for those which are in default or credit impaired are assessed individually. For non-trade receivables, at each reporting date the Group and the Company measure ECL through a loss allowance at an amount equal to 12 months ECL if credit risk on a financial instrument or a group of financial instruments has not increased significantly since initial recognition. The Group and the Company use the three-stage approach for non-trade receivables which reflect their credit risks and how the loss allowances are determined for each of those stages. Summary of the assumptions underpinning the Group’s and the Company’s ECL model for non-trade receivables are as follows: Types of non-trade receivables Stage 1 Low credit risk (12 months ECL Model) Stage 2 Significant increase in credit risk (Lifetime ECL Model) Stage3 Credit impaired (Lifetime ECL Model) • Intercompany balances Positive operating cash flows/Net assets (T otal Assets - T otal Liabilities)/ Subsidiaries with assets under construction having guaranteed long term revenue contract and agents Negative operating cash flows and net liabilities (T otal Assets -Liabilities)/ without defaulting on loan repayments Dormant/History of default • Amounts due from associates/joint ventures/investment in unquoted debt security Positive operating cash flows/ Net assets (T otal Assets - T otal Liabilities) Negative operating cash flows and net liabilities (T otal Assets - T otal Liabilities)/No current default History of default and currently defaulted • RJO debtors Covered by indent/ downpayment/Letter of Undertaking (‘LOU’) No indent/downpayment/LOU Accident cases • Sundry deposits for rental spaces Active contracts Inactive contracts and amounts outstanding less or equal to 12 months Inactive contracts and amounts outstanding more than 12 months • Rental receivables (net deposits) Active contracts and amounts outstanding less or equal to 3 months Active contracts and amounts outstanding more than 3 months Inactive contracts • Staff loans/advances Current employees