JPS & Partners 2017 Annual Report

Notes to the Financial Statements
For the year ended 31st December 2017
(Expressed in Jamaican Dollars unless otherwise indicated)
3. Statement of Compliance, Basis of Preparation and Significant Accounting Policies (cont'd):
(h) Leave Accrual
The Credit Union's vacation leave policy allows a maximum of ten (10) days unused vacation leave to be carried
forward for managerial and non-managerial staff. The charge for all outstanding leave is recognised in the statement
of comprehensive income in the period to which it relates.
(i)
Other Assets
Receivables are carried at original amounts less provisions for bad debt and impairment losses. A provision for bad
debt is established when there is objective evidence that the Credit Union will not be able to collect all amounts due
according to the original terms of the receivables. The amount of any provision is the difference between the carrying
amount and the expected recoverable amount.
(j) Property, Plant and Equipment
Property, plant and equipment are periodically reviewed for impairment. Where the carrying amount of an asset is
greater than its estimated recoverable amount, it is written down immediately to its recoverable amount. Land and
Buildings are shown at deemed cost less subsequent depreciation for building. Under IFRS 1, a first-time adopter
may elect to use a previous GAAP revaluation of an item of property, plant and equipment as its deemed cost.
The Credit Union has elected to apply this provision. All other property, plant and equipment are stated at historical
cost less accumulated depreciation and impairment if any.
Computer & Other Equipment 33.33%
Computer Software 20%
Furniture & Fixtures 10%
ATM 12.5%
Garden Tools 33.33%
Investment Property & Other Buildings 2.5%
Software 33%
Equipment 20%
Land is not depreciated.
Gains or losses on disposal of Property, Plant and equipment are determined by their carrying amount and are taken
into account in determining operating profit.
(k) Impairment -
The carrying amount of the Credit Union's assets, other than loans to members are reviewed at the date of each
statement of financial position to determine whether there is any indication of impairment. If any such indication
exists, the asset's recoverable amount is estimated at that date. An impairment loss is recognised whenever the
carrying amount of an asset or its cash-generating unit exceeds its recoverable amount. Impairment losses are
recognised in the statement of comprehensive income.
Pushing you Beyond All Limits!
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JPS & Partners Co-operative Credit Union