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Muang Thai Life Assurance Public Company LimitedNotes to the financial statements for the year ended 31 December 2024Muang Thai Life Assurance Public Company LimitedNotes to the financial statementsFor the year ended 31 December 202423(l) Premises and equipment Recognition and measurement Owned assetsLand is stated at cost. Premises and equipment are measured at cost less accumulated depreciation andimpairment losses.Cost includes expenditure that is directly attributable to the acquisition of the asset. The cost of self-constructed assets includes the cost of materials, direct labour, and any other costs directly attributable to bringing the assets to a working condition for their intended use, the costs of dismantling and removing the items and restoring the site on which they are located, and capitalised borrowing costs. Purchased software that is integral to the functionality of the related equipment is capitalised as part of that equipment. When parts of an item of building and equipment have different useful lives, they are accounted for as separate items (major components). Any gains or losses on disposal of item of premises and equipment are determined by comparing the proceeds from disposal with the carrying amount of premises and equipment, and are recognised in profit or loss. Subsequent costsThe cost of replacing a part of item of building and equipment is recognised in the carrying amount of the item if it is probable that the future economic benefits embodied within the part will flow to the Company, and its cost can be measured reliably. The carrying amount of the replaced part is derecognised. The costs of the day-to-day servicing of building and equipment are recognised in profit or loss as incurred.DepreciationDepreciation is calculated based on the depreciable amount, which is the cost of an asset, or other amount substituted for cost, less its residual value.Depreciation is charged to profit or loss on a straight-line basis over the estimated useful lives of each component of assets. The estimated useful lives are as follows:Building and condominium 30 - 50 yearsFurniture, fixtures and equipment 5 - 10 yearsComputer equipment 5 yearsVehicles 5 yearsNo depreciation is provided on assets under construction.Depreciation methods, useful lives and residual values are reviewed at least at each financial year-end and adjusted if appropriate.(m) Intangible assets GoodwillGoodwill for equity-accounted investee, the carrying amount of goodwill is included in the carrying amount of investment, and an impairment loss on such investment is not allocated to any asset, including goodwill, that forms part of the carrying amount of the equity-accounted investee.Annual Report 2024 I Muang Thai Life Assurance PCL 159