Nikon 2014 Annual Report Download - page 73

Cash and cash equivalents
The carrying values of cash and cash equivalents approximate fair
value because of their short maturities.
Notes and accounts receivable — trade
The carrying values of notes and accounts receivable — trade
approximate fair value because of their short maturities.
Carrying amounts and fair values of notes and accounts receiv-
ables — trade are the amounts after deduction of the allowance for
doubtful receivables.
Investment securities and investments in and advances to
unconsolidated subsidiaries and associated companies
The fair values of investment securities and investments in and
advances to unconsolidated subsidiaries and associated companies
are measured at the quoted market price of the stock exchange.
Investment securities and investments in and advances to uncon-
solidated subsidiaries and associated companies whose fair value is
not readily determinable (the carrying values of ¥1,052 million and
¥12,664 million as of March 31, 2013 and ¥1,453 million and
¥14,517 million ($14,119 thousand and $141,049 thousand) as
of March 31, 2014) are excluded because it is difficult to estimate
the fair values and impossible to estimate the future cash flows.
Notes and accounts payable, short-term borrowings and
income taxes payable
The carrying values of those accounts approximate fair values
because of their short maturities.
Accrued expenses
The carrying values of accrued expenses approximate fair value
because of their short maturities.
Long-term loans
The fair values of long-term loans are determined by discounting
the future cash flows related to the loans at the rate assumed based
on yield of government bonds and credit spread. Certain long-term
loans with variable interest rates are hedged items of interest rate
swaps which qualify for hedge accounting and meet specific match-
ing criteria. The fair value of such long-term loans with variable
interest rates are determined by discounting the principal and inter-
est, as if the interest rates under the interest rate swaps were origi-
nally applied to the underlying to loans, at the rate assumed based
on indices such as yield of government bonds and credit spread.
Long-term loans include the current portion of long-term debt.
Bonds
The fair values of bonds are determined by the market price, if it is
available, or by discounting the future cash flows related to the debt
at the rate assumed based on interest rates on government securi-
ties and credit risk.
Bonds are included in long-term debt in the consolidated balance
sheet.
Millions of Yen Thousands of U.S. Dollars
March 31, 2014 Carrying Amount Fair Value
Unrealized
Gain/Loss Carrying Amount Fair Value
Unrealized
Gain/Loss
Cash and cash equivalents ¥221,368 ¥221,368 $2,150,872 $2,150,872
Notes and accounts receivable — trade 124,474 124,474 1,209,421 1,209,421
Investment securities 59,213 59,213 575,329 575,329
In vestments in and advances to
unconsolidated subsidiaries and
associated companies 232 867 ¥ 635 2,262 8,432 $ 6,170
Total ¥405,287 ¥405,922 ¥ 635 $3,937,884 $3,944,054 $ 6,170
Short-term borrowings ¥118,842 ¥118,842 $1,154,698 $1,154,698
Notes and accounts payable — trade 14,511 14,511 140,995 140,995
Long-term loans 49,600 48,989 ¥ 611 481,928 475,989 $ 5,939
Bonds 60,000 61,218 (1,218) 582,976 594,811 (11,835)
Accrued expenses 52,272 52,272 507,894 507,894
Income taxes payable 4,449 4,449 43,228 43,228
Derivatives (2,572) (2,572) (24,987) (24,987)
Total ¥297,102 ¥297,709 ¥ (607) $2,886,732 $2,892,628 $ (5,896)
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NIKON REPORT 2014