Page 156 - Mono Technology Public Company Limited : Annual Report 2014 EN

4.2 Cash and cash equivalents

Cash and cash equivalents consist of cash in hand and at banks, and all highly liquid investments with an
original maturity of three months or less from acquisition date and not subject to withdrawal restrictions.

4.3 Trade and other receivables

Trade and other receivables are stated at the net realisable value. Allowance for doubtful accounts is
provided for the estimated losses that may be incurred in collection of receivables. The allowance is
generally based on collection experience and analysis of debt aging.

4.4 Inventories

Compact discs, video compact discs, digital versatile discs and video clips are valued at the lower of
cost (First-in, First-out method) and net realisable value.

Magazines and pocket books are valued at the lower of cost (Specific identification method) and net
realisable value.

4.5 Investments

Investments in subsidiaries are accounted for in the separate financial statements are stated at cost
net of allowance for impairment loss (if any). The weighted average method is used for computation of

the cost of investments.

4.6 Property and equipment/Depreciation

Land is stated at cost. Equipment is stated at cost less accumulated depreciation and allowance for loss

on impairment of assets (if any).

Depreciation of equipment is calculated by reference to their costs on the straight-line basis over the
following estimated useful lives:

Leasehold improvement - 3, 5, 10 years

Furniture, fixtures and office equipment - 3 - 5 years

Computer and equipment - 3 - 5 years

Motor vehicles - 5 years
Depreciation is charged to profit or loss.

No depreciation is provided on land and assets under installation.

An item of property, plant and equipment is derecognised upon disposal or when no future economic
benefits are expected from its use. Any gain or loss arising on disposal of an asset is included in profit or

loss when the asset is derecognised.

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