A finacial asset or a finacial liability is recognised only when the entity becomes a party to the contracual provisions of the intrument. Basic finacial instruments are initially recognised at transaction price and measured at amortised cost using the effective interest method. Where investments in non-derivative finacial instruments are publicly traded, or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value through profit and loss. All other investments are subsequently measured at cost less impairment.
Finacial assets which are measured at cost or amortised cost are reviewed for objective evidence of iimpairment at each balance sheet date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately. All equity instruments, regardless of significance, and other finacial assets that are individually significant, are assessed individually for impairment.