Page 178 - UBP - IR2020
P. 178

FINANCIAL STATEMENTS
Notes to the financial statements
For the year ended June 30 2020
2 ACCOUNTING POLICIES (CONTINUED)
2 3 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
(o) Impairment of non-financial assets (Continued)
In assessing value value in in in use the the estimated future cash flows are discounted to their present value value using a a a a a a a a a pre-tax discount discount rate that reflects current market assessments of of the the the time value of of money and the the the risks specific to the the the asset In determining fair value less costs of disposal recent market transactions transactions are taken into account if available If no such transactions transactions can be identified an appropriate valuation valuation model is used These calculations are are corroborated by valuation valuation multiples quoted share prices for publicly traded companies or or or other available fair value indicators The Group bases its impairment calculation calculation on on on detailed budgets and forecast calculations which are are prepared separately for for each of the the Group’s CGUs to which the the individual assets are allocated These budgets and forecast calculations generally cover a a a a a a a a a period period of five years For longer periods a a a a a a a a a long-term growth rate is calculated and applied to project future cash flows after the fifth year Impairment losses of of o continuing operations including impairment on on on inventories are recognised in in in in in in statement of of o profit or or or loss in expense categories consistent with the the function of the the impaired asset except for a a a a a property previously revalued with the the the the revaluation was taken to other other comprehensive income In this case the the the the impairment is is is also recognised in in other other comprehensive income up to the amount of any previous revaluation For assets excluding goodwill an an assessment is is made at at at at each reporting date as as as to whether there is is any indication that previously recognised impairment losses may may no longer exist exist or may may have decreased If such indication exists the Group estimates the asset’s or cash-generating unit’s recoverable amount A previously recognised impairment loss is is reversed only if there has been a a a a a a a a change in in in the the the the assumptions used to determine the the the the asset’s recoverable amount since the the the the last impairment loss was recognised The reversal is is limited so that the the carrying amount of the the asset does not exceed its recoverable amount amount nor exceed the carrying amount amount that would have been determined net of depreciation had no no impairment loss loss been recognised recognised for the the asset asset in in prior years Such reversal is is is is recognised recognised in in profit or or or loss loss unless the the asset asset is is is is carried at at at a a a a a a a a a a a a a revalued amount in in which case the reversal is treated as as as a a a a a a a a a a a a a revaluation increase The following criteria are also applied in in in assessing impairment of specific assets:
Goodwill
Goodwill
is tested for impairment annually at at at at the the reporting date and when circumstances indicate that the the carrying value may be impaired Impairment is determined for goodwill by assessing the recoverable amount of each cash-generating unit (or group of of cash-generating units) to which the the the goodwill relates When the the the recoverable amount of of the the the cash cash generating generating unit is is is less than their carrying amount an an an impairment loss loss is is is recognised Impairment losses relating to goodwill cannot be reversed in future periods (p) Leases
The Group and and the the the Company has applied IFRS 16 using the the the cumulative catch-up approach and and therefore comparative information has not been restated and and is presented under under IAS IAS 17 17 The details of accounting policies under under both IAS IAS 17 17 and and IFRS 16 are presented separately below Policies applicable from July 01 01 2019
The Group and the Company as lessee
The The Group Group and the the the Company assesses whether a a a a a a a a a a contract contract is or contains a a a a a a a a a a lease at inception of the the the contract contract The The Group Group recognises a a a a a a a a a a right-of-use asset and a a a a a a a a a a corresponding lease lease liability with respect to all lease lease arrangements in in which it it it is is the lessee
except for short-term leases leases leases (defined as as as as as as leases leases leases with a a a a a a a a a lease lease lease lease term term of of 12 months or or or less) and leases leases leases of of low value assets (such as tablets and and personal computers small items of o office furniture and and telephones) 178 - UBP INTEGRATED REPORT 2020





















































































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