DRAFT- FOR DISCUSSION PURPOSES ONLY

METRO COMMUNITY ACCESS NETWORK SOCIETY

BALANCE SHEET

As at November 30, 1994


ASSETS

     Bank                                                          16,874
     Accounts Receivable                                            7,874
     Deposits                                                       1,200

                                                                   25,948



LIABILITIES

     Accounts Payable and Accruals                                  11,229
     Payroll Taxes                                                     826
     Provincial Freenet Society                                        360

                                                                    12,415



SURPLUS

      Surplus                                                       13,533

                                                                    25,948



REVENUE

    Memberships and Donations                                        19,215
    Corporate Sponsorship                                            11,598
    Government Contributions (Note 2)                                 7,874
    Contributions in Kind (Notes 1 and 3)                            31,350

                                                                     70,037



EXPENDITURES

   Operating Expenses
      Fascilities Management                                         13,500
      Equipment Rental                                                2,250
      General Expenses                                                  110
      Internet Connection Fees                                        2,086
      Office                                                            666
      Operations Management                                          12,000
      Payroll Expenses                                               10,498
      Printing                                                           83
      Rent                                                            3,600
      Telephone Line Fees                                             3,717

                                                                     48,510



   EXCESS REVENUE BEFORE EQUIPMENT                                   21,527

     Equipment
       Modems and Communication Equipment                             7,994

   SURPLUS                                                           13,533

Note 1 Accounting Policies

The Society is registered as a non-profit organization, but is not yet registered as a charity. Negotiations with Revenue Canada for future registration are being conducted at a national level.

The cost of fixed assets acquired for the operation of the Chebucto FreeNet are expensed in the year of acquisition.

Contributions in kind to the society are reflected in the financial statements where it's possible to estimate an equivalent market value of services provided.

Government Contributions are recognized as income in the period in which they are claimed.

Note 2 Government Contributions

Government Contributions reflect the initial claim based on a funding agreement with Canada-Nova Scotia Cooperation Agreement on Technology Development. The total funding available under the agreement is $50,000.00 and is spread over the period to March 1995.

Note 3 Contributions in Kind

Services Contributed during the period.


     Iotek
                    No charge computer rental                       2,250

     Dalhousie University
                    Facilities Management                13,500
                    Office rental                          3,600
                    Operations Management                 12,000

                                                                   29,100

                                                                   31,350

In addition to the contributions in kind listed above the society benefits from a significant discount on the network connection fee provided under our agreement with NSTN Inc.

Note 4 Goods and Services Tax

The Society does not have suffient taxable revenues to require registration under the act, but as a non-profit organization it may claim a rebate of up to 50% of GST paid depending on the final level of government support.

At November 30, 1994 the maxium rebate available would be approximately $200.

Note 5 Commitments

The Society is committed to an agreement with NSTN Inc. for computer network services. The agreement expires in October 1995, with a cost to expiration of $9095.

DRAFT-FOR DISCUSSION PURPOSES ONLY