b'Appendices Appendix 4 GENOME CANADA Notes to Financial Statements (continued)Year ended March 31, 2019 (in thousands of dollars) 2.Significant accounting policies (continued):(c)Capital assets: Capitalassetsarestatedattheirnetbookvalue.Amortizationisprovidedforusingthe declining balance method at the following annual rates or term:AssetRateFurniture, fixtures and office equipment20% Leasehold improvementsTerm of the lease(d)Financial instruments: The Corporation records interest receivable, other receivables and accounts payable and accrued liabilities at amortized cost using the effective interest method of amortization. (e)Use of estimates: The preparation of financial statements in conformity with Canadian accounting standards for not-for-profitorganizationsrequirestheuseofestimatesandassumptionsthataffectthe reported amounts of assets and liabilities, disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Accordingly, actual results could differ from these estimates. The most significant estimates used in the preparation of the financial statements include the fair value of investments, the amount of certain accrued liabilities and the estimated useful lives of capital assets. These estimates are reviewed annually and as adjustments become necessary, they are recorded in the financial statements in the year in which they become known. (f) Lease inducements Leaseinducements,consistingoffreerentandimprovementallowancesgrantedtothe Corporation for the leased offices, are amortized on a straight-line basis over the term of the lease or over the useful life of the purchased asset. 88'