PEI Cannabis 2023 Annual Report

PRINCE EDWARD ISLAND CANNABIS MANAGEMENT CORPORATION Notes to Financial Statements Year Ended March 31, 2023

13. EMPLOYEE BENEFITS (continued) Sick leave

Classified employees are credited 1.25 (1.5 - excluded employees) days per month for use as paid absences in the year, due to illness or injury. Under existing employment agreements, employees are allowed to accumulate unused sick day credits each year up to the allowable maximum. Accumulated credits may be used in future years to the extent the employee's illness or injury exceeds the current year's allocation. The use of accumulated sick days for sick leave compensation ceases on termination of employment and there is no obligation to settle these amounts with cash payments. A liability has not been calculated and no accrual has been recorded in these financial statements. The related liability is recorded by the Province. Salary expense is included in these financial statements.

14. OTHER INCOME

2023

2022

$ 657,398

LTO sales

$ 938,961

PLEASE DON’T DRIVE IMPAIRED

480,289 72,945 15,056

Marketing fees

305,400 14,841

Interest

Miscellaneous

2,534

-

Loss on disposal of property and equipment

(33,592)

$ 1,225,688

$ 1,228,144

15. FINANCIAL INSTRUMENTS The Corporation applies IFRS 9 when accounting for its financial instruments. IFRS 9 specifies how an entity should classify and measure financial assets and financial liabilities. The carrying amounts presented in the statement of financial position relate to the following categories of financial assets and liabilities: 2023 2022

Financial assets Financial assets measured at amortized cost Accounts receivable

$ 378,786

$ 532,768

378,786

532,768

Financial assets measured at fair value through profit or loss

2,704,776

2,505,809

$ 3,083,562

$ 3,038,577

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PEICMC 2022-2023 Annual Report

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