Ann: Appendix4D and Half Year Report and Accounts, page-6

Hi Klogg,

I looked through the half-year and the annual reports, but could not find anything in the notes either. However, I think "administrative expenses" include rent, utilities, insurance and managerial salaries, i.e. overhead expenses which are not directly related to producing the goods/service.

In the last annual report, director, non-executive directors and key personnel employee costs increased by $229, 009, so I would say petepan is on the money with an increase in salaries. I am sure that is the first thing that gets reviewed at the start of each FY ;-)

I also read somewhere, but I cannot for the life of me find it anymore, that they write off provisions through administrative expenses.

I guess because the company is small comparatively to other companies listed on the ASX the level of detail and disclosure is not going to be as high as what you normally see?

The auditor is a very small company, maybe you could try giving them a ring and asking them to clarify what is included in administrative expenses exactly? I would hazard a guess they may be a little more receptive than a big 4 audit firm. Rose was involved in the last audit and her contact details are here - http://www.duncandovico.com.au/firm_profile/rose_megale