Consolidated Annual Report 2019

BARBADOS PUBLIC WORKERS’ CO-OPERATIVE CREDIT UNION LIMITED | CONSOLIDATED ANNUAL REPORT 2019 92 BARBADOS PUBLIC WORKERS’ CO-OPERATIVE CREDIT UNION LIMITED Notes to the Consolidated Financial Statements For the year ended March 31, 2019 (Expressed in Barbados dollars) 77 27. Fair Value Fair value represents the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date and is best evidenced by a quoted market price, if one exists. Financial assets and liabilities are carried at amounts, which approximate to their fair value at the statement of financial position date. Fair value estimates are made at a specific point in time, based on market conditions and information about the financial instrument. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and therefore, cannot be determined with precision. Changes in assumptions could significantly affect the estimates. For financial assets and financial liabilities that are liquid or have short term maturity, it is assumed that the carrying amounts approximate their fair value. These include cash resources, other assets and other liabilities. The fair value of debt securities is based on quoted prices where available, or otherwise based on an appropriate yield curve with the same remaining term to maturity. The fair value of loans and advances largely approximates carrying value as the Group's portfolio comprises mainly variable rate loans. The fair value of deposits takes account of certain fixed rate deposits which have been discounted at current interest rates. The fair values of financial assets and liabilities, together with the carrying amounts shown in the consolidated statement of financial position are shown in the table below: 2019 2018 Carrying Carrying Amount Fair Value Amount Fair Value Assets Cash resources $ 252,492,100 252,492,100 156,888,167 156,888,167 Financial investments – Amortized cost 22,529,971 22,529,971 - - – Held to maturity - - 25,993,354 25,993,354 – Loans and receivable - - 3,958,401 3,958,401 – FVOCI 2,177,258 2,177,258 1,941,595 1,941,595 – FVTPL 884,496 884,496 778,079 778,079 Loans and advances 1,235,759,895 1,238,893,573 1,174,576,465 1,177,486,641 Other assets 12,654,668 12,654,668 11,501,929 11,501,929 $ 1,526,498,388 1,529,632,066 1,375,637,990 1,378,548,166 Liabilities Deposits $ 1,400,074,381 1,502,142,145 1,259,922,245 1,353,859,388 Loan payable 13,520,176 13,520,176 15,229,798 15,229,798 Reimbursable shares 12,289,404 12,289,404 9,761,121 9,761,121 Other liabilities 14,621,052 14,621,052 13,069,238 13,069,238 $ 1,440,505,013 1,542,572,777 1,279,982,402 1,391,919,545