Common use of Basis of Accounting Clause in Contracts

Basis of Accounting. The financial statements of the Civil Aviation Authority are prepared on the accrual basis under the historic cost convention in accordance with International Financial Reporting Standards. Depreciation: Fixed assets, other than land, are depreciated by the straight-line method at the following rates estimated to write off the cost of the assets over their expected useful lives: Buildings, Runways, Apron, Car Parks 20 – 40 years Other Assets 4 – 10 years Foreign currency translation: Assets and liabilities denominated in currencies other than Cayman Islands dollars are translated at exchange rates in effect at the balance sheet dates. Revenue and expense transactions denominated in currencies other than Cayman Islands dollars are translated at exchange rates ruling at the time of those transactions. ▇▇▇▇▇ and losses on exchange are credited or charged in the statement of income.