EXPLANATORY NOTES amortization or at realizable value, if this represents a lower figure. - Properties to be kept as long-term investments are valued at realizable value. - Development properties are valued at construction costs or in terms of their realizable value, if this represents a lower figure. Equipment: Equipment is valued at acquisition costs less amortization; the latter is calculated on a straight-line basis over the estimated economic life. Taxation Deferred assets are included under 'Accrued assets' and deferred liabilities under 'Provisions'. ┬╗Deferred assets and liabilities, arising from differences in the fiscal treatment of assets and liabilities, are valued at present value as per the date of the balance sheet. Corporate income taxes are included under 'Other debt'. Premiums or discounts on securities and loans are included under the relevant receivables or debts in the income statement and are accounted for over the remaining life of the relevant items. Securities are included at acquisition cost or at their cash value at issue. Other accrued assets and liabilities are specified separately. Interest-bearing Securities and Stocks Interest-bearing securities and stocks, which all form part of the trading portfolio, are valued at their market value as per the balance sheet date. Foreign Currency Conversions Assets and liabilities denoted in foreign currencies are converted into Dutch guilders at the appropriate exchange rates as per the end of the financial year. Items in the income statement denoted in foreign currencies are converted into Dutch guilders using a weighted average exchange rate for the financial year in question. Any conversion differences arising from the application of both year-end exchange rates and weighted average rates are reflected in the stockholders' equity under 'Other reserves'. The result of foreign currency transactions connected with coverage variances in respect of foreign participating interests, including the associated hedging transactions, are reflected in the stockholders' equity under 'Other reserves', after having taken due account of all relevant fiscal implications. All other foreign exchange differences are reflected in the result. Result Determination The way in which a number of the more specific items have been reflected in the financial statements has been discussed in the preceding sections. Income and expense items are generally accounted for in the year to which they relate. Interest income, including the results of interest instruments and credit commission, are accounted for in the financial year to which they relate, unless they are deemed uncollectable. Non-recurrent receipts and expenditure, associated with lending and borrowing activities are generally accounted for in the income statement of the year in which the funds are lent out or borrowed. Other commission income is generally accounted for in the year of receipt. The expenses are assigned to the financial year to which they relate. In calculating the tax payable, 'Value adjustments to receivables' are treated as a charge. A list of names and registered offices of participating interests has been filed with the Amsterdam Chamber of Commerce. 15

Rabobank Bronnenarchief

Annual Reports FGH Bank | 1994 | | pagina 17