This preview shows page 1. Sign up to view the full content.
Unformatted text preview: Group Limited
Notes to the Consolidated Financial Statements 24. Financial risk management and instruments (continued) For personal use only The creation of the provision for impaired receivables has been included in ‘other expenses’ in the income statement.
Amounts charged to the allowance account are generally written off when there is no expectation of recovering
Liquidity risk is the risk that the Group will not be able to meet its financial obligations as they fall due. The Group’s
approach to managing liquidity is to ensure, as far as possible, that it will always have sufficient liquidity to meet its
liabilities when due, under both normal and stressed conditions, without incurring unacceptable losses or risking
damage to the Group’s reputation.
Typically the Group ensures that it has sufficient cash on demand to meet expected operational expenses for a period
of 60 days, including the servicing of financial obligations; this excludes the potential impact of extreme
View Full Document
This document was uploaded on 02/06/2014.
- Spring '14