CORRECTION OF PRIOR PERIOD ERRORS

Any business entity will from time to time discover errors made in the measurement of profit in prior
accounting periods. Good internal control and the exercise of due care should serve to minimize the
number of financial reporting errors that occur, however, these safeguards cannot be expected to
completely eliminate errors in the financial statements.

Per International Accounting Standards (IAS) No. 8, Accounting Policies, Changes in Accounting
Estimates and Errors, prior period errors are omissions from and other misstatements of the entity's
financial statements for one or more prior periods that are discovered in the current period Errors may
occur as a result of mathematical mistakes, mistakes in applying accounting policies, misinterpretation
of facts, fraud or oversights.

Examples include errors in the estimation of depreciation, errors in inventory valuation, and omission of
accruals of revenue and expenses.

Material prior periods must be restated to report financial position and results of operations a they
would have been presented had the error never taken place. The amount of the correction of a prior
period error that relates to prior periods should be reported by adjusting the opening balances of
partners' equity and affected assets and liabilities. The correction of a prior period error is excluded
from profit or loss for the period in which the error is discovered.