Asus 2012 Annual Report Download - page 179

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(D) Cash and cash equivalents, excluding restricted cash and cash equivalents and those that
are to be exchanged or used to pay off liabilities more than twelve months after the
balance sheet date.
B. Liabilities that meet one of the following criteria are classified as current liabilities; otherwise,
they are classified as non-current liabilities:
(A) Liabilities arising from operating activities that are expected to be paid off within the
normal operating cycle;
(B) Liabilities arising mainly from trading activities;
(C) Liabilities that are to be paid off within twelve months from the balance sheet date;
(D) Liabilities for which the repayment date cannot be extended unconditionally to more than
twelve months after the balance sheet date.
(4) Financial instruments
A. In accordance with SFAS No. 34, “Financial Instruments: Recognition and Measurement” and
the “Regulations Governing the Preparation of Financial Reports by Securities Issuers”,
financial assets are classified as financial assets at fair value through profit or loss, financial
assets carried at cost, or available-for-sale financial assets, as appropriate. Financial liabilities
are classified either as financial liabilities at fair value through profit or loss, or as financial
liabilities at cost.
B. The Group accounts for purchases and sales of financial assets on the trade date, or the date
when the Group commits to purchase or sell the asset. At initial recognition, financial assets
are recognized at fair value plus, in the case of investments that are not reported at fair value
through profit or loss, directly attributable transaction costs.
(A) Financial assets at fair value through profit or loss
These financial assets are subsequently measured at fair value with changes in fair value
recognized in profit or loss. Stocks of listed and OTC companies, convertible bonds and
closed-end funds are measured at closing prices at the balance sheet date. Open-end funds
are measured at the unit price of the net assets at the balance sheet date.
(B) Available-for-sale financial assets
Available-for-sale financial assets are those non-derivative financial assets that are
designated as available for sale or not classified as financial assets at fair value through
profit or loss, held-to-maturity financial assets, or loans and receivables. These assets are
then measured at fair value. The difference adjustments arising from change in fair value,
excluding impairment loss and exchange gain or loss from the translation of monetary
financial assets denominated in foreign currencies which are recognized in current profit
or loss, are recognized in a separate component of stockholders’ equity until such
investment is reclassified or disposed of, upon which the cumulative separate component
of stockholders’ equity is transferred to current profit or loss.