2.
(f) Translation of foreign currencies
Foreign currency balances at the year end are translated into Hong Kong dollars at approximately the market rates of exchange ruling at the balance sheet date except for balances where foreign exchange contracts have been undertaken, in which case the rates applicable to the contracts have been used for the translation. Foreign currency transactions during the year are translated into Hong Kong dollars at the rates ruling at the transaction dates.
All differences on foreign currency translation are reflected in the profit and loss account.
Turnover
Group turnover represents gross income from sales and for services provided to third parties which includes revenue from ferry operations, property income, general trading, travel, ship- building and repairs.
3.
Share of Losses of Associates
Group
1985
1984
Sealink Ferries Limited
Operating loss
Realised exchange loss/(gain)
7,702
7,059
1,207
(1,749)
Unrealised exchange loss/(gain)
4,314
(4,792)
13,223
518
Authian Estates Limited
23
1,066
13,246
1,584
4.
Profit before Taxation
Profit before taxation is arrived at after charging:
Group
1985
1984
interest on
bank loans and overdrafts
10,069
11,316
loans repayable by instalments due within five years
2,265
4,983
12,334
16,299
less: capitalised
2,244
6,329
10,090
9,970
provision for diminution in value of interest in an associate
6,874
provision for diminution in value of unlisted investment depreciation
1,179
482
27,878
24,892
auditors' remuneration
344
292
rent of government piers
992
1,002
computer rental
1,216
1,022
exchange loss
1,279
loss on disposal of fixed assets
965
and after crediting:
net rental income
18,649
18,465
income from unlisted investment
613
301
provision for diminution in value of interest in an associate written back
2,334
exchange gain
9,880
―
profit on disposal of fixed assets
2,963
12