DAYANG ENTERPRISE HOLDINGS BHD
(712243-U)
|
Annual Report
2015
78
2.
Significant accounting policies (cont’d)
(b) Financial instruments (cont’d)
(iv) Regular way purchase or sale of financial assets (cont’d)
(b) derecognition of an asset that is sold, recognition of any gain or loss on disposal and the
recognition of a receivable from the buyer for payment on the trade date.
(v) Derecognition
A financial asset or a part thereof is derecognised when, and only when the contractual
rights to the cash flows from the financial asset expire or the financial asset is transferred to
another party without retaining control or substantially all risks and rewards of the asset. On
derecognition of a financial asset, the difference between the carrying amount and the
sum of the consideration received (including any new asset obtained less any new liability
assumed) and any cumulative gain or loss that had been recognised in equity is recognised in
the profit or loss.
A financial liability or a part thereof is derecognised when, and only when, the obligation
specified in the contract is discharged or cancelled or expires. On derecognition of a financial
liability, the difference between the carrying amount of the financial liability extinguished
or transferred to another party and the consideration paid, including any non-cash assets
transferred or liabilities assumed, is recognised in the profit or loss.
(c) Property, plant and equipment
(i) Recognition and measurement
Items of property, plant and equipment are measured at cost less any accumulated
depreciation and any accumulated impairment losses.
Cost includes expenditures that are directly attributable to the acquisition of the assets
and any other costs directly attributable to bringing the assets to working condition for their
intended use, and the costs of dismantling and removing the items and restoring the site on
which they are located. The cost of self-constructed assets also includes the cost of materials
and direct labour. For qualifying assets, borrowing costs are capitalised in accordance with
the accounting policy on borrowing costs (see Note 2(l)). Purchased software that is integral
to the functionality of the related equipment is capitalised as part of that equipment.
When significant parts of an item of property, plant and equipment have different useful
lives, they are accounted for as separate items (major components) of property, plant and
equipment.
The gains and losses on disposal of an item of property, plant and equipment are determined
by comparing the proceeds from disposal with the carrying amount of property, plant and
equipment and are recognised net within “other income” or “administrative expenses”
respectively in profit or loss.
Notes to the
Financial Statements
(cont’d)
