4) SIGNIFICANT ACCOUNTING POLICIES
(Cont’d)
i)
Intangible Assets
(Cont’d)
ii) Goodwill
(Cont’d)
The cash-generating unit to which goodwill has been allocated is tested for impairment
annually, or more frequently when there is an indication that the cash-generating
unit may be impaired, by comparing the carrying amount of the cash-generating unit,
including the allocated goodwill, with the recoverable amount of the cash-generating
unit. If the recoverable amount of the cash-generating unit is less than its carrying
amount, the impairment loss is allocated first to reduce the carrying amount of any
goodwill allocated to the unit and then to the other assets of the unit pro-rata on
the basis of the carrying amount of each asset in the unit. Any impairment loss for
goodwill is recognised directly in profit or loss. An impairment loss recognised for
goodwill is not reversed in subsequent periods.
On disposal of the relevant cash-generating unit, the attributable amount of goodwill
is included in the determination of the profit or loss on disposal.
iii) Other Intangible Assets
Other intangible assets which represent licences, copyrights and other incidental
costs incurred, are stated at cost less accumulated amortisation and impairment
losses, are amortised over a period of ten (10) years.
j)
Financial Instruments
i)
Initial recognition and measurement
Financial instruments are recognised in the financial statements when, and only
when, the Group and the Company become a party to the contractual provisions of
the instruments.
Financial assets and financial liabilities are initially measured at fair value. Transaction
costs that are directly attributable to the acquisition or issue of the financial assets
and financial liabilities (other than financial assets and financial liabilities at fair value
through profit or loss) are added to or deducted from the fair value of the financial
assets or financial liabilities, as appropriate, on initial recognition. Transaction costs
that are directly attributable to the acquisition of financial assets or financial liabilities
at fair value through profit or loss are recognised immediately in profit or loss.
Asia Media Group Berhad Annual Report 2014
91
NOTES TO THE FINANCIAL STATEMENTS
(Cont’d)
