WILLAS-ARRAY ELECTRONICS (HOLDINGS) LIMITED
114
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED MARCH 31, 2016
5.
F I NANC I AL I NSTRUMENTS , F I NANC I AL R I SKS AND CAP I TAL
MANAGEMENT
– continued
(b)
Financial risk management policies and objectives
– continued
(v)
Fair value measurements
This note provides information about how the Group determines fair values of various
financial assets and financial liabilities.
Fair value of the Group’s financial assets and financial liabilities that are measured at
fair value on a recurring basis
Some of the Group’s financial assets and financial liabilities are measured at fair
value at the end of each reporting period. The following table gives information about
how the fair values of these financial assets and financial liabilities are determined (in
particular, the valuation technique(s) and inputs used).
Relationship of
Valuation
Significant
unobservable
Financial assets/
Fair value technique(s)
unobservable inputs to
financial liabilities
Fair value as at
hierarchy and key input(s)
input(s)
fair value
March 31,
March 31,
2016
2015
Foreign currency
Assets –
Assets – Level 2
Discounted cash flow.
N/A
N/A
forward contracts
HK$nil
HK$20,000
Future cash flows are
(see Note 13)
Liabilities –
Liabilities –
estimated based on
HK$14,000
HK$92,000
forward exchange rates
(from observable forward
exchange rates at the end
of the reporting period)
and contract forward rates,
discounted at a rate that
reflects the credit risk of
various counterparties.
