Core Viewpoint - The financial statements of China General Nuclear Power Corporation (CGN) Zhuhai Nuclear Power Co., Ltd. detail the accounting policies and estimates, particularly regarding foreign currency transactions, financial instruments, and asset valuation methods. Financial Instruments - The company classifies financial assets at initial recognition based on the business model and cash flow characteristics, including amortized cost, fair value through other comprehensive income, and fair value through profit or loss [2][5][6]. - Financial liabilities are classified similarly, with options for fair value through profit or loss and amortized cost [5][7]. Foreign Currency Transactions - Foreign currency transactions are recorded using the spot exchange rate on the transaction date, while monetary items are translated at the exchange rate on the balance sheet date, with exchange differences recognized in profit or loss [1][4]. Accounting Policies - The accounting period is from January 1 to December 31, with the company using Renminbi as its functional currency [4]. - The company employs the accrual basis of accounting and historical cost for valuation, except where specified [4]. Cash and Cash Equivalents - Cash includes physical cash and deposits readily available for payment, while cash equivalents are short-term, highly liquid investments with minimal risk of value changes [4]. Inventory Valuation - Inventory is measured at cost, including procurement and processing costs, and is assessed at the lower of cost or net realizable value [15][16]. Fixed Assets - Fixed assets are recognized when economic benefits are likely to flow to the company, and their costs can be reliably measured. Depreciation is calculated using the straight-line method over their useful lives [17][18][19]. Intangible Assets - Intangible assets are recognized when they are identifiable and expected to generate future economic benefits. Amortization is applied over their useful lives, with impairment tests conducted when necessary [22][23][25]. Borrowing Costs - Borrowing costs directly attributable to qualifying assets are capitalized, while other borrowing costs are recognized as expenses in the period incurred [21][22]. Employee Benefits - The company recognizes short-term employee benefits as liabilities and expenses in the period they are incurred, including social insurance contributions and other welfare costs [27][29]. Leases - The company recognizes right-of-use assets and lease liabilities for leases, excluding short-term and low-value leases, with initial measurement based on the present value of lease payments [31][32][33].