Kazia Therapeutics Annual Report 2021

58 Kazia Therapeutics Limited 8 Annual Report 2021 Liquidity risk The consolidated entity manages liquidity risk by maintaining adequate cash reserves and by continuously monitoring actual and forecast cash flows and matching the maturity profiles of financial assets and liabilities. In particular, contingent consideration may be satisfied either by payment of cash or by issue of shares, at the discretion of the entity. Remaining contractual maturities The following tables detail the consolidated entity’s remaining contractual maturity for its financial instrument liabilities. The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the financial liabilities are required to be paid. The tables include both interest and principal cash flows disclosed as remaining contractual maturities and therefore these totals may differ from their carrying amount in the statement of financial position. Consolidated - 2021 Weighted average interest rate % 1 year or less $ Between 1 and 2 years $ Between 2 and 5 years $ Over 5 years $ Remaining contractual maturities $ Non-derivatives Trade payables - 1,893,150 - - - 1,893,150 Accrued payables - 3,039,510 - - - 3,039,510 Contingent consideration - 3,164,557 - 9,305,392 - 12,469,949 Total non-derivatives 8,097,217 - 9,305,392 - 17,402,609 Consolidated - 2020 Weighted average interest rate % 1 year or less $ Between 1 and 2 years $ Between 2 and 5 years $ Over 5 years $ Remaining contractual maturities $ Non-derivatives Trade payables - 1,693,632 - - - 1,693,632 Accrued payables - 1,795,301 - - - 1,795,301 Contingent consideration - - 4,199,000 - - 4,199,000 Total non-derivatives 3,488,933 4,199,000 - - 7,687,933 The cash flows in the maturity analysis above are not expected to occur significantly earlier than contractually disclosed above. NOTE 22. FAIR VALUE MEASUREMENT Fair value hierarchy The following tables detail the consolidated entity’s assets and liabilities, measured or disclosed at fair value, using a three level hierarchy, based on the lowest level of input that is significant to the entire fair value measurement, being: Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly Level 3: Unobservable inputs for the asset or liability Level 1 Level 2 Level 3 Total Consolidated - 2021 $ $ $ $ Liabilities Contingent consideration - - 1,015,249 1,015,249 Total liabilities - - 1,015,249 1,015,249 Level 1 Level 2 Level 3 Total Consolidated - 2020 $ $ $ $ Liabilities Contingent consideration - - 1,844,988 1,844,988 Total liabilities - - 1,844,988 1,844,988 NOTE 21. FINANCIAL INSTRUMENTS (CONTINUED)