BARBADOS PUBLIC WORKERS' CO-OPERATIVE CREDIT UNION LIMITED
Notes to the Non-consolidated Financial Statements
For the year ended March 31, 2013
(Expressed in Barbados dollars)
47
25. Fair Value
Fair value represents the amounts at which a financial instrument could be exchanged in an arm’s
length transaction between willing parties and is best evidenced by a quoted market price, if one
exists.
Financial assets and liabilities are carried at amounts, which approximate to their fair value at the
statement of financial position date. Fair value estimates are made at a specific point in time, based on
market conditions and information about the financial instrument.
These estimates are subjective in nature and involve uncertainties and matters of significant judgment
and therefore, cannot be determined with precision. Changes in assumptions could significantly affect
the estimates.
The fair values of financial assets and liabilities, together with the carrying amounts shown in the
statement of financial position are as follows:
For financial assets and financial liabilities that are liquid or have short term maturity, it is assumed that
the carrying amounts approximate their fair value. These include cash resources, other assets and
liabilities. The fair value of debt securities is based on quoted prices where available, or otherwise
based on an appropriate yield curve with the same remaining term to maturity. The fair value of loans
and advances largely approximates carrying value as the Credit Union's portfolio comprises mainly
variable rate loans. The fair value of deposits takes account of certain fixed rate deposits which have
been discounted at current interest rates.
2013
2012
Carrying
Carrying
Amount
Fair Value
Amount
Fair Value
Assets
Cash resources
$ 110,240,420 110,240,420
90,691,178
90,691,178
Financial investments
– Held to maturity
16,377,955
16,377,955
11,317,370
11,317,370
– Available-for-sale
1,854,710
1,854,710
1,939,000
1,939,000
Loans and advances
651,867,950 651,867,950 642,796,666 642,796,666
Due from related companies
13,034,575
13,034,575
12,841,112
12,841,112
Other assets
2,933,768 2,933,768 2,318,313 2,318,313
$ 796,309,378 796,309,378 761,903,639 761,903,639
Liabilities
Deposits
$ 672,403,345 733,106,794 646,435,236 703,191,846
Loans payable
55,432,374
55,432,374
59,661,007
59,661,007
Reimbursable shares
5,726,048
5,726,048
4,532,147
4,532,147
Other liabilities
4,215,566 4,215,566 2,380,846 2,380,846
$ 737,777,333 798,480,782 713,009,236 769,765,846
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BARBADOS PUBLIC WORKERS’ CO-OPERATIVE CREDIT UNION LIMITED
ANNUAL REPORT 2013
