Annual Report 2021

182 Sunny Optical Technology (Group) Company Limited • ANNUAL REPORT 2021 Notes to the Consolidated Financial Statements 綜合財務報表附註 FOR THE YEAR ENDED 31 DECEMBER 2021 截至二零二一年十二月三十一日止年度 3. BASIS OF PREPARATION OF CONSOLIDATED FINANCIAL STATEMENTS AND SIGNIFICANT ACCOUNTING POLICIES (Continued) 3.2 Significant accounting policies (Continued) Inventories Inventories are stated at the lower of cost and net realisable value. Costs of inventories are determined on a weighted average method. Net realisable value represents the estimated selling price for inventories less all estimated costs of completion and costs necessary to make the sale. Costs necessary to make the sale include incremental costs directly attributable to the sale and non-incremental costs which the Group must incur to make the sale. Financial instruments Financial assets and financial liabilities are recognised when a group entity becomes a party to the contractual provisions of the instrument. All regular way purchases or sales of financial assets are recognised and derecognised on a trade date basis. Regular way purchases or sales are purchases or sales of financial assets that require delivery of assets within the time frame established by regulation or convention in the market place. Financial assets and financial liabilities are initially measured at fair value except for trade receivables arising from contracts with customers which are initially measured in accordance with HKFRS 15. Transaction costs that are directly attributable to the acquisition or issue of financial assets and financial liabilities (other than financial assets or financial liabilities at FVTPL) are added to or deducted from the fair value of the financial assets or financial liabilities, as appropriate, on initial recognition. Transaction costs directly attributable to the acquisition of financial assets or financial liabilities at FVTPL are recognised immediately in profit or loss. 3. 綜合財務報表之編製基準及 重要會計政策（續） 3.2 重要會計政策（續） 存貨 存貨按成本及可變現淨值的較低者列 賬。存貨成本按加權平均法釐定。可 變現淨值指存貨估計售價減直至完工 的全部估計成本及銷售活動所需成 本。銷售活動所需成本包括銷售活動 直接產生的增量成本及集團銷售活動 必須產生的非增量成本。 金融工具 當集團實體成為工具合約條文的訂約 方時，金融資產及金融負債方獲確 認。所有以正規途徑買賣之金融資產 乃按交易日期基準確認及取消確認。 正規途徑買賣乃要求於市場法規或慣 例所確定之時間框架內交付資產之金 融資產買賣。 金融資產及金融負債初步按公允值計 量，惟根據香港財務報告準則第 15 號 初步計量的與客戶合約產生的貿易應 收款項除外。交易成本直接歸屬於收 購或發行金融資產及金融負債（按公允 值計入損益的金融資產或金融負債除 外），在初始確認時適當地計入或自金 融資產或金融負債的公允值中扣除。 直接歸屬於收購按公允值計入損益的 金融資產或金融負債的交易成本，即 時於損益中確認。