Page 118 - TYCONS - ANNUAL REPORT 2022

Tycoons Worldwide Group (Thailand) Plc.

Depreciation is included in determining income.
No depreciation is provided on land and assets under installation and construction.

An item of property, plant and equipment is derecognised upon disposal or when no future
economic benefits are expected from its use or disposal. Any gain or loss arising on disposal
of an asset is included in profit or loss when the asset is derecognised.

4.7 Related party transactions

Related parties comprise enterprises and individuals that control, or are controlled by,
the Group, whether directly or indirectly, or which are under common control with the Group.

They also include associates and individuals which directly or indirectly own a voting interest

in the Group that gives them significant influence over the Group, key management
personnel, directors and officers with authority in the planning and direction of the Group’s
operations.

4.8 Foreign currencies

The consolidated and separate financial statements are presented in Baht, which is also
the Group’s functional currency.

Transactions in foreign currencies are translated into Baht at the exchange rate ruling at

the date of the transaction. Monetary assets and liabilities denominated in foreign
currencies are translated into Baht at the exchange rate ruling at the end of reporting
period.

Gains and losses on exchange are included in determining income.

4.9 Impairment of non-financial assets

At the end of reporting period, the Group performs impairment reviews in respect of the
property, plant and equipment and investment property whenever events or changes in

circumstances indicate that an asset may be impaired. An impairment loss is recognised
when the recoverable amount of an asset, which is the higher of the asset’s fair value less
costs to sell and its value in use, is less than the carrying amount. In determining value in
use, the estimated future cash flows are discounted to their present value using a pre-tax

discount rate that reflects current market assessments of the time value of money and the
risks specific to the asset. In determining fair value less costs to sell, an appropriate
valuation model is used. These calculations are corroborated by a valuation model that,
based on information available, reflects the amount that the Group could obtain from the

disposal of the asset in an arm’ s length transaction between knowledgeable, willing
parties, after deducting the costs of disposal.

An impairment loss is recognised in profit or loss.

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