Acquisitions of non-controlling interests caSh and caSh equivalentS inventorieS  foreign currency (i) Foreign currency transactions (ii) Foreign operations (iii) Hedge of net investment in foreign operation Acquisitions of non-controlling interests are accounted for as transactions with equity holders in their capacity as equity holders. In such circumstances the carrying amounts of the controlling and non-controlling interests adjusted to reflect the changes in their  relative interests in the subsidiary. Any difference between the amount the non-controlling interests are adjusted and the fair value of  the consideration paid or received is recognized directly in equity and attributed to the owners of the parent, with no goodwill  recognized as a result of such transactions. Cash and cash equivalents are cash on hand, demand deposits with initial and remaining maturity of three months or less or  short-term, highly liquid investments, also 90 days or less that are readily convertible to known amounts of cash and which are  subject to an insignificant risk of changes in value. Cash and cash equivalents do not include any restricted cash.  Inventories are measured at the lower of cost and net realizable value. The cost of manufactured inventories is based on the first-in  first-out principle. The cost of procured finished goods and unprocessed raw material inventory is weighted average cost. Inventory  includes expenditures incurred in acquiring the inventories, production or conversion costs and other costs incurred in bringing them  to their existing location and condition. In the case of manufactured inventories and work in progress, cost includes an appropriate  share of production overheads based on normal operating capacity. Cost also may include transfers from other comprehensive  income of any gain or loss on qualifying cash flow hedges of foreign currency purchases of inventories. Net realizable value is the estimated selling price in the ordinary course of business, less the estimated costs of completion and  selling expenses.  Transactions in foreign currencies are translated to the respective functional currencies of the Company’s subsidiaries at exchange  rates at the dates of the transactions. Each subsidiary determines its own functional currency and items included in the financial  statements of each entity are measured using that functional currency; the functional currency of the Company itself is the Canadian  dollar. Monetary assets and liabilities denominated in foreign currencies at the reporting date are retranslated to the functional  currency at the exchange rate at that date. The foreign currency gain or loss on monetary items is the difference between amortized  cost in the functional currency at the beginning of the period, adjusted for effective interest and payments during the period, and the  amortized cost in foreign currency translated at the exchange rate at the end of the reporting period. Non-monetary assets and  liabilities denominated in foreign currencies that are measured at fair value are retranslated to the functional currency at the  exchange rate at the date that the fair value was determined. Foreign currency differences arising on retranslation are recognized in  profit or loss, except for differences arising on the retranslation of available-for-sale equity instruments, a financial liability  designated as a hedge of the net investment in a foreign operation (see (iii) below), or qualifying cash flow hedges, which are  recognized in other comprehensive income. Non-monetary items that are measured in terms of historical cost in a foreign currency  are effectively translated using the exchange rate at the date of the transaction. The assets and liabilities of foreign operations, including goodwill and fair value adjustments arising on acquisition, are translated to  Canadian dollars, which is the Company’s presentation currency, at the exchange rate as at the reporting date. The income and  expenses of foreign operations are translated to Canadian dollars at the monthly average exchange rates of the reporting period.  Foreign currency differences are recognized in other comprehensive income in the cumulative translation account. When a foreign  operation is disposed of, the relevant amount in the cumulative amount of foreign currency translation differences is transferred to  profit or loss as part of the profit or loss on disposal. On the partial disposal of a subsidiary that includes a foreign operation, the  relevant proportion of such cumulative amount is reattributed to non-controlling interest. In any other partial disposal of a foreign  operation, the relevant proportion is reclassified to profit or loss. Foreign exchange gains or losses arising from a monetary item  receivable from or payable to a foreign operation, the settlement of which is neither planned nor likely to occur in the foreseeable  future and which in substance is considered to form part of the net investment in the foreign operation, are recognized in other  comprehensive income in the cumulative amount of foreign currency translation differences. The Company applies hedge accounting to foreign currency differences arising between the functional currency of the foreign  operation and the parent entity’s functional currency (Canadian dollars). Foreign currency differences arising on the retranslation of a  financial liability designated as a hedge of a net investment in a foreign operation are recognized in other comprehensive income to  the extent that the hedge is effective, and are presented within equity in the currency translation differences balance. To the extent  60 HIGH lIneR FooDS InCoRpoRAteD