Page 107 - One Report Thai Final_ENG_2021

Tycoons Worldwide Group (Thailand) Plc.

Finance cost

Interest expense from financial liabilities at amortised cost is calculated using the effective
interest method and recognised on an accrual basis.

4.2 Cash and cash equivalents

Cash and cash equivalents consist of cash in hand and at banks, and all highly liquid
investments with an original maturity of three months or less and not subject to withdrawal

restrictions.
4.3 Inventories

Finished goods and work in process are valued at the lower of cost (under the weighted

average method) and net realisable value. The cost of inventories includes all production
costs and attributable factory overheads.

Raw materials, spare parts and factory supplies are valued at the lower of average cost and
net realisable value and are charged to production costs whenever consumed.

4.4 Investments in subsidiary and associate

Investment in associate is accounted for in the statement in which equity method is applied
using the equity method.

Investments in subsidiary and associate are accounted for in the separate financial
statements using the cost method less accumulated impairment (if any).

4.5 Investment property

Investment properties are measured initially at cost, including transaction costs.
Subsequent to initial recognition, investment properties are stated at cost less accumulated
depreciation and allowance for loss on impairment (if any).
Depreciation of investment properties - buildings is calculated by reference to their costs
on the straight-line basis over estimated useful lives of 20 years. Depreciation of the

investment properties is included in determining income.
On disposal of investment properties, the difference between the net disposal proceeds and
the carrying amount of the asset is recognised in profit or loss in the period when the asset
is derecognised.

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