- JSW GROUP
- Our surrounding
- Strategy
- Activities in 2018
- Innovations
- Management rules
- Risks
- Outlook
Material accounting principles and material figures based on judgments and estimates have been presented as an element of the various explanatory notes to the consolidated financial statements. The accounting policies adopted by the Group are consistent with the policies applied in the previous financial year, except for the adoption of new and amended standards as described in Note 2.5.
In order to prepare the consolidated financial statements according to IFRS, one must adopt certain assumptions, make estimates and judgments, which affect the accepted accounting principles and the amounts shown in the financial statements. The assumptions and estimates result from past experiences and other factors, including anticipated future events that seem reasonable in the current situation. By definition, the resulting accounting estimations will rarely match the actual performance. Accounting estimations and judgments are subject to regular evaluation.
Items in the consolidated financial statements involving material risk of having to make a significant adjustment to the carrying amount of assets and liabilities during the subsequent financial year have been presented below.
Item in the Consolidated Statement of Financial Position
Value of the item to which an estimate in the consolidated financial
statements pertainsDescription of the accounting policy and material estimates
31.12.2018
31.12.2017
Property, plant and equipment
7,303.0
6,835.9
Note 7.1, Note 7.3
Intangible assets
130.8
116.3
Note 7.2, Note 7.3
Deferred tax assets
669.5
814.3
Note 5.2
Inventories
656.5
499.4
Note 7.7
Trade and other receivables
1,146.7
2,256.7
Note 7.8
Employee benefit liabilities
882.5
677.2
Note 7.11
Provision for mine closures
547.0
445.4
Note 7.12
Provision for potential litigation related to the free coal allowance for old-age and disability pensioners
–
653.5
Note 7.12
Provision for mining damage
362.2
277.7
Note 7.12
Provision for contested property tax on mine workings
20.1
29.8
Note 7.12
Trade and other liabilities
2,957.4
2,275.8
Note 7.13