The American Club 2023/2024 Annual Report

PAGE 81

NOTES TO FINANCIAL STATEMENTS 30 JUNE 2024

4. FINANCIAL INSTRUMENTS, FINANCIAL RISKS AND CAPITAL MANAGEMENT (cont’d)

Fair value hierarchy

The Club classifies fair value measurement using a fair value hierarchy that reflects the significance of the inputs used in making the measurements. The fair value hierarchy has the following levels:

• Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date;

• Level 2 - Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices); and

• Level 3 - Inputs for the asset or liability that are not based on observable market data (unobservable inputs).

During the current financial year, there were no transfers of financial instruments between the levels of the fair value hierarchy.

(c) Capital risk management policies and objectives

The Club strives to maintain positive accumulated funds to ensure that the Club will be able to continue as a going concern. The Club’s overall strategy remains unchanged from prior year. The Club is not subject to any externally imposed regulatory reserve requirement.

5. RELATED PARTY TRANSACTIONS

Related parties consist of members of the General Committee and key management personnel. Parties are considered to be related if one party has the ability to control the Club or exercise significant influence over the Club in making financial and operating decision. These related party transactions occurred at market related prices and the General Committee and key management personnel declared their potential conflict of interest. The General Committee Members were not involved in the Club’s assessment and decision-making process for these contracts.

2024

2023

$

$

Food and beverages and room rental income: Related organisations: - American Association of Singapore

16,726 3,597

4,313

- American Women’s Association

10,760

- Canadian Association

5,761

333

THE AMERICAN CLUB SINGAPORE ANNUAL REPORT 2023 / 2024