item can be measured reliably. The costs of day-today servicing of property, plant and equipment are recognised in the surplus or deficit in the statement of comprehensive revenue and expense as they are incurred. Depreciation finite life is amortised on a straight-line basis over its useful life. Amortisation begins when the asset is available for use and ceases at the date that the asset is derecognised. The amortisation charge for each financial year is recognised in the surplus or deficit in the statement of comprehensive revenue and expense. Depreciation is provided on a straight-line basis on all property, plant and equipment at rates that will write off the cost of the assets to their estimated residual values over their useful lives. The useful lives and associated depreciation rates of major classes of property, plant and equipment have been estimated as follows: The useful lives and associated amortisation rates of major classes of intangible assets have been estimated as follows: Equipment 2–12 years 8.3–50% Impairment of property, plant and equipment and intangible assets Furniture and fittings 5–17 years 5.9–20% Leasehold improvements 9–12 years 8.3–11.1% Leasehold improvements are depreciated over the unexpired period of the lease or the estimated remaining useful lives of the improvement, whichever is the shorter. The residual value and useful life of an asset is reviewed, and adjusted if applicable, at each financial year-end. Intangible assets Software acquisition Acquired computer software licences are capitalised based on the costs incurred to acquire and bring to use the specific software. Costs associated with maintaining computer software, the development and maintenance of the Commission’s website, and staff-training costs are recognised as an expense when incurred. Trademarks Trademarks are capitalised based on the costs incurred to register the trademark with the Intellectual Property Office of New Zealand. Amortisation The carrying value of an intangible asset with a 64 Acquired software 3–5 years 20–33% Trademarks 10 years 10% Cash-generating assets The Commission does not hold any property, plant and equipment or intangible assets that are cashgenerating. Assets are considered cash-generating where their primary objective is to generate a commercial return, otherwise they are considered non-cash generating. Non-cash-generating assets Property, plant and equipment and intangible assets that have a finite useful life are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable service amount. The recoverable service amount is the higher of an asset's fair value less costs to sell and value in use. Value in use is determined using an approach based on either a depreciated replacement cost approach, restoration cost approach, or a service units approach. The most appropriate approach used to measure value in use depends on the nature of the impairment and availability of information. If an asset’s carrying amount exceeds its recoverable service amount, the asset is regarded as impaired and the carrying amount is written-down to the recoverable amount. The total impairment loss is recognised in the surplus or deficit in the statement Human Rights Commission