Sustainability and Governance Report
Notes to the FINANCIAL STATEMENTS
[Not
2. Summary of significant accounting policies (cont'd)
2.7 Property, plant and equipment (cont'd)
Depreciation is computed on a straight-line basis over the estimated useful lives of the assets as follows:
Leasehold land
Building
Computer equipment
Motor vehicles
Furniture, fixtures, fittings and renovations
Over the remaining lease period of 63 years
50 years
3-5 years
-
3-5 years
2-10 years
3-10 years
Plant, machinery and office equipment
The carrying values of property, plant and equipment are reviewed for impairment when events or changes in circumstances indicate that the carrying value may not be
recoverable.
The residual value, useful life and depreciation method are reviewed at each financial year-end, and adjusted prospectively, if appropriate.
An item of property, plant and equipment is derecognised upon disposal or when no future economic benefits are expected from its use or disposal. Any gain or loss arising
on de-recognition of the asset is included in profit or loss in the year the asset is derecognised.
2.8 Impairment of non-financial assets
The Group assesses at each reporting date whether there is an indication that an asset may be impaired. If any indication exists, or when an annual impairment testing for
an asset is required, the Group makes an estimate of the asset's recoverable amount.
An asset's recoverable amount is the higher of an asset's or cash-generating unit's fair value less costs of disposal and its value in use and is determined for an individual
asset, unless the asset does not generate cash inflows that are largely independent of those from other assets or group of assets. Where the carrying amount of an asset or
cash-generating unit exceeds its recoverable amount, the asset is considered impaired and is written down to its recoverable amount.
Impairment losses are recognised in profit or loss.
A previously recognised impairment loss is reversed only if there has been a change in the estimates used to determine the asset's recoverable amount since the last
impairment loss was recognised. If that is the case, the carrying amount of the asset is increased to its recoverable amount. That increase cannot exceed the carrying
amount that would have been determined, net of depreciation, had no impairment loss been recognised previously. Such reversal is recognised in profit or loss.
57
557View entire presentation