted Unrestricted
funds
funds
general
d esignated
**2020**
2019
2019
**£**
**£**
**£**
89,000
136,323
-
2,645
4,632
-
211,873
198
281,226
303,518
141,153
281,226
62,401
9,307
56,224
153,909
168,520
-
56,304
-
120,136
210,213
168,520
120,136
57
191
-
272,671
178,018
176,360
856,876
-
1,588,135
887,723
(36,865)
1,693,001
-
-
-
887,723
(36,865)
1,693,001
13,993,176
729,963
11,607,077
14,880,899
693,098 13,300,078|Total
2019
**£**
136,323
4,632
281,424
422,379
65,531
168,520
120,136
288,656
191
354,378
1,588,135
1,656,136
-
1,656,136
12,337,040
13,993,176|
|---|---|---|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
- 9 -
## **THE RAMAKRISHNA VEDANTA CENTRE**
## **BALANCE SHEET**
## _**AS AT 31 DECEMBER 2020**_
|**Notes**
**Fixed assets**
Tangible assets
**13**
Investments
**14**
**Current assets**
Stocks
**16**
Debtors
**17**
Cash at bank and in hand
**Creditors: amounts falling due within**
**one year**
**18**
Net current assets
**Total assets less current liabilities**
**Income funds**
Unrestricted funds
Designated funds
**19**
General unrestricted funds|**2020**
**£**
**£**
618,963
13,895,712
14,514,675
9,633
7,016
373,397
390,046
(23,822)
366,224
14,880,899
14,190,002
690,897
14,880,899
14,880,899|**2019**
**£**
**£**
631,274
13,013,943
13,645,217
10,832
13,795
346,923
371,550
(23,591)
347,959
13,993,176
13,300,078
693,098
13,993,176
13,993,176|
|---|---|---|
The financial statements were approved by the Trustees on 12 July 2021
Rev S Sarvasthananda (Chairman) **Trustee**
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**THE RAMAKRISHNA VEDANTA CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **1 Accounting policies**
## **Charity information**
The Ramakrishna Vedanta Centre is a charity registered in England and Wales. The principle address is Blind Lane, Bourne End, Bucks., SL8 5LF.
## **1.1 Accounting convention**
The financial statements have been prepared in accordance with the charity's governing document, the Charities Act 2011 and “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)” (as amended for accounting periods commencing from 1 January 2016). The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.
The financial statements are prepared in sterling , which is the functional currency of the charity. Monetary a mounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
## **1.2 Going concern**
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
## **1.3 Charitable funds**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Designated funds comprise unrestricted funds earmarked for specific purpose: (a) Expansion scheme with a view to establish another centre in the UK.
(b) Memorial fund established in memory of Swami Ghanananda and Swami Bhavyananda for relief work.
## **1.4 Income**
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.
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## **THE RAMAKRISHNA VEDANTA CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **1 Accounting policies**
## **(Continued)**
## **1.5 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.
## **1.6 Tangible fixed assets**
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Freehold land and buildings - 2% on cost Fixtures and fittings - 20% on reducing balance Computers - 20% on reducing balance Motor vehicles - 25% on reducing balance
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in net income/(expenditure) for the year.
## **1.7 Fixed asset investments**
Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year . Transaction costs are expensed as incurred.
## **1.8 Impairment of fixed assets**
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any ) .
## **1.9 Stocks**
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell . Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. Items held for distribution at no or nominal consideration are measured the lower of replacement cost and cost.
Net realisable value is the estimated selling price less all estimated costs of completion and costs to be incurred in marketing, selling and distribution.
## **1.10 Cash and cash equivalents**
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
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**THE RAMAKRISHNA VEDANTA CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **1 Accounting policies**
**(Continued)**
## **1.11 Financial instruments**
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
## _**Basic financial assets**_
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
## _**Basic financial liabilities**_
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
## _**Derecognition of financial liabilities**_
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
## **2 Critical accounting estimates and judgements**
In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
- 13 -
## **THE RAMAKRISHNA VEDANTA CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **3 Donations and legacies**
|**Unrestricted Unrestricted**
**funds**
**funds**
**general d esignated**
**2020**
**2020**
**£**
**£**
Donations and gifts
40,923
47,542
Membership fees
535
-
**Donations and gifts**
Shrine box, collection and freewill donations
20,801
30,166
Gift aid
20,122
17,376
40,923
47,542|**Total**Unrestricted
funds
general
**2020**
2019
**£**
£
88,465
135,691
535
632
50,967
45,283
37,498
90,408
88,465
135,691|
|---|---|
## **4 Other trading activities**
|Sale of books, CDs and magazines
**Investments**
**Unrestricted Unrestricted**
**funds**
**funds**
**general d esignated**
**2020**
**2020**
**£**
**£**
Income from listed
investments
-
211,677
Interest receivable
46
150
46
211,827|**Unrestricted**Unrestricted
**funds**
funds
**general**
general
**2020**
2019
**£**
£
2,645
4,632
**Total**Unrestricted Unrestricted
Total
funds
funds
general
d esignated
**2020**
2019
2019
2019
**£**
£
£
£
211,677
-
280,428
280,428
196
198
798
996
211,873
198
281,226
281,424|
|---|---|
## **5 Investments**
- 14 -
## **THE RAMAKRISHNA VEDANTA CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **6 Raising funds**
|**Unrestricted Unrestricted**
**funds**
**funds**
**general d esignated**
**2020**
**2020**
**£**
**£**
Trading costs
Purchases
1,231
-
Printing Vedanta
4,614
-
Trading costs
5,845
-
Investment management
-
56,556
5,845
56,556|**Total**Unrestricted Unrestricted
funds
funds
general
d esignated
**2020**
2019
2019
**£**
£
£
1,231
2,879
-
4,614
6,428
-
5,845
9,307
-
56,556
-
56,224
62,401
9,307
56,224|Total
2019
£
2,879
6,428
9,307
56,224
65,531|
|---|---|---|
## Purchases
These costs are the purchase of books which are sold at the centre.
## Printing Vedanta
These costs are those involved with the provision of the magazine.
- 15 -
## **THE RAMAKRISHNA VEDANTA CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **7 Charitable activities**
|**Provision of**
**Centre**
**Relief work**
**and charity**
**2020**
**2020**
**£**
**£**
Rates and Water
5,936
-
Telephone
2,074
-
Laundry and household
cleaning
54
-
Travel and preaching
3,098
-
Insurance
6,980
-
Light and heat
12,825
-
Postage and stationery
3,329
-
Repairs and maintenance
72,548
-
Food
14,458
-
Sundry
4,948
-
Garden maintenance
4,094
-
Relief work and charity
-
56,304
130,344
56,304
Share of governance costs
(see note 8)
23,565
-
153,909
56,304
**Analysis by fund**
Unrestricted funds -
general
48,909
-
Unrestricted funds -
designated
105,000
56,304
153,909
56,304|**Total**
**2020**
**Provision of**
**Centre**
**Relief work**
**and charity**
**2019**
**2019**
**£**
**£**
**£**
5,936
7,671
-
2,074
1,654
-
54
36
-
3,098
4,692
-
6,980
6,751
-
12,825
12,866
-
3,329
3,315
-
72,548
84,820
-
14,458
20,615
-
4,948
1,646
-
4,094
4,083
-
56,304
-
120,136
186,648
148,149
120,136
23,565
20,371
-
210,213
168,520
120,136
48,909
168,520
-
161,304
-
120,136
210,213
168,520
120,136|**Total**
**2019**
**£**
7,671
1,654
36
4,692
6,751
12,866
3,315
84,820
20,615
1,646
4,083
120,136
268,285
20,371
288,656
168,520
120,136
288,656|
|---|---|---|
- 16 -
## **THE RAMAKRISHNA VEDANTA CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
|**8**
**Support costs**
**Support**
**costs**
**Governance**
**costs**
**£**
**£**
Depreciation
-
16,544
Exchange Losses/
(gains)
-
-
Audit fees
-
4,080
Accountancy
-
2,352
Legal and professional
-
589
-
23,565
Analysed between
Charitable activities
-
23,565|**2020**
Support
costs
Governance
costs
**£**
£
£
16,544
-
16,192
-
-
(514)
4,080
-
3,100
2,352
-
1,006
589
-
587
23,565
-
20,371
23,565
-
20,371|2019
£
16,192
(514)
3,100
1,006
587
20,371
20,371|
|---|---|---|
Governance costs includes payments to the auditors of £ 2,520 (201 9 - £ 2,520 ) for audit fees.
## **9 Trustees**
None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year. 1 of the trustees (2019: 1) was reimbursed expenses of £3,860 (2019: £3,874) in relation to charitable expenses paid on behalf of the charity.
## **10 Employees**
The average monthly number of employees during the year was:
||**2020**|**2019**|
|---|---|---|
||**Number**|**Number**|
|Total|-|-|
|**Other**|||
||**Unrestricted**|Unrestricted|
||**funds**|funds|
||**2020**|2019|
||**general**|general|
|Net loss on disposal of tangible fixed assets|57|191|
||57|191|
## **11 Other**
- 17 -
## **THE RAMAKRISHNA VEDANTA CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **11 Other**
## **(Continued)**
## **12 Net gains/(losses) on investments**
|Revaluation of investments
**13**
**Tangible fixed assets**
**Freehold land**
**and buildings**
**Fixtures and**
**fittings**
**£**
**£**
**Cost**
At 1 January 2020
902,535
87,686
Additions
-
4,291
Disposals
-
(173)
At 31 December 2020
902,535
91,804
**Depreciation and impairment**
At 1 January 2020
281,994
79,035
Depreciation charged in the year
13,540
2,554
Eliminated in respect of disposals
-
(116)
At 31 December 2020
295,534
81,473
**Carrying amount**
At 31 December 2020
607,001
10,331
At 31 December 2019
620,541
8,651|**Unrestricted**Unrestricted
**funds**
funds
**d esignated**
d esignated
**2020**
2019
**£**
£
856,876
1,588,135
**Computers Motor vehicles**
**Total**
**£**
**£**
**£**
1,768
5,000
996,989
-
-
4,291
-
-
(173)
1,768
5,000
1,001,107
354
4,333
365,716
283
167
16,544
-
-
(116)
637
4,500
382,144
1,131
500
618,963
1,414
668
631,274|
|---|---|
## **14 Fixed asset investments**
- 18 -
## **THE RAMAKRISHNA VEDANTA CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
|**14**|**Fixed asset investments**|**(Continued)**|
|---|---|---|
|||**Listed**|
|||**investments**|
|||**£**|
||**Cost or valuation**||
||At 1 January 2020|13,013,943|
||Additions|2,114,099|
||Valuation changes|856,875|
||Disposals|(2,089,205)|
||At 31 December 2020|13,895,712|
||**Carrying amount**||
||At 31 December 2020|13,895,712|
||At 31 December 2019|13,013,943|
## **Fixed asset investments revalued**
The historical cost of fixed asset investments at 31 December 2020 was 8,947,210 (2019: 8,506,980).
|**15**
**Financial instruments**
**Carrying amount of financial assets**
Instruments measured at fair value through profit or loss
**16**
**Stocks**
Finished goods and goods for resale
**17**
**Debtors**
**Amounts falling due within one year:**
Other debtors
Prepayments and accrued income|**2020**
**£**
13,895,712
**2020**
**£**
9,633
**2020**
**£**
2,101
4,915
7,016|**2019**
**£**
13,013,943
**2019**
**£**
10,832
**2019**
**£**
3,799
9,996
13,795|
|---|---|---|
- 19 -
## **THE RAMAKRISHNA VEDANTA CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
|**18**
**Creditors: amounts falling due within one year**
Other creditors
Accruals and deferred income|**2020**
**£**
20,959
2,863
23,822|**2019**
**£**
17,426
6,165
23,591|
|---|---|---|
- 20 -
## **THE RAMAKRISHNA VEDANTA CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **19 Designated funds**
The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:
|**1**
Expansion Scheme
Memorial fund|**Balance at**
**January 2019**
**£**
11,193,194
413,883
11,607,077|**Movement in funds**
**Incoming**
**resources**
**Resources**
**expended**
**Revaluations,**
**gains and**
**losses**
**1**
**£**
**£**
**£**
270,734
(176,360)
1,481,290
10,492
-
106,845
281,226
(176,360)
1,588,135|**Balance at**
**January 2020**
**£**
12,768,858
531,220
13,300,078|**Incoming**
**resources**
**£**
258,849
520
259,369|**Movement in funds**
**Resources**
**expended**
**Transfers Revaluations,**
**gains and**
**losses**
**£**
**£**
**£**
(217,860)
(8,461)
727,944
-
-
128,932
(217,860)
(8,461)
856,876|**Balance at**
**31 December**
**2020**
**£**
13,529,330
660,672
14,190,002|
|---|---|---|---|---|---|---|
## Expansion Scheme
The fund was created with a view to establish another centre in the UK in the future.
## Memorial Fund
This fund was established in memory of Swami Ghanananda and Swami Bhavyananda for relief work.
- 21 -
## **THE RAMAKRISHNA VEDANTA CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
|**20**
**Analysis of net assets between funds**
**General**
**fund**
**Designated**
**funds**
**2020**
**2020**
**£**
**£**
Fund balances at 31
December 2020 are
represented by:
Tangible assets
618,963
-
Investments
- 13,895,712
Current assets/
(liabilities)
71,934
294,290
690,897 14,190,002|**Total**General fund
**2020**
2019
**£**
£
618,963
631,274
13,895,712
-
366,224
61,825
14,880,899
693,099|Designated
funds
2019
£
-
13,013,943
286,134
13,300,077|Total
2019
£
631,274
13,013,943
347,959
13,993,176|
|---|---|---|---|
## **21 Related party transactions**
During the year The Ramakrishna Vedanta Centre entered into transactions with related parties:
Purchases from other Ramakrishna Vedanta Centres totalled £nil (2019: £1,645) and sales to other Ramakrishna Centres totalled £36 (2019: £60).
There are three trustees (2019: three) who work at the Centre, their accommodation and food is provided for at the Centre.
One member of key management personnel received healthcare costs during the year amounting to £3,345 (2019: £nil).
- 22 -