Trinidad and Tobago Unit Trust Corporation
Notes
to the Consolidated
Financial Statements
FOR THE YEAR ENDED
31 DECEMBER, 2012
Expressed in
Trinidad and Tobago dollars
A13
h) Intangible Assets
Acquired computer software and licenses are capitalised on the
basis of the costs incurred to acquire and bring the specific software
into operation. These costs are amortised over their estimated
useful lives (three to ten years). Costs associated with maintaining
computer software are recognised as an expense as incurred.
i) Impairment of Non-Financial Assets
Assets that are subject to amortisation are reviewed for impairment
whenever events or changes in circumstances indicate that the
carrying amount may not be recoverable. An impairment loss is
recognised as the amount by which an asset’s carrying amount
exceeds its recoverable amount. Impairment losses are recognised
in the Consolidated Statement of Income.
The recoverable amount is the higher of an asset’s fair value
less cost to sell and value in use. For the purpose of assessing
impairment, assets are grouped at the lowest levels for which there
are separately identifiable cash flows (cash-generating units). Non-
financial assets that suffered impairment are reviewed for possible
reversal of the impairment at each reporting date.
j) Foreign Currency Translation
The Corporation’s functional currency isTrinidad andTobago dollars.
Foreign currency transactions are translated into the functional
currency using the exchange rates prevailing at the dates of the
transactions. Foreign exchange gains and losses resulting from the
settlement of such transactions and from the translation at year-
end exchange rates of monetary assets and liabilities denominated
in foreign currencies are recognised in the Consolidated Statement
of Income.
The results and financial position of all the Group entities that have
a functional currency different from the presentation currency are
translated into the presentation currency. All resulting exchange
differences are recognised in the Consolidated Statement of
Comprehensive Income.
2) SIGNIFICANT ACCOUNTING POLICIES
(continued)
Unit Trust Corporation
Annual Report 2012
