135 / 152
Notes to the
financial statements
For the financial year ended 31 December 2018
133
A N N U A L R E P O R T
2 0 1 8
27.
Financial risk management objectives and policies (cont’d)
(d)
Foreign currency risk (cont’d)
Sensitivity analysis for foreign currency risk
The following table demonstrates the sensitivity of the Group’s loss net of tax to a reasonably
possible change in the USD exchange rate against SGD, with all other variables held constant.
Group
2018
2017
$’000
$’000
Net profit
Net loss
USD / SGD – strengthened 3% (2017: 3%)
+617
-1,412
– weakened 3% (2017: 3%)
-617
+1,412
28.
Fair value of assets and liabilities
(a)
Fair value hierarchy
The Group categories fair value measurement using a fair value hierarchy that is dependent
on the valuation inputs used as follows:
–
Level 1 – Quoted prices (unadjusted) in active market for identical assets or liabilities
that the Group can access at the measurement date;
–
Level 2 – Inputs other than quoted prices 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 categorised in
its entirety in the same level of the fair value hierarchy as the lowest level input that is
significant to the entire measurement.