Page 147 - DUT Annual Report 2020

DURBAN UNIVERSITY OF TECHNOLOGY
NOTES TO THE CONSOLIDATED ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2020
11. DEFERRED REVENUE (continued) 11.1 Deferred revenue (IAS 20) (continued)
Deferred revenue includes an amount relating to assets constructed or purchased of which will be amortised
over the remaining useful life of the related asset.
Amounts as at 31 December
11.2 IFRS 15 contract liability
Reconciliation of the movement for the year:
2020 2019 R’000 R’000
DURBAN UNIVERSITY OF TECHNOLOGY ANNUAL REPORT 2020
826 938
667 190
862 3 561 (1 342) - 3 081
Opening Balance
Income - Expenses (397) Transfers 34 Closing Balance 2 718
36 412 23 830
3 081
IFRS 15 Contract liability relates to income received in advance, relating to projects with external parties. This carries a separate stand-alone transaction price, which is recognised over time as the services are rendered. The IFRS 15 contract liability balance represents the transaction price allocated to the unsatisfied portion of the performance obligation pertaining to income received in advance at year-end.
At year end, the significant projects included in this liability are where income has been received in advance but where unsatisfied performance obligations remain as they are expected to occur over a period of time.
 Research studies for the Water Research Commission into water quality, related research (bio-diesel and
other by-products) for the Ethekwini Municipality, emanating from the use of the algae technology at Kingsburgh Waste Water Treatment Plant, and banking research project with Bank SETA Sarchi.
11.3 Income received in advance
DHET grant-Pipeline Students Deferred Revenue Tuition
2020 2019 R’000 R’000
60 242 19 516
19 516 -
The income received in advance consists of the following;
 The University received funds for qualifying students based on the criteria as stipulated by the department
for provision of financial aid based on a student’s financial circumstances and economic background. The funds will be utilised by the University to settle student tuition fees in the future period of study.
 The University extended its academic calendar year for 2020 until Feb 2021 for a number of courses to accommodate for the impact of COVID-19 disruptions. The revenue accrued for the period January to February 2021 that was raised in 2020, has been deferred to 2021 when the performance obligations are met.
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