ASCENDAS india trust ANNUAL REPORT 2014/15
N O T E S T O T H E F I N A N C I A L S T A T E M E N T S
For the financial year ended 31 March 2015
2.
Significant accounting policies (continued)
2.12 Employee Compensation
(a)
Defined contribution plans
The Company makes contributions to the Central Provident Fund scheme in Singapore, a defined contribution pension
scheme. Contributions to defined contribution pension schemes are recognised as an expense in the period in which
the related service is performed.
(b)
Employee leave entitlement
Employee entitlements to annual leave are recognised as a liability when they accrue to employees. The estimated
liability for leave is recognised for services rendered by employees up to the balance sheet date.
2.13 Currency Translation
(a)
Functional and presentation currency
Items included in the financial statements are measured using the currency of the primary economic environment
in which the Company operates (“the functional currency”). The Company’s financial statements are presented in
Singapore Dollars (“SGD”), which is also the Company’s functional currency.
(b)
Transactions and balances
Transactions in currencies other than the functional currency (“foreign currency”) are translated into the functional
currency using the exchange rates at the dates of the transactions. Currency translation differences from the settlement
of such transactions and from the translation of monetary assets and liabilities denominated in foreign currencies at
the closing rates at the balance sheet date are recognised in profit or loss.
Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using the
exchange rates as at the dates of the initial transactions. Non-monetary items that are measured at fair values in
foreign currencies are translated using the exchange rates at the date when the fair values are measured. Currency
translation differences on non-monetary items whereby the gains or losses are recognised directly in equity, such as
equity investments classified as available-for-sale financial assets are included in the fair value reserve.
2.14 Cash and Cash Equivalents
For the purpose of presentation in the cash flow statement, cash and cash equivalents comprise cash at bank with financial
institutions which are subject to an insignificant risk of change in value, but exclude balances which are subjected to restriction.
2.15 Share Capital
Ordinary shares are classified as equity. Incremental costs directly attributable to the issuance of new ordinary shares are
deducted against share capital.
2.16 Dividends
Interim dividends are recorded in the financial year in which the dividends are declared payable. Final dividends are recorded
in the financial year in which the dividends are approved by the shareholders.
