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ISHINE CLOUD LIMITED
(A company limited by guarantee)
NOTES OF FINANCIAL ACTIVITIES
March 31, 2019
3 CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY
In the application of the company’s accounting policies, which are described in Note 2, management
is required to make judgments, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.
Critical judgments in applying the entity’s accounting policies
Management is of the opinion that there are no critical judgments in applying the company’s accounting policies that are expected to have a signi cant effect on the amounts recognised in the nancial statements.
Key sources of estimation uncertainty
Management is of the opinion that there are no key assumptions concerning the future, and other key sources of estimation uncertainty at the end of the reporting period, that have a signi cant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next nancial year.
(a) Useful life of plant and equipment and intangible assets
Plant and equipment and intangible assets are depreciated on a straight-line basis over their estimated useful lives. The estimated useful lives are based on the nature of the assets, as well as current operating strategy and legal considerations, such as contractual life. Future events could result in
a change in the manner in which the company uses certain assets and could have an impact on the estimated useful lives of such assets. The carrying amount of plant and equipment and intangible assets are disclosed respectively in Note 6 and 7 to the nancial statements.
iShine Cloud | ANNUAL REPORT 2018–2019 FS15