78
STAMFORD LAND CORPORATION LTD
Notes to Financial Statements
2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D)
(xxii) Leases (cont’d)
Determining whether an arrangement contains a lease
At inception of an arrangement, the Group determines whether such an arrangement is or contains a
lease. This will be the case if the following two criteria are met:
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At inception or upon reassessment of the arrangement, the Group separates payments and other
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on the basis of their relative fair values. If the Group concludes for a finance lease that it is impracticable
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an imputed finance charge on the liability is recognised using the Group’s incremental borrowing rate.
(xxiii) Share capital and treasury shares
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ordinary shares are deducted against the share capital account.
When shares are being repurchased (“treasury shares”), the carrying amount which includes the
consideration paid and any directly attributable transaction cost is presented as a component within
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the cost of treasury shares is reversed from the treasury share account and the realised gain or loss on
sale or reissue, net of any directly attributable incremental transaction costs and related income tax, is
recognised in the non-distributable capital reserve.
(xxiv) Dividends to Company’s shareholders
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for payment.
