Corporate

18  | Workplace Safety & Prevention Services Workplace Safety & Prevention Services Notes to Financial Statements March 31, 2023 2 Capital assets Capital assets are stated at cost less accumulated amortization. Amortization is provided on a straight-line basis over the estimated useful lives of the assets as follows: Computer software 3 years Office equipment 5 years Computer equipment 3 years Furniture 5 years Leasehold improvements over the term of the lease Impairment of capital assets When a tangible capital asset no longer contributes to an organization's ability to provide goods and services, or the future economic benefits or service potential of the tangible capital asset is less than its carrying value, the excess of its net carrying amount over its fair value or replacement cost is recognized as an expenditure in the statement of operations. Any unamortized deferred capital contribution amount related to the tangible capital asset is recognized in revenue in the statement of operations, provided that all restrictions have been complied with. Employee future benefits (i) Post-retirement benefits For employees who joined the Corporation prior to October 1, 2015, the Corporation provides certain non- pension post-retirement benefits consisting of extended health and other benefits. The defined benefit obligation is calculated based on the most recent actuarial valuation report prepared for accounting purposes. The Corporation applies the following policies: The Corporation accrues its obligations under defined benefit plans and the related costs when the benefits are earned through current service. The cost of retirement benefits earned by employees is actuarially determined using the projected benefit method pro-rated on service and management's best estimate of salary escalation, retirement ages of employees and expected health-care costs. Remeasurements and other items are composed of actuarial gains (losses) on the accrued benefit obligation and arise from differences between the actual and expected experience and from changes in the actuarial assumptions used to determine the accrued benefit obligation, past service costs and gains and losses arising from settlements and curtailments. Actuarial gains and losses arise when the accrued benefit obligations change during the year. The actuarial gains and losses and other remeasurements, including plan amendments, are recorded in the statement of changes in net assets when incurred.

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