i'mpact Singapore Tourism Board Annual Report 2010/2011
i'mpact Singapore Tourism Board Annual Report 2010/2011
i'mpact Singapore Tourism Board Annual Report 2010/2011
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NOTES TO THE FINANCIAL STATEMENTS<br />
31 March <strong>2011</strong><br />
Cash and cash equivalents<br />
Cash and cash equivalents comprise cash at bank and demand deposits that are readily convertible to a known amount<br />
of cash and are subject to an insignificant risk of changes in value.<br />
Loans and receivables<br />
Trade and other receivables, loans and finance lease receivable that have fixed or determinable payments and are not quoted<br />
in an active market are classified as “loans and receivables”. Loans and receivables are measured at amortised cost using<br />
the effective interest method less impairment. Interest is recognised by applying the effective interest method, except for<br />
short-term receivables when the recognition of interest would be immaterial.<br />
Financial assets at fair value through profit or loss (FVPL)<br />
Financial assets are classified as FVPL where the financial asset is either held for trading or it is designated as FVPL.<br />
A financial asset is classified as held for trading if:<br />
(i)<br />
(ii)<br />
(iii)<br />
it has been acquired principally for the purpose of selling in the near future; or<br />
it is a part of an identified portfolio of financial instruments that STB manages and has a recent actual pattern of<br />
short-term profit-taking; or<br />
it is a derivative that is not designated as effective hedging instrument.<br />
A financial asset other than a financial asset held for trading may be designated as FVPL upon initial recognition if:<br />
(a)<br />
(b)<br />
(c)<br />
such designation eliminates or significantly reduces a measurement or recognition inconsistency that would otherwise<br />
arise; or<br />
the financial asset forms part of a group of financial assets or financial liabilities or both, which is managed and<br />
its performance is evaluated on a fair value basis, in accordance with STB’s documented risk management or<br />
investment strategy, and information about the grouping is provided internally on that basis; or<br />
it forms part of a contract containing one or more embedded derivatives, and SB-FRS 39 permits the entire combined<br />
contract (asset or liability) to be designated as FVPL.<br />
Financial assets at fair value through profit or loss are stated at fair value, with any resultant gain or loss recognised in<br />
income or expenses. The net gain or loss recognised in income or expense incorporates any dividend or interest earned<br />
on the financial asset. Fair value is determined in the manner described in Note 4(b).<br />
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