CAP. 221
Kenya Broadcasting Corporation
[Rev. 2012]
proper allocations to the general reserve and provision in respect of depreciation of
capital assets, pension liabilities and interest and other provision for the repayment
of loans, and further to ensure that, taking one year with another, its net operating
income is not less than sufficient to secure an annual return on the value of the
net fixed assets in operation by the Corporation of such percentage as the Minister
may from time to time direct.
(2) For the purposes of subsection (1)—
(a) “net operating income” shall be determined by subtracting from
gross operating revenue all operating and administrative expenses,
including adequate provision for maintenance and depreciation but
excluding interest and other charges on debt; and
(b) “value of the net fixed assets in operation” shall be the gross value
of such assets less the amount of accumulated depreciation shown
in the statement of account of the Corporation:
Provided that, if the amounts shown in such statement of accounts do not reflect
a true measure of value of the assets concerned because of currency
[Issue 1]
K3 - 13