b'STAATSOLIE MAATSCHAPPIJ SURINAME N.V.NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2020 (Continued)d. Lessor Accountingin the lease which is the present value of the IFRS16isdeterminingwhetheranarrangement payments.contains a lease deals with arrangements that doThelessormustusetheinterestrateimplicitinnot take the legal form of leases but neverthelessthe lease to measure the net investment in the conveytherighttouseaspecificasset,suchasan lease.itemofproperty,plant,orequipmentforanagreedperiod of time.Subsequenttoinitialrecognition,alessormustrecognizefinanceincomeovertheleaseterm,A right of a purchaser to use a particular assetbasedonapatternreflectingaconstantperiodicowned by a supplier could be conveyed in a widerateofreturnonthelessorsnetinvestmentinrange of arrangements for the supply of goodsthelease(i.e.itmustusetheamortizedcostandservices,includingoutsourcingarrangements, method).arrangements under which a purchaser obtains arighttocapacity(e.g.,theoutputofaparticular e. Investment propertiespower plant) and take-or-pay arrangements orInvestmentpropertiesaremeasuredatfairvalue,similar contracts.where applicable. Investment properties areAtinceptionofacontract,anentityshouldassess de-recognizedeitherwhentheyhavebeenwhetherthecontractis,orcontains,alease.A disposedof(i.e.,atthedatetherecipientobtainscontractis,orcontains,aleaseifthecontract control) or when they are permanently withdrawn givestherighttocontroltheuseofanidentified fromuseandnofutureeconomicbenefitisasset(underlyingasset)foraperiodoftimein expectedfromtheirdisposal.Thedifferenceexchangeforconsideration(IFRS16.9).Theright between the net disposal proceeds and the tocontroltheuseofanidentifiedassetcanbesplit carryingamountoftheassetisrecognizedinprofitinto: or loss in the period of derecognition.a. t he right to obtain substantially all the economicTheamountofconsiderationtobeincludedinbenefitsfromuseofanidentifiedassetand the gain or loss arising from the derecognition of investment property is determined in accordance b.therighttodirecttheuseofanidentifiedasset. withtherequirementsfordeterminingthetransaction price in IFRS 15 Revenue from (i) Right to obtain substantially all the economiccontracts with customers.benefits Tocontroltheuseofanidentifiedasset,a Transfersaremadeto(orfrom)investmentcustomerisrequiredtohavetherighttoobtain property only when there is a change in use. If substantiallyalltheeconomicbenefitsfromuse owner-occupied property becomes an investment oftheassetduringtheperiodofuse.Themost property,theGroupaccountsforsuchpropertyinobvious way of obtaining substantially all theaccordancewiththepolicystatedunderproperty,economicbenefitsfromuseoftheassetishaving plantandequipmentuptothedateofchangeinexclusive use of the asset during the period of itsuse.use(IFRS16.B21-B23). f. Current versus non-current classification Thelesseeshouldfocusoneconomicbenefits TheGrouppresentsassetsandliabilitiesinthearisingfromtheuseoftheasset(e.g.,obtaining consolidatedstatementoffinancialpositionbasedproducts),notfromtheownershipoftheasset on current and non-current distinction.(e.g.,taxcredits)(IFRS16.BC118).Anassetiscurrentwhenitis:(ii)Right to direct the use 1.E xpectedtoberealizedorintendedtobesoldA customer has the right to direct the use of anor consumed in the normal operating cycle;identifiedassetduringtheperiodofuseonlyifeither(IFRS16.B24):thecustomerhastherightto 2.Held primarily for the purpose of trading;direct how and for what purpose the asset is used3.Expectedtoberealizedwithintwelvemonthsduring the period of use; or the relevant decisionsafterthereportingperiod,orabout how and for what purpose the asset is used are predetermined. 4.C ashorcashequivalentunlessrestrictedfromUnderIFRS16,lessorsaccountforfinance being exchanged or used to settle a liability forat least twelve months after the reporting period. leasesbyinitiallyderecognizingtheassetandrecognizingareceivableforthenetinvestment58 STAATSOLIE 2020 ANNUAL REPORT'