TNAG-0770-FCO40-974-Construction-of-underground-railway-system-in-Hong-Kong-1978 — Page 36

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Notes on the Accounts

賬項附註

1. Change in Accounting Policies

a) Main Contract Costs

Expenditure incurred on main contract costs represents payments on account and amounts due based upon values actually certified prior to 31 December 1977, in relation to the agreed payment terms contained within each contract. Work done by contractors after the last date of each certification but before 31 December 1977 has not been provided for in these accounts. Had this accounting policy been adopted in the accounts to 31 December

1976 the total construction costs would

have been reduced by $38.5 million at that date.

b) Foreign Currency Transactions

Main contract costs discharged in foreign currencies have been converted into Hong Kong dollars at the rates of exchange prevailing at the actual dates of payment. At 31 December 1976 these costs were converted at the rates of exchange

specified in each respective contract. Had this current accounting policy been

adopted at 31 December 1976 the total

construction costs would have been

reduced by $5.4 million at that date.

2. Other Accounting Policies

a) Basis of Preparation

Although the Corporation is incorporat- ed under the Mass Transit Railway

Corporation Ordinance 1975, these

accounts have been prepared so as to

comply with the disclosure provisions of the Companies Ordinance Cap. 32.

Except as detailed in note 1, the accounts

have been prepared on an accruals basis

and therefore reflect the assets acquired

and the liabilities incurred at 31

December 1977.

b) Depreciation

It is the Corporation's intention to

capitalise all the expenditure incurred

(including interest) in building the Railway. at the commencement of operation.

Accordingly no depreciation has been or will be provided until that date.

c) Interest

The full value of accrued interest on each loan drawing to 31 December 1977 has been provided, whether the interest is actually paid or capitalised in the loan.

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會計原則之改變

( 甲)主要工程合約費用

主要工程合約費用之開支,乃根據每一 合約所載之付欸條文及截至一九七七年十二 月卅一日前已簽証之工程價值所計算之已付 及應付未付之金額。承建商在一九七七年十 二月卅一日前之最後簽証日期,至一九七七 年十二月卅一日期間所完成之工程,並未計 入本賬內。此一會計原則若採用於一九七六 年十二月卅一日結算之賬項,該日之總興建 費用即會減少三千八百五十萬元。

(乙)外幣結算

以外幣清償之主要工程合約費用,均已 按實際付欵日之兌換率折成港幣。在一九七 六年十二月卅一日結算之賬項內,此等費用 乃按各該合約所規定之兌換率折算。此一會 計原則若採用於一九七六年十二月卅一日結 算之賬項,該日之總興建費用即會減少五百 四十萬元。

二、其他會計原則

(甲)賬目編製之基準

本公司雖依據一九七五年集體運輸鐵路 公司條例之規定成立,但賬目均按公司法例 第卅二章之條文規定而編製。除附註一所述 外,其餘賬目之編製係根據權責應計制,藉 以反映本公司於一九七七年十二月卅一日實 際購置之資產及實際承担之負債。

(乙)折舊

地下鐵路公司打算將全部興建費用(包 括利息在內)累積至地下鐵路通車之日止, 然後由通車之日起,以攤銷方式折舊,基此 原因,在該日之前,所擁有之資產將不作任 何折舊。

(丙)利息

無論利息已支付或已作累積方式處理, 截至一九七七年十二月卅一日止之每項借欵 利息總值,均已計算在內。

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