Non-Consolidated Annual Report 2020

BARBADOS PUBLIC WORKERS’ CO-OPERATIVE CREDIT UNION LIMITED | NON-CONSOLIDATED ANNUAL REPORT 2020 91 BARBADOS PUBLIC WORKERS' CO-OPERATIVE CREDIT UNION LIMITED Notes to the Non-consolidated Financial Statements For the year ended March 31, 2020 (Expressed in Barbados dollars) 74 24. 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, due from related companies, other assets, other liabilities and reimbursable shares. The fair value of debt securities is based on quoted prices were 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 Credit Union'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 nonconsolidated statement of financial position are shown in the table below: 2020 2019 Carrying Carrying Amount Fair Value Amount Fair Value Assets Cash resources $ 294,902,050 294,902,050 233,649,384 233,649,384 Financial investments – Amortized cost 18,236,072 18,236,072 19,568,155 19,568,155 – FVOCI - quoted 1,550,000 1,550,000 1,705,000 1,705,000 – FVOCI - unquoted 1,415,242 1,415,242 884,496 884,496 Loans and advances 1,046,080,071 1,048,348,916 997,535,262 1,001,017,931 Due from related companies 28,746,549 28,746,549 19,313,205 19,313,205 Other assets 12,122,951 12,122,951 9,279,763 9,279,763 $ 1,403,052,935 1,405,321,780 1,281,935,265 1,285,417,934 Liabilities Deposits $ 1,279,597,696 1,354,373,012 1,175,003,744 1,256,360,291 Reimbursable shares 13,229,324 13,229,324 12,289,404 12,289,404 Other liabilities 10,921,705 10,921,705 10,788,270 10,788,270 $ 1,303,748,725 1,378,524,041 1,198,081,418 1,279,437,965

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