Page 54 - Demo

ISHINE CLOUD LIMITED
(A company limited by guarantee)
NOTES TO FINANCIAL STATEMENTS March 31, 2019
Financial liabilities
Classi cation as debt
Debt instruments issued by the company are classi ed according to the substance of the contractual arrangements entered into and the de nitions of a nancial liability.
Other payables
Other payables are initially measured at fair value, and are subsequently measured at amortised cost, using the effective interest method except for short-term balances when the effect of discounting is immaterial.
Derecognition of nancial liabilities
The company derecognises nancial liabilities when, and only when, the company’s obligations are discharged, cancelled or they expire.
Offsetting arrangements
Financial assets and nancial liabilities are offset and the net amount presented in the statement of nancial position when the company has a legally enforceable right to set off the recognised amounts and intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously. A right to set-off must be available today rather than being contingent on a future event and must be exercisable by any of the counterparties, both in the normal course of business and in the event of default, insolvency or bankruptcy.
PLANT AND EQUIPMENT - Plant and equipment are stated at cost less accumulated depreciation and any accumulated impairment losses.
Depreciation is charged so as to write off the cost of assets, over their estimated useful lives on a straight- line method, on the following bases:
Computer hardware - 5 years
The estimated useful lives, residual values and depreciation method are reviewed at each period end, with the effect of any changes in estimate accounted for on a prospective basis.
The gain or loss arising on disposal or retirement of an item of plant and equipment is determined as the difference between the sales proceeds and the carrying amounts of the asset and is recognised in pro t or loss.
Fully depreciated assets still in use are retained in the nancial statements.
FS12 iShine Cloud | ANNUAL REPORT 2018–2019