NOTES TO THE FINANCIAL STATEMENTS 3.15 Foreign currency transactions Foreign currency transactions are recorded in Baht at the rate ruling on the date of transactions. Outstanding foreign currency assets and liabilities at the balance sheet date are converted to Baht at the rate of exchange in effect on that date. Except for the transactions of forward exchange contracts with the bank, the agreed rate will be applied. Gains or losses on exchange rate are credited or charged to operations during the years. 3.16 Cash and cash equivalents For the purpose of preparation of cash flows statements, cash and cash equivalents are cash on hand and fixed deposit at the financial institutions due not more than 3 months with no obligation. 3.17 Use of accounting estimates In preparation of financial statements in accordance with generally accepted accounting principles requires management to use various estimates and assumptions that will affect the reported amounts of revenues, expenses, assets and liabilities including disclosure of contingent assets and liabilities. Actual results may differ from those estimates.
4. SHORT-TERM INVESTMENTS consist of : BAHT CONSOLIDATED PARTICULARS 2009 Investments in Open-end Fund-Debt securities Add Allowance for adjustment investment Net Investments in Open-end Fund
2008
SEPARATE FINANCIAL STATEMENTS 2009
2008
368,237,276
366,149,945
290,444,917
330,918,092
730,467
5,819,957
723,601
5,808,961
368,967,743
371,969,902
291,168,518
336,727,053
Investments in Open-end Fund are trading securities. The unrealized gain from difference between fair value and cost is shown as allowance for adjustment investment in Open-end Fund. Gains on investments in Open-end Fund incurred during the years were duly presented in the statements of income.
56 Annual Report 2009 Asian insulators Public Company Limited