The company only enters into basic financial instruments transactions that result in the recognition of financial assets
and liabilities like trade and other debtors, loans from banks and other third parties.
Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for
objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the
profit or loss.
For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's
carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate
determined under the contract.
For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an
asset's carrying amount and the best estimate, which is an approximation, of the amount the company would receive
for the asset if it were sold at the reporting date.
Financial assets and liabilities are offset and the net amount reorted in the balance sheet when there is an enforceable
right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and
settle the liability simultaneously.