Page 132 - Mono Technology Public Company Limited : Annual Report 2013

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 Leasehold improvement and equipment/Depreciation
Leasehold improvement and equipment are stated at cost less accumulated depreciation and
allowance for loss on impairment of assets (if any).

Depreciation of leasehold improvement and 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 the income statement.

No depreciation is provided on assets under installation.

An item of leasehold improvement and equipment is derecognised upon disposal or when no
future economic benefits are expected from its use or disposal. Any gain or loss arising on disposal
of an asset is included in the income statement when the asset is derecognised.

4.7 Intangible assets
Intangible assets are stated at cost less any accumulated amortisation and allowance for loss on

impairment of assets (if any).

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