149
ANNUAL REPORT AND CONSOLIDATED ACCOUNTS 2013
When a foreign entity is disposed, the accumulated ex-
change rate difference is recognised in the income state-
ment as a gain or loss on disposal.
Currency exchange rate used for conversion of the trans-
actions and balances denominated in Kwanzas, were re-
spectively:
Euro exchange
rates (x foreign
currency
per 1 Euro)
Rateon
December, 31
2013
Average
interest
rate
Kwanza de
Angola (AOA)
134,953
128,254
2.5 TANGIBLE FIXED ASSETS
Buildings and other structures include own properties
assigned to the restaurant activities and expenses on
works at third-party properties, in particular those re-
quired for setting up restaurant shops.
Tangible fixed assets are shown at the acquisition cost,
net of the respective amortisation and accumulated im-
pairment losses.
The historic cost includes all expenses attributable di-
rectly to the acquisition of goods.
Subsequent costs are added to the amounts for which
the good is recorded or recognised as separate assets,
as appropriate, only when it is probable that the com-
pany will obtain the underlying economic benefits and
the cost may be reliably measured. Other expenses on
repairs and maintenance are recognised as an expense
in the period in which they are incurred.
Depreciation of assets is calculated by the equal annual
amounts method in order to allocate its cost at its resid-
ual value, according to its estimated lifetime, as follows:
– Buildings and other structures:
12-50 years
– Equipment:
10 years
– Tools and utensils:
4 years
– Vehicles:
5 years
– Office equipment
10 years
– Other tangible assets
5 years
The amounts which assets may be depreciated, their
lifetime and the depreciation method are reviewed and
adjusted if necessary on the consolidated statement of
financial position date.
If the accounted amount is higher than the asset’s re-
coverable amount, it is immediately readjusted to the
estimated recoverable amount (Note 2.6).
Gains and losses consequent to a reduction or sale are
determined by the difference between receipts from
the sale and the asset’s accounted value, and are rec-
ognised as other operating income or other operating
costs in the profit and loss account. When revaluated
goods are sold, the amount included in other reserves
is transferred to retained profit.
