Westgold Resources Limited Annual Report 2020

103 Westgold Resources Limited Annual Report 2020 40. ACCOUNTING STANDARDS (CONTINUED) AASB 16 Leases (continued) The Group also applied the available practical expedients wherein it: – Relied on its assessment of whether leases are onerous immediately before the date of initial application, – Included non-lease components for all classes of assets, and – Applied the short-term leases exemptions to leases with lease terms that end within 12 months of the date of initial application. The Group also applied the available practical expedients wherein it: – Relied on its assessment of whether leases are onerous immediately before the date of initial application, – Included non-lease components for all classes of assets, and Applied the short-term leases exemptions to leases with lease terms that end within 12 months of the date of initial application. The effective increase (decrease) of adoption AASB 16 at 1 July 2019 is set out below: Assets Right-of-use assets 12,966,644 Total assets 12,966,644 Liabilities Interest-bearing loans and borrowing Current 6,031,093 Non-current 6,935,551 Total liabilities 12,966,644 As at 1 July 2019 – ‘Right-of-use assets’ were recognised and presented separately in the statement of financial position, – Additional lease liabilities were recognised and included under ‘Interest-bearing loans and borrowings’, – Additional ‘Deferred tax assets’ and ‘Deferred tax liabilities’ were recognised because of the deferred tax impact of the changes in recognised lease-related assets and liabilities, and – Payment of principal for operating leases previously classified as operating activities will be classified as financing activities in the cash flow statement. Lease liabilities as at 1 July 2019 can be reconciled to the operating lease commitments as of 30 June 2019, as follows: Lease commitments as at 30 June 2019 (undiscounted) 13,174,298 Add (deduct) Commitments relating to unrecognised leases of low-value assets (131,637) Adjustment for fixed outgoings associated with rental of premises 697,041 Effect of discounting (773,058) Discounted recognised lease liabilities as at 1 July 2019 12,966,644