Page 89 - Annual Report

HONG KONG ACADEMY OF MEDICINE
香 港 醫 學 專 科 學 院
香港醫學專科學院
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2. BASIS OF PREPARATION AND MATERIAL ACCOUNTING POLICY INFORMATION (Continued)

o) Related parties (Continued)

b) An entity is related to the Academy if any of the following conditions applies:

i) The entity and the Academy are members of the same Academy (which means that
each parent, subsidiary and fellow subsidiary is related to the others).

ii) One entity is an associate or joint venture of the other entity (or an associate or joint
venture of a member of a group of which the other entity is a member).

iii) Both the entity and the Group are joint ventures of the same third party.

iv) One entity is a joint venture of a third entity and the other entity is an associate of
the third entity.

v) The entity is a post-employment benefit plan for the benefit of employees of either
the company or an entity related to the Academy.

vi) The entity is controlled or jointly controlled by a person identified in (a).

vii) A person identified in (a)(i) has significant influence over the entity or is a member
of the key management personnel of the entity (or of a parent of the entity).

viii) The entity, or any member of a group of which it is a part, provides key
management personnel services to the Group or to the Group’s parent.

Close members of the family of a person are those family members who may be expected to
influence, or be influenced by, that person in their dealings with the entity.

p) Employee benefits

i) Short term employee benefits and contributions to defined contribution retirement plans

Salaries, annual bonuses, paid annual leave, contributions to defined contribution plans
and the cost of non-monetary benefits are accrued in the year in which the associated
services are rendered by employees. Where payment or settlement is deferred and the
effect would be material, these amounts are stated at their present values.

Contributions to the Mandatory Provident Funds as required under the Hong Kong
Mandatory Provident Fund Schemes Ordinance are charged to the income and
expenditure account.

ii) Termination benefits

Termination benefits are recognised when, and only when, the Group demonstrably
commits itself to terminate employment or to provide benefits as a result of voluntary
redundancy by having a detailed formal plan which is without realistic possibility of
withdrawal.

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香港醫學專科學院 2024 年度報告