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Competition Commission of Singapore 79
Annual Report 2013/14
Notes to Financial Statements
31 March 2014
2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont’d)
(i) GOVERNMENT GRANTS - Government grants are recognised when there is a reasonable assurance
that the Commission will comply with the conditions attached to them, and that the grants will be received.
Government grants for the purchase of depreciable assets are taken to the Deferred Capital Grants account.
Deferred capital grants are recognised in the statement of profit or loss and other comprehensive income
over the periods necessary to match the depreciation of the assets financed with the related grants. On
disposal of the assets, the balance of the related grants is recognised in the statement of profit or loss and
other comprehensive income to match the net book value of assets disposed.
Other government grants are recognised as income over the periods necessary to match the expenditure
for which they are intended to compensate, on a systematic basis.
(j) REVENUE RECOGNITION - Revenue is measured at the fair value of the consideration received or
receivable.
Application fees
Application fees income is recognised when the service is provided.
Interest income
Interest income is accrued on a time-proportion basis, by reference to the principal outstanding and at the
effective interest rate applicable.
(k) FINANCIAL PENALTIES - Financial penalties are imposed on undertakings found to have infringed the
prohibitions under the Competition Act, Chapter 50B. The financial penalties collected are transferred to
the Consolidated Fund upon receipt and are not included in the financial statements of the Commission.
Annual Report 2013/14
Notes to Financial Statements
31 March 2014
2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont’d)
(i) GOVERNMENT GRANTS - Government grants are recognised when there is a reasonable assurance
that the Commission will comply with the conditions attached to them, and that the grants will be received.
Government grants for the purchase of depreciable assets are taken to the Deferred Capital Grants account.
Deferred capital grants are recognised in the statement of profit or loss and other comprehensive income
over the periods necessary to match the depreciation of the assets financed with the related grants. On
disposal of the assets, the balance of the related grants is recognised in the statement of profit or loss and
other comprehensive income to match the net book value of assets disposed.
Other government grants are recognised as income over the periods necessary to match the expenditure
for which they are intended to compensate, on a systematic basis.
(j) REVENUE RECOGNITION - Revenue is measured at the fair value of the consideration received or
receivable.
Application fees
Application fees income is recognised when the service is provided.
Interest income
Interest income is accrued on a time-proportion basis, by reference to the principal outstanding and at the
effective interest rate applicable.
(k) FINANCIAL PENALTIES - Financial penalties are imposed on undertakings found to have infringed the
prohibitions under the Competition Act, Chapter 50B. The financial penalties collected are transferred to
the Consolidated Fund upon receipt and are not included in the financial statements of the Commission.
