|
11. |
TRADE NOTES AND ACCOUNTS RECEIVABLE, NET |
|
|
|
December 31 |
|
|||||
|
|
|
2016 |
|
|
2017 |
|
||
|
|
|
NT$ |
|
|
NT$ |
|
||
|
|
|
(In Millions) |
|
|||||
|
Trade notes and accounts receivable |
|
$ |
32,795 |
|
|
$ |
34,058 |
|
|
Less: Allowance for doubtful accounts |
|
|
(1,773 |
) |
|
|
(2,117 |
) |
|
|
|
$ |
31,022 |
|
|
$ |
31,941 |
|
The average credit terms range from 30 to 90 days. In determining the recoverability of trade notes and accounts receivable, the Company considers significant change in the credit quality of the trade notes and accounts receivable from the date credit was initially granted up to the end of the reporting period. In general, with few exceptional cases, it is unlikely for the notes and accounts receivable due longer than 180 days to be collected, therefore the Company recognized 100% allowance of notes and accounts receivable overdue longer than 180 days. For the notes and accounts receivable less than 180 days, the allowance for doubtful accounts was estimated based on the Company’s historical recovery experience.
The Company serves a large consumer base; therefore, the concentration of credit risk is limited.
The aging analysis for trade notes and accounts receivable as of balance sheet dates was as follows:
|
|
|
December 31 |
|
|||||
|
|
|
2016 |
|
|
2017 |
|
||
|
|
|
NT$ |
|
|
NT$ |
|
||
|
|
|
(In Millions) |
|
|||||
|
Non-overdue |
|
$ |
29,596 |
|
|
$ |
30,032 |
|
|
Less than 30 days |
|
|
1,050 |
|
|
|
1,280 |
|
|
31-60 days |
|
|
348 |
|
|
|
485 |
|
|
61-90 days |
|
|
286 |
|
|
|
278 |
|
|
91-120 days |
|
|
198 |
|
|
|
253 |
|
|
121-180 days |
|
|
119 |
|
|
|
122 |
|
|
More than 181 days |
|
|
1,198 |
|
|
|
1,608 |
|
|
|
|
$ |
32,795 |
|
|
$ |
34,058 |
|
The above aging analysis was based on days overdue.
At the balance sheet dates, the receivables that were past due but not impaired were considered recoverable by the management of the Company. The aging of these receivables as of balance sheet dates was as follows:
|
|
|
December 31 |
|
|||||
|
|
|
2016 |
|
|
2017 |
|
||
|
|
|
NT$ |
|
|
NT$ |
|
||
|
|
|
(In Millions) |
|
|||||
|
Less than 30 days |
|
$ |
256 |
|
|
$ |
328 |
|
|
31-60 days |
|
|
47 |
|
|
|
36 |
|
|
61-90 days |
|
|
9 |
|
|
|
7 |
|
|
91-120 days |
|
|
74 |
|
|
|
70 |
|
|
121-180 days |
|
|
1 |
|
|
|
1 |
|
|
More than 181 days |
|
|
13 |
|
|
|
7 |
|
|
|
|
$ |
400 |
|
|
$ |
449 |
|
The above aging analysis was based on days overdue.
Movements of the allowance for doubtful accounts were as follows:
|
|
|
Individually Assessed for Impairment |
|
|
Collectively Assessed for Impairment |
|
|
Total |
|
|||
|
|
|
NT$ |
|
|
NT$ |
|
|
NT$ |
|
|||
|
|
|
(In Millions) |
|
|||||||||
|
Balance on January 1, 2015 |
|
$ |
276 |
|
|
$ |
773 |
|
|
$ |
1,049 |
|
|
Add: Provision for doubtful accounts |
|
|
88 |
|
|
|
392 |
|
|
|
480 |
|
|
Deduct: Amounts written off |
|
|
— |
|
|
|
(195 |
) |
|
|
(195 |
) |
|
Balance on December 31, 2015 |
|
|
364 |
|
|
|
970 |
|
|
|
1,334 |
|
|
Add: Provision for doubtful accounts |
|
|
715 |
|
|
|
228 |
|
|
|
943 |
|
|
Deduct: Amounts written off |
|
|
(274 |
) |
|
|
(230 |
) |
|
|
(504 |
) |
|
Balance on December 31, 2016 |
|
|
805 |
|
|
|
968 |
|
|
|
1,773 |
|
|
Add: Provision for doubtful accounts |
|
|
535 |
|
|
|
43 |
|
|
|
578 |
|
|
Deduct: Amounts written off |
|
|
(15 |
) |
|
|
(219 |
) |
|
|
(234 |
) |
|
Balance on December 31, 2017 |
|
$ |
1,325 |
|
|
$ |
792 |
|
|
$ |
2,117 |
|