Page 91 - OneVue Annual Report 2015

Notes to the financial statements

Note 40. Summary of significant accounting policies (continued)

obligations within the contract; determine the transaction price, adjusted for the time value of money excluding
credit risk; allocation of the transaction price to the separate performance obligations on a basis of relative stand-
alone selling price of each distinct good or service, or estimation approach if no distinct observable prices exist; and
recognition of revenue when each performance obligation is satisfied. Credit risk will be presented separately as an
expense rather than adjusted to revenue. For goods, the performance obligation would be satisfied when the
customer obtains control of the goods. For services, the performance obligation is satisfied when the service has

been provided, typically for promises to transfer services to customers. For performance obligations satisfied over
time, an entity would select an appropriate measure of progress to determine how much revenue should be
recognised as the performance obligation is satisfied. Contracts with customers will be presented in an entity's
statement of financial position as a contract liability, a contract asset, or a receivable, depending on the relationship
between the entity's performance and the customer's payment. Sufficient quantitative and qualitative disclosure is
required to enable users to understand the contracts with customers; the significant judgments made in applying
the guidance to those contracts; and any assets recognised from the costs to obtain or fulfil a contract with a
customer. OneVue will adopt this standard from 1 July 2017 but the impact of its adoption is yet to be assessed by
OneVue.

Principles of consolidation
The consolidated financial statements incorporate the assets and liabilities of all subsidiaries of OneVue Holdings
Limited (‘parent entity’) as at 30 June 2015 and the results of all subsidiaries for the year ended 30 June 2015.

Subsidiaries are all those entities over which OneVue has control. OneVue controls an entity when OneVue is
exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those
returns through its power to direct the activities of the entity. Subsidiaries are fully consolidated from the date on
which control is transferred to OneVue. They are de-consolidated from the date that control ceases.

Intercompany transactions, balances and unrealised gains on transactions between entities in OneVue are
eliminated. Unrealised losses are also eliminated unless the transaction provides evidence of the impairment of the
asset transferred. Accounting policies of subsidiaries have been changed where necessary to ensure consistency
with the policies adopted by OneVue.

The acquisition of subsidiaries is accounted for using the acquisition method of accounting. A change in ownership
interest, without the loss of control, is accounted for as an equity transaction, where the difference between the
consideration transferred and the book value of the share of the non-controlling interest acquired is recognised
directly in equity attributable to the parent.

Accounting policies of subsidiaries have been changed where necessary to ensure consistency with those adopted
by the parent entity.

A list of controlled entities is contained in note 34 to the financial statements.

Segment reporting
Operating segments are identified and segment information disclosed on the basis of internal reports that are
regularly provided to, or reviewed by, OneVue’s chief operating decision maker which, for OneVue, is the Board of
Directors. In this regard, such information is provided using different measures to those used in preparing the
statement of profit and loss and other comprehensive income and statement of financial position. Refer to note 4.

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