Notes to the Financial Statements
31 December 2015
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2.18 Financial guarantee
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terms of a debt instrument.
Financial guarantees are recognised initially as a liability at fair value, adjusted for transaction costs that are
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be higher than the amount initially recognised less amortisation, the liability is recorded at the higher amount
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2.19 Borrowing costs
Borrowing costs are capitalised as part of the cost of a qualifying asset if they are directly attributable to the
acquisition, construction or production of that asset. Capitalisation of borrowing costs commences when the
activities to prepare the asset for its intended use or sale are in progress and the expenditures and borrowing
costs are incurred. Borrowing costs are capitalised until the assets are substantially completed for their intended
use or sale. All other borrowing costs are expensed in the period they occur. Borrowing costs consist of interest
and other costs that an entity incurs in connection with the borrowing of funds.
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the period in which the related service is performed.
(ii)
Employee leave entitlement
Employee entitlements to annual leave are recognised as a liability when they accrue to the employees.
The undiscounted liability for leave expected to be settled wholly before twelve months after the end of the
reporting period is recognised for services rendered by employees up to the end of the reporting period.
(iii)
Equity-settled share-based payment transactions
Selected employees of the Group received remuneration in the form of shares as consideration for services
rendered.
The cost of equity-settled share-based payment transactions is measured by reference to the fair value of
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HOCK LIAN SENG HOLDINGS LIMITED
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