IFRS 16

Recognition criteria:
A contract convys the right to conrol the use of an identified asset if,
throughout the period of use, thecustomer has the right to:
1. asset recognition criteria; and
2. ability to direct the use of the identified asset ( i.e., direct how and
for what purpose the asset is used).

RIGHT OF USE ASSET (ROU)

Initial measurement:
* Any payments made to the lessor at, or before, the commencement date of te lease,
less any lease incentives received.
* Any initial direct costs incurred by the lessee
* Dismantliing costs or site restoration costs

Subsequent Measurement:
Depreciation

The right of use asset is subsequently depreciated. Depreciation is over the

shorter of the useful life of the asset and the lease term, unless the title to the
asset transfers at the end of the lease term, in which case depreciation is over
the useful life.

LEASE LIABIILITY
Initial recognition: if there is an obligation to make lease payments

Initial Measureemnt: Present value of lease payments to be made over the lease
term. Note: The discount rate used to determine present value should be the rate of
interest implicit in the lease.

Subequent Measurement: Amortised cost