PERUSAHAAN PERSEROAN PERSERO P.T. TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued JUNE 30, 2005 AND 2006, AND FOR THE SIX MONTHS PERIOD ENDED
JUNE 30, 2005 AND 2006 Figures in tables are presented in millions of Rupiah, unless otherwise stated
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7. TRADE ACCOUNTS RECEIVABLE continued
c. By Currency
Related parties
2005 2006
Rupiah 576,027
710,551 United States Dollar
2,049 23,945
Total 578,076
734,496 Allowance for doubtful accounts
115,673 112,975
Net 462,403
621,521 Third parties
2005 2006
Rupiah 3,263,748
3,414,673 United States Dollar
243,276 305,492
Total 3,507,024
3,720,165 Allowance for doubtful accounts
543,659 652,856
Net 2,963,365
3,067,309 d. Movements in the allowance for doubtful accounts
2005 2006
Beginning balance 522,066
685,668 Additions
220,725 268,331
Bad debts write-off 83,459
188,168 Ending balance
659,332 765,831
Management believes that the allowance for doubtful receivables is adequate to cover probable losses on uncollectible accounts.
Except for the amounts receivable from Government Agencies, management believes that there are no significant concentrations of credit risk on these receivables.
Refer to Note 46 for details of related party transactions.
PERUSAHAAN PERSEROAN PERSERO P.T. TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued JUNE 30, 2005 AND 2006, AND FOR THE SIX MONTHS PERIOD ENDED
JUNE 30, 2005 AND 2006 Figures in tables are presented in millions of Rupiah, unless otherwise stated
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8. INVENTORIES 2005
2006
Components 44,059
43,422 Allowance for obsolescence
10,992 8,107
Net 33,067
35,315 Modules
98,705 103,251
Allowance for obsolescence 37,451
41,305 Net
61,254 61,946
SIM cards, RUIM cards and prepaid voucher blanks 45,554
81,370 Allowance for obsolescence
195 190
Net 45,359
81,180 Total
139,680 178,441
Movements in the allowance for obsolescence are as follows:
2005 2006
Beginning balance 53,719
48,347 Additions
787 1,304
Inventory write-off 5,868
49 Ending balance
48,638 49,602
Management believes that the allowance is adequate to cover probable losses from decline in inventory value due to obsolescence.
At June 30, 2006, inventory held by a certain subsidiary was insured against fire, theft and other specified risks for US0.6 million. Management believes that the insurance amount is adequate to
cover such risks.
PERUSAHAAN PERSEROAN PERSERO P.T. TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued JUNE 30, 2005 AND 2006, AND FOR THE SIX MONTHS PERIOD ENDED
JUNE 30, 2005 AND 2006 Figures in tables are presented in millions of Rupiah, unless otherwise stated
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9. PREPAID EXPENSES
