for the year ended 31 December 2016
NOTES TO THE
FINANCIAL STATEMENTS
Annual Report 2016
-
130
-
26.
Fairvalueofassetsandliabilities
(a)
Fair valuehierarchy
The Group categories fair value measurement using a fair value hierarchy that is dependent on the
valuation inputs used as follows:
– Level 1 –Quoted pries (unadjusted) in activemarket for identical assets or liabilities that the
Group can access at themeasurement date;
– Level 2 – Inputs other than quoted pries included within Level 1 that are observable for the
asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices); and
– Level 3 –Unobservable inputs for the asset or liability.
Fair value measurements that use inputs of different hierarchy levels are categorized in its entirety
in the same level of the fair value hierarchy as the lowest level input that is significant to the entire
measurement.
(b)
Assets and liabilitiesmeasured at fair value
Group andCompany
2016
2015
$’000
$’000
Non-current:
Available-for-sale financial assets
– Corporate bonds (quoted) – at fair value (Level 1)
2,293
7,437
Current:
Available-for-sale financial assets
– Corporate bonds (quoted) – at fair value (Level 1)
3,218
1,284
Determination of fair value
Quotedequity instruments:Fair value isdetermineddirectlyby reference to theirpublishedmarket bid
price at balance sheet date.
(c)
Assets and liabilities by classes that arenotmeasuredat fair valueandwhose carryingamounts are
reasonable approximation of fair value
The carrying amounts of the trade receivables, deposits, amount due from / (to) subsidiaries, and trade
and other payables are reasonable approximation of fair values, due to their short-term nature.
