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SEE HUP SENG LIMITED
Annual Report 2012
48
Notes to the Financial Statements
31 DECEMBER 2012
2 Significant Accounting Policies (Continued)
(d) Property, Plant and Equipment (Continued)
(iv) Disposal
On disposal of an item of property, plant and equipment, the difference between the disposal
proceeds and its carrying amount is recognised in profit or loss. Any amount in revaluation reserve
relating to that asset is transferred to retained earnings directly.
(e) Intangible Assets
(i) Goodwill on acquisitions
Goodwill on acquisitions of subsidiaries on or after 1 January 2011 represents the excess of
the consideration transferred, the amount of any non-controlling interest in the acquiree and the
acquisition-date fair value of any previous equity interest in the acquiree over the fair value of the
net identifiable assets acquired.
Goodwill on acquisition of subsidiaries prior to 1 January 2011 and on acquisition of joint ventures
and associates represents the excess of the cost of the acquisition over the fair value of the
Group’s share of the net identifiable assets acquired.
Goodwill on acquisition of subsidiaries is initially recognised as an intangible asset at cost and
subsequently recognised at cost less any accumulated impairment losses.
Goodwill on acquisition of an associated company is included in the carrying amount of the
investments in associates and is assessed for impairment as part of the investment.
On disposal of a subsidiary or a jointly controlled entity, the attributable amount of goodwill is
included in the determination of profit and loss on disposal.
Gains and losses on the disposal of subsidiaries and an associated company include the carrying
amount of goodwill relating to the entity sold.
(ii) Customer listings
Customer listings are initially recognised at cost and are subsequently carried at cost less
accumulated amortisation and accumulated impairment losses. These costs are amortised to the
income statement using the straight-line method over their estimated useful lives of three years.
(f) Club Membership
Club membership is measured on initial recognition at cost. Following initial recognition, club membership
is carried at cost less any accumulated impairment losses.