16 WAUBET EK BU SIN ES S DEVEL O PM E N T CORPO RA TIO N N O TE S T O FINAN CIA L S TATE M EN T S Y ear ended A ugus t 31 201 4 2 S ign i f ica n t a c c ount i ng p o lic ies c ont i nue d a A l l ow an c e f o r d ou bt f ul l oan s T he Cor po r ati on es tab l i s he s an al l ow an c e f or do ub t f ul l oa ns by prov i di ng s p e c if ic lo a n l os s es by lo a n af ter r ev i ew i ng ou ts tan di ng l oa ns on a lo a n by l o an b a s i s In ad d i ti on a p r o vis io n is es ti m ate d at 1 0 ba s ed on p as t ex pe r i en c e for al l l oa ns f or wh i c h no s p e c if ic pr ov i s i on h as been e s tab l i s he d b Capi tal a s s e ts Capi tal as s et s are s tat ed at c os t l e ss ac c u m ul ate d a m o r ti z ati on A m or ti z ati on is prov i de d o v er t he es ti m ate d us e ful l if e of th e as s et us i n g the s tr ai gh t l in e m eth od ov er the f ol l ow i ng n um b er of ye a r s F urni t ure an d f i x ture s 1 0 y e ar s Co m pu ter eq ui p m en t 4 ye a r s d Rev en ue r e c og ni ti on T he f in a n c ia l s t ate m en t s a re prepa r ed a c c ordi ng to the r e s t r i c ted f u nd m eth od of ac c ou nti ng Unde r thi s m eth od the f ol l ow i ng p r i nc i pl e s h a ve been ap p l i ed i Cont r i bu ti on s are r ec or d e d as r ev en ue in the r e s p e ct i ve f un ds ba s ed on the i r n atu r e so u r ce and the r es tr i c ti on s s ti pu l at ed by the f un d er ii Cont r i bu ti on s are r e c og ni z ed as r ev en ue wh e n r e c ei v ed or r ec ei v ab l e if the am ou nt s c an b e r ea s on ab l y es ti m ate d and c ol l ec ti on is r ea s on ab l y as s u r ed ii i Int eres t r ev en ue in t he i nv es t m en t f u nd is r e c og ni z ed on th e ac c r u al b a si s T he Cor po r ati on a c c r u es i n ter es t on l o a ns and m o r tga ge s in ar r ea r s u nti l c ol l ec ti on b e c om es d ou b t ful e Int erf un d ba l an c es Int erf un d ba l an c es r ep r e s e nt a m ou nts ad v an c ed b etw ee n the v ario us fun d s