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CHINESE SWIMMING CLUB
Notes To The Financial Statements For The Financial Year Ended 31 December 2022
4. FINANCIAL INSTRUMENTS, FINANCIAL RISK AND CAPITAL RISK MANAGEMENT (CONT’D)
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(b) Financial risk management policies and objectives (Cont’d)
Foreign currency risk management
The Club is not exposed to foreign currency risk as all of its transactions are in Singapore dollars.
(c) Capital risk management policies and objectives
The Club’s objectives when managing funds are to safeguard the Club’s ability to continue as a going concern and to maintain an optimal fund structure.
The capital structure of the Club consists of Accumulated Surplus. No changes were made in the objectives, policies or processes during the financial years ended 31 December 2022 and 31 December 2021. The Club’s overall strategy remains unchanged from 2021.
The Club is not subject to externally imposed capital requirements.
5. FAIR VALUES
The fair value of a financial instrument is the amount at which the instrument could be exchanged or settled between knowledgeable and willing parties in an arm’s length transaction.
The following methods and assumptions are used to estimate the fair value of each class of financial instruments for which it is practicable to estimate that value.
Cash and bank balances, other receivables and other payables
The carrying amounts of these balances approximate their fair values due to the shortterm nature of these balances.
Trade receivables and trade payables
The carrying amounts of these receivables and payables approximate their fair values as they are subject to normal trade credit terms and expected to be realised within one financial year.
Investment securities
The fair values of the investment securities as at 31 December 2022 are disclosed in Note 13.
