Creative 2014 Annual Report Download - page 46

Download and view the complete annual report

Please find page 46 of the 2014 Creative annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 64

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64

46
CREATIVE TECHNOLOGY LTD AND ITS SUBSIDIARIES
(a) Warranty
The warranty period for the bulk of the products typically ranges between 1 to 2 years. The product warranty provision
reects management’s best estimate of probable liability under its product warranties. Management determines the warranty
provision based on known product failures (if any), historical experience, and other currently available evidence.
Movements in provision for warranty are as follows:
Group Company
2014 2013 2014 2013
US$’000 US$’000 US$’000 US$’000
Beginning of nancial year 1,253 974 1,252 972
Provision (wrien back) made (62) 295 (62) 296
Provision ulised (215) (16) (215) (16)
End of nancial year 976 1,253 975 1,252
(b) Restructuring
Movements in provision for restructuring are as follows:
Group Company
2014 2013 2014 2013
US$’000 US$’000 US$’000 US$’000
Beginning of nancial year 1,474 1,490 281 281
Provision made – 38 – –
Provision ulised (125) (5) – –
Provision wrien back (6) (49) – –
End of nancial year 1,343 1,474 281 281
NOTES TO THE FINANCIAL STATEMENTS
For the nancial year ended 30 June 2014
21. ACCRUED LIABILITIES AND PROVISIONS (cont’d)