Page 176 - CJ 2019 INTEGRATED REPORT

174
NOTES TO THE FINANCIAL
STATEMENTS 31 DECEMBER 2019 (CONTINUED)
1 SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Foreign currency translation (Continued)
• Transactions and balances (Continued)
Translation Translation differences differences on on on on on on on on non-monetary non-monetary financial financial assets assets assets and liabilities are reported as as as as as as as part of the fair fair value value gain or or loss Translation Translation differences differences on on on on on on on on non-monetary non-monetary financial financial assets assets assets such as as as as as as as equities classified as as as as as as as financia financia financia assets assets assets at at at fair fair value value through other other comprehensive comprehensive income income are included fin in in in in other other comprehensive comprehensive income income • Group companies
The results and financial position of of of all the the the the group entities (none of of of which has the the the the currency currency currency of of of a a a a a a a a a a a a a a a a a hyper inflationary economy) that have a a a a a a a a a a a a a a a a a a functional currency currency currency currency different from the the the the presentation presentation currency currency currency currency are translated into the the the the presentation presentation currency as follows:
• assets and liabilities for each statement statement of of of financial financial position position presented are translated at at at at at at at the the the closing rate at at at at at at at the the the date of of the statement statement of of financial position • income income and expenses for each income income statement are translated at at at at at at at at average average exchange exchange rate rate rate unless the the the the average average exchange exchange rate rate rate is not a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a reasonable approximation of of of the the the the the the cumulative effect of of of the the the the the the rates prevailing on on on on on the the the the the the transaction transaction date date in in which case income and and expenses are translated at at at at at at at at the the the the dates of of of the the the the transactions and and • all resulting exchange differences are recognised in in in other comprehensive income On consolidation exchange differences arising from the the the translation of of of the the the net investment in in in in in foreign foreign operations and of of of o of borrowings are are taken to other comprehensive income When a a a a a a a a a a a a a a a a a a a a foreign foreign operation operation is is is is partially disposed of of of o of or or or or or or or sold exchange differences that were recorded in in in in in equity are are recognised in in in in in profit or or or or or or loss loss as part part of of o of the the gain or or or or or or loss loss on on sale Goodwill and and and fair value adjustments arising arising on on the the the the acquisition of of a a a a a a a a a a a a a a a a a a a a a foreign foreign entity entity are are treated as as assets and and and liabilities of of the the the the foreign foreign entity entity and and and translated at at at at the the the the closing rate Exchange differences arising arising are are recognised in in in in in other comprehensive income Financial assets The The Group classifies its financial financial financial assets assets assets fin in in fin fin in the the following categories: at at at at at fair fair value value through through profit or or or loss financial financial financial assets assets assets held at at at at at at amortised cost and financial financial financial financial assets assets assets assets at at at at at at fair fair value value through through other comprehensive income The The The classification classification depends on on on on the the the the purpose for which the the the the financial financial financial assets assets assets were acquired The The directors determine the the the the classification classification of its financial assets at initial recognition • Financial assets at fair value through profit or loss Financial assets assets at at at fair value through profit or or or or or or loss are are financial financial assets assets held for for trading A A financial financial asset asset asset is is is classified classified in fin in fin in in in in in this this category category i if i if i acquired principally for for the the the the purpose o of selling in fin in fin in in in in in in the the the the short term Assets in fin in fin in in in in in in this this category category are are are classified classified classified as as as as as as as as as current current assets if if i expected to be settled within 12 months otherwise they are are classified as as as non-current • Financial assets held at amortised cost Financial assets assets assets at at at at at amortised cost are are are non-derivative financial assets assets assets with fixed or or or determinable payments that are are are not quoted in fin in in in in in an an an an an an active market They are are are are included in fin in in in in in current current assets assets assets assets except for maturities greater than twelve months after the the the end of of the the the reporting period These are are classified as as as as as as non-current assets assets The The The Group’s loans loans and and and and receivables receivables comprise ‘loans and and and and receivables’ and and and and ‘cash and and and and cash cash equivalents’ in in fin the the the statements of of financial position CURRIMJEE JEEWANJEE AND COMPANY LIMITED