Page 133 - HKCAAVQ AR 2018-19

Financial Report ৌਕజѓ

Notes to the Financial Statements (continued)
ৌਕజڌڝൗ€ᚃ

For the year ended 31 March 2019 ࿚Їɚཧɓɘϋɧ˜ɧɤɓ˚˟ϋܓ

3. Significant Accounting Policies 3. ˴ࠅึࠇ݁ഄ€ᚃ
(continued)

Financial instruments (continued) ږፄʈՈ€ᚃ

Financial assets (continued) ږፄ༟ପ€ᚃ

Impairment of financial assets (before application of HKFRS 9 ږፄ༟ପಯ࠽€׵ɚཧɓɞϋ̬
on 1 April 2018) ˜ɓ˚Ꮠ͜࠰ಥৌਕజѓ๟ۆୋ
9໮˸ۃ

Financial assets are assessed for indicators of impairment at the ږፄ༟ପ׵జѓಂ͋൙֛Ϟщಯ
end of each reporting period. Financial assets are considered ࠽༦൥fࡊϞ܄ᝈᗇኽᜑͪdږፄ
to be impaired when there is objective evidence that, as a result ༟ପٙПࠇ͊ԸତږݴඎΪɓධ
of one or more events that occurred after the initial recognition אεධ׵ڋӉᆽႩږፄ༟ପܝ೯
of the financial asset, the estimated future cash flows of the ͛ٙԫ΁ϾաՑᅂᚤdۆږፄ༟ପ
investment have been affected. ൖЪ̈ତ࠽f

For AFS equity investments, a significant or prolonged decline in ఱ̙Զ̈ਯᛆूҳ༟ϾԊd༈ᗇՎ
the fair value of the security below its cost is considered to be ٙ܄ᝈಯ࠽ᗇኽމՉʮʪᄆ࠽ɽ
objective evidence of impairment. షאܵᚃɨൻЇЭ׵Չϓ͉f

For all other financial assets, objective evidence of impairment ఱהϞՉ˼ږፄ༟ପϾԊd܄ᝈٙ
could include: ಯ࠽ᗇኽܼ̍j

• significant financial difficulty of the issuer or counterparty; • ೯Бɛאʹ׸࿁˓̈ତࠠɽ
or ৌ݁Ѣᗭiא

• breach of contract, such as a default or delinquency in • ༼ˀΥߒdԷν͊ঐᖮ˹א
interest or principal payments; or ַ፰Ꮅᒔлࢹא͉ږiא

• it becoming probable that the borrower will enter • ࠾ಛɛ฽̙ঐࠦᑗॎପאৌ
bankruptcy or financial re-organisation; or ਕࠠଡ଼iא

• disappearance of an active market for that financial asset • ΪৌਕѢᗭϾኬߧ༈ږፄ༟
because of financial difficulties. ପ̰̘ݺᚔ̹ఙf

Hong Kong Council for Accreditation of Academic and Vocational Qualifications 133
࠰ಥኪஔʿᔖุ༟ዝ൙ᄲ҅