Impairment of non-financial assets – non-cash-generating assets
The LGU reviews and tests the carrying value of non-cash-generating assets
when events or changes in circumstances suggest that there may be a reduction
in the future service potential that can reasonably be expected to be derived from
the asset. Where indicators of possible impairment are present, the LGU
undertakes impairment tests, which require the determination of the fair value
of the asset and its recoverable service amount. The estimation of these inputs
into the calculation relies on the use estimates and assumptions.
Any subsequent changes to the factors supporting these estimates and
assumptions may have an impact on the reported carrying amount of the related
asset.
3.13 Impairment Loss
For the year ended December 31, 2015, as the transition period of converting
accounting policies from New Government Accounting System (NGAS) to
IPSAS there was no recorded provision for impairment of any assets.
Note 4. Cash and Cash Equivalents
This account is composed of the following:
2024 2023
Cash on Hand
Cash in Local Treasury ₱ 3,962,560.90 ₱ 3,923,748.13
Petty Cash 8,418.53 12,148.53
Cash in Bank – Local Currency
Cash in Bank – Local, Currency, Current 371,276,634.22 354,822,151.08
Account
Cash in Bank – Local, Currency, Savings 6,043,313.50 5,978,985.33
Account
Total Cash and Cash Equivalents ₱ 381,290,927.15 ₱ 364,737,033.07
Cash in banks earns interest at prevailing bank deposit rates.
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