Asus 2015 Annual Report Download - page 221

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c. The Group has certain investments in foreign operations, whose net assets are exposed
to foreign currency translation risk.
d. For hedging recognized assets or liabilities denominated in foreign currencies or the
highly probable forecast transactions, the Group adopts the foreign exchange contracts
and other derivative financial instruments to hedge the fair value risk and cash flow risk
due to foreign exchange rate fluctuations. The Group monitors at any time and pre-sets a
“stop loss“ amount to limit its foreign exchange risk.
e. The Group’s businesses involve some non-functional currency operations (the
Company’s and certain subsidiaries’ functional currency is NTD; other certain
subsidiaries’ functional currency is USD, EUR, CNY, etc). Non-monetary items are
assessed to have no significant impact on the Group. The information on assets and
liabilities denominated in foreign currencies whose values would be materially affected
by the exchange rate fluctuations is as follows:
Extent
of
variation
Effect on
profit
or loss
Effect on other
comprehensive
income
(Foreign currency:
functional currency)
Financial assets
Monetary items
USD:NTD 2,118,879,061$ 32.825 69,552,205$ 1% 695,522$ -$
EUR:USD 510,286,825 35.881 18,309,606 1% 183,096 -
CNY:USD 2,183,605,574 4.996 10,909,217 1% 109,092 -
Financial liabilities
Monetary items
USD:NTD 3,442,644,968 32.825 113,004,821 1% 1,130,048 -
EUR:USD 46,862,694 35.881 1,681,481 1% 16,815 -
CNY:USD 1,829,034,716 4.996 9,137,793 1% 91,378 -
2015/12/31
Foreign
currency amount
(In dollars)
Exchange
rate
Book value
(NTD)
Sensitivity Analysis
Extent
of
variation
Effect on
profit
or loss
Effect on other
comprehensive
income
(Foreign currency:
functional currency)
Financial assets
Monetary items
USD:NTD 2,109,682,988$ 31.650 66,771,467$ 1% 667,715$ -$
EUR:USD 239,740,889 38.471 9,222,970 1% 92,230 -
CNY:USD 3,507,846,662 5.093 17,863,657 1% 178,637 -
Financial liabilities
Monetary items
USD:NTD 4,470,444,947 31.650 141,489,583 1% 1,414,896 -
EUR:USD 58,576,963 38.471 2,253,489 1% 22,535 -
CNY:USD 1,513,078,484 5.093 7,705,329 1% 77,053 -
2014/12/31
Foreign
currency amount
(In dollars)
Exchange
rate
Book value
(NTD)
Sensitivity Analysis