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PRINCE EDWARD ISLAND
LIQUOR CONTROL COMMISSION
Notes to Financial Statements
March 31,2015
9.
Debentures Payable (continued...)
Principal repayments for the next five years and thereafter are as follows:
Fiscal Year
Amount
$
2016
329,379
2017
305,950
2018
154,039
2019
144,267
2020
150,324
Thereafter
262.397
1,346,356
10.
Financial Instruments
Financial Assets
The Commission’s financial assets include cash and accounts receivable. Cash has been
classified as fair value through profit and loss and receivables have been classified as loans
and receivables.
Cash is designated as held for trading and it is measured at fair value. Any gains or losses
from this measurement are recognized through profit or loss.
Loans and receivables are financial assets with a fixed or determinate payment that are not
quoted on an active market. These are measured at amortized cost using the effective
interest rate method less a provision for any impairment. Discounting has been omitted as
any effect on the carrying balance is not significant.
Financial Liabilities
The Commission’s
financial
liabilities consist
of accounts payable,
accrued liabilities,
amounts due to the Province of Prince Edward Island, obligations under finance leases, and
debentures payable. These liabilities are classified as other financial
liabilities and are
measured at amortized cost using the effective interest rate method.
Fair Value
Financial assets and liabilities are required to be measured at fair value on initial recognition,
except for certain related party transactions. Measurement in subsequent periods is based
on classification as held-for-trading, loans and receivables, and other financial liabilities.
Financial assets and liabilities recorded in the statement of financial position at fair market
value are categorized based on the fair value hierarchy of inputs. The Level
1 hierarchy is
unadjusted quoted prices in active markets for identical assets and liabilities. This level of
inputs is used to measure fair value of cash.