Under the Corporation’s customer loyalty program, sales of goods that result in reward credits for customers,
are accounted for as multiple-element revenue transactions, and the fair value of the consideration received
or receivable is allocated both to the goods supplied and the reward credits granted. The portion of the
consideration allocated to the reward credits should be measured at fair value and recognized as income when
the customer receives the award.
b.Dividend and interest income
Dividend income from investments is recognized when the shareholder’s right to receive payment has been
established and if it is probable that the economic benefits will flow to the Corporation and the income can be
measured reliably.
Interest income from a financial asset is recognized when it is probable that the economic benefits will flow
to the Corporation and the income can be measured reliably. Interest income is accrued on a time basis by
reference to the principal outstanding and the effective interest rate applicable.
Borrowing Costs
Borrowing costs directly attributable to the acquisition, construction or production of qualifying assets are added
to the cost of these assets until the time the assets are substantially ready for their intended use or sale.
Investment income earned on the temporary investment of specific borrowings pending their expenditure on
qualifying assets is deducted from the borrowing costs eligible for capitalization.
All other borrowing costs are recognized in profit or loss in the period in which they are incurred.
Retirement Benefit Costs
Payments to defined contribution retirement plans are recognized as an expense when employees have rendered
service entitling them to the contributions.
For defined benefit retirement plans, the cost of providing benefits is determined using the projected unit credit
method. All actuarial gains and losses on the defined benefit obligation are recognized immediately in other
comprehensive income. Past service cost is either recognized immediately to the extent that the benefits are
already vested or amortized on a straight-line basis over an average period calculated at the start of service
periods until the time the benefits become vested divided by the number of employees covered by the defined
benefit plan.
The retirement benefit obligation recognized in the consolidated balance sheets represents the present value of
the defined benefit obligation as adjusted for unrecognized past service cost, and as reduced by the fair value
of plan assets. Any asset resulting from this calculation is limited to the unrecognized past service cost, plus the
present value of available refunds and reductions of future contributions to the plan.
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