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2. Basis for Preparation and Presentation of the Financial Statements (Cont.)
2.2.2 Financial reporting standards effective for financial statements in the accounting
periods beginning or after 1 January 2023 (Cont.)
The PWA’s management has currently assessed the impacts on financial statements for
the year that the mentioned Thai Financial Reporting Standards (TFRS) are effective.

3. Significant Accounting Policies
3.1 Cash and Cash Equivalents
Cash and cash equivalents comprise cash on hand, petty cash, cash at the bank, and deposits
at financial institutions due within three months, excluding cash at bank used as collateral. Cash and cash
equivalents are classified by amortized cost and subsequently measured by effective interest rate method.
3.2 Cash at Bank with Limitations
Cash at bank with limitations has specific purposes and conditions in using cash, such as cash
used as a loan guarantee for employee welfare, water use guarantee fund, and yield of water use guarantee
fund. All of this cash can be used as a revolving fund to continue PWA’s operations once facing revolving
fund shortage problems. Cash at bank with limitations is classified by amortized cost and subsequently
measured by effective interest rate method.
3.3 Trade and Other Current Receivables
Trade and other current receivables classified by amortized cost are all measured expected
credit loss with the simplified approach of Provision Matrix (Roll Rate). The value of expected credit loss is
measured through receivable lifetime calculated at the end of every reporting period. It is estimated from
past collection experience and current status of receivables, and adjusted to reflect the supportive and

reasonable economic situations which can be obtained as of the reporting date without excessive cost or effort.
The increase and decrease entries of expected credit loss are considered expenses or revenues
of the accounting period in which the entry occurs.
3.4 Supplies

Supplies at the ending period are stated at cost and calculated by moving average or net
realizable value based on which one is lower. For obsolete supplies pending for investigation and compensation,
the allowance of such supplies would be accounted in full amount.
3.5 Investment in Associates
Investments in associates are presented by equity method and recognized as the company’s
share of profit according to the investment proportion in associates. The dividend from associates shall be
deducted from the book value of the investment.
3.6 Other Non-current Financial Assets
Other non-current financial assets for which PWA determined to be measured at fair value through
other comprehensive income are considered investments in equity according to TAS 32 : Presentation
of financial instruments because PWA does not intend to hold them for trade. such assets for trade.
The asset values are measured at fair value and add the cost of making transactions directly related to
the acquisition of investment (if any). Subsequently, the asset values are measured again at fair value and
change in fair value are recognized and recorded into other comprehensive income, showing the cumulative
effect of changes in fair value in other elements of owner equity. When such investment is written off from
the account, the cumulative effect in other elements of owner equity is reversed to the retained earnings.