PT. TUNAS BARU LAMPUNG Tbk AND ITS SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
CONSOLIDATED BALANCE SHEETS AS OF MARCH 31, 2011 AND DECEMBER 31, 2010 AND CONSOLIDATED COMPREHENSIF STATEMENTS OF INCOME FOR THE THREE MONTHS
PERIOD ENDED MARCH 31, 2011 AND 2010 Continued
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y. Events after the Balance Sheet Date
Post year-end events that provide additional information about the Company and its subsidiaries financial position at the date of the balance sheet adjusting events, if any, are
reflected in the consolidated financial statements. Post year-end events that are not adjusting events are disclosed in the notes to consolidated financial statements when
material.
3. Management Use of Estimates, Judgments and Assumptions on Financial Instruments
Management believes that the following represent a summary of the significant estimates, judgment, and assumptions made that affected certain reported amounts of and disclosures on
financial instruments in the consolidated financial statements. Fair Value of Financial Assets and Financial Liabilities
Effective January 1, 2010, generally accepted accounting principles in Indonesia require that certain financial assets and financial liabilities be carried at fair value, which requires the use of
accounting estimates, judgment and assumptions. While significant components of fair value measurement are determined using verifiable objective evidence i.e. foreign exchange rates,
interest rates, the timing and amount of changes in fair value, would differ using a different valuation methodology.
The fair value of financial assets and financial liabilities are set out in Note 25. Impairment Loss Reserve
Effective January 1, 2010, the Company and its subsidiaries assess specifically at each balance sheet date whether there is an objective evidence that a financial asset is impaired uncollectible.
The level of allowance is based on past collection experience and other factors that may affect collectibility such as the probability of insolvency or significant financial difficulties of the debtor or
significant delay in payments. When there is objective evidence of impairment, the amount and timing of collection is estimated
based on historical loss experience. Provisions are made for accounts specifically identified to be impaired. Accounts are written off when management believes that the financial asset cannot be
collected or realized after exhausting all efforts and courses of action. An evaluation of the receivables, designed to identify potential charges to the allowance, is performed on a continuous
basis throughout the year. The amount and timing of recorded provision for doubtful accounts for any period would therefore differ based on the judgments or estimates made.
PT. TUNAS BARU LAMPUNG Tbk AND ITS SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
CONSOLIDATED BALANCE SHEETS AS OF MARCH 31, 2011 AND DECEMBER 31, 2010 AND CONSOLIDATED COMPREHENSIF STATEMENTS OF INCOME FOR THE THREE MONTHS
PERIOD ENDED MARCH 31, 2011 AND 2010 Continued
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4. CASH AND CASH EQUIVALENTS
