64 NOTEs TO THE FINANCIAL sTATEMENTs  1. sUMMARY OF sIGNIFICANT ACCOUNTING POLICIEs (CONTINUED) (F) FOREIGN CURRENCY (i) CuRRenCy oF PReSenTATion (G) REVENUE RECOGNITION (ii) TRAnSACTionS And BAlAnCeS (H) INCOME TAX AND OTHER TAXES (iii) GRouP enTiTieS FAIRFAx MEDIA LIMITED AND CONTROLLED ENTITIES FOR THE PERIOD ENDED 30 JUNE 2013 All amounts are expressed in Australian dollars, which  is the consolidated entity’s presentation currency. Items  included in the financial statements of each of the Group’s  entities are measured using the currency of the primary  economic environment in which the entity operates (the  functional currency). hedge reserve relating to that foreign entity are recognised  in the income statement as part of the gain or loss on sale.  Goodwill and fair value adjustments arising on the acquisition  of a foreign entity are treated as assets and liabilities of the  foreign entity and translated at the closing rate. Foreign currency transactions are translated into the  functional currency using the exchange rates prevailing at the  dates of the transactions. Foreign exchange gains and losses  resulting from the settlement of such transactions and from  the translation at reporting date exchange rates of monetary  assets and liabilities denominated in foreign currencies are  recognised in the income statement, with the exception of  differences on foreign currency borrowings that provide  a hedge against a net investment in a foreign entity and  qualifying cash flow hedges, which are deferred in equity until  disposal. Tax charges and credits attributable to exchange  differences on borrowings are also recognised in equity. Translation differences on non-monetary items that are  measured in terms of historical cost in a foreign currency  are translated using the exchange rate as at the date of the  initial transaction. Translation differences on non-monetary  items, such as available for sale financial assets, are translated  using the exchange rates at the date when the fair value  was determined and included in the asset revaluation  reserve in equity. The results and financial position of all the Group entities  that have a functional currency different from the  presentation currency are translated into the presentation  currency as follows: Revenue is recognised to the extent that it is probable that  the economic benefits will flow to the Group and the amount  of the revenue can be reliably measured. Revenue from  advertising, circulation, subscription, online services, radio  broadcasting and printing is recognised when control of the  right to be compensated has been obtained and the stage  of completion of the contract can be reliably measured. For  newspapers, magazines and other publications the right  to be compensated is on the publication date. Revenue  from the provision of online advertising on websites is  recognised in the period the advertisements are placed or the  impression occurs. Amounts disclosed as revenue are net of  commissions, rebates, discounts, returns, trade allowances,  duties and taxes paid. Dividend revenue is recognised when the Group’s right to  receive the payment is established, which is generally when  the Board declares the dividend. Interest revenue is recognised as it accrues, based on the  effective yield of the financial asset. The income tax expense or benefit for the period is the tax  payable on the current period’s taxable income based on  the national income tax rate for each jurisdiction adjusted  by changes in deferred tax assets and liabilities attributed to  temporary differences and to unused tax losses. Deferred  tax assets and liabilities are recognised for temporary  differences at the reporting date between the tax bases of  assets and liabilities and their carrying amounts for financial  reporting purposes. Deferred income tax liabilities are recognised for all taxable  temporary differences: On consolidation, exchange differences arising from the  translation of the borrowings designated as hedges of the net  investment in foreign entities are taken directly to a separate  component of equity; the net investment hedge reserve.  On disposal of a foreign entity, or when borrowings that form  part of the net investment are repaid, the deferred cumulative  amount of the exchange differences in the net investment  • assets and liabilities for each balance sheet presented  are translated at the closing rate at the date of  that balance sheet; • income and expenses for each income statement are  translated at average monthly exchange rates during the  financial year; and • all resulting exchange differences are recognised as a  separate component of equity. • except where the deferred income tax liability arises from  the initial recognition of an asset or liability in a transaction  that is not a business combination and, at the time of the  transaction, affects neither the accounting profit nor taxable  profit or loss; and • in respect of taxable temporary differences associated with  investments in subsidiaries, associates and interests in joint  ventures, except where the timing of the reversal of the  temporary differences can be controlled and it is probable  that the temporary differences will not reverse in the  foreseeable future.