SECTION 2.4  Intangible assets and property, plant and equipment 2.4  SIGNIFICANT ACCOUNTING ESTIMATES AND JUDGEMENTS USEFUL LIFE AND RESIDUAL VALUE  OF INTANGIBLE ASSETS WITH FINITE  USEFUL LIFE AND PROPERTY, PLANT  AND EQUIPMENT  Useful life and residual value are initially  assessed both in acquisitions and in busi- ness combinations, cf. section 5. The value  of the trademarks acquired and their ex- pected useful life are assessed based on  the trademarks’ market position, expected  long-term developments in the relevant  markets and the trademarks’ profitability. Management assesses trademarks and  property, plant and equipment for changes  in useful life. When there is an indication of a  reduction in the value or useful life, the asset  is tested for impairment and is written down  if necessary, or the amortisation/deprecia- tion period is reassessed and if necessary  adjusted in line with the asset’s changed  useful life. Reassessment of the expected future use is  as a minimum made in connection with an  evaluation of changes in production struc- ture, restructuring and brewery closures. The  expected future use and residual values may  not be realised, which will require reassess- ment of useful life and residual value and  recognition of impairment losses or losses on disposal of non-current assets.  When changing the amortisation or depre- ciation period due to a change in the useful  life, the effect on the amortisation/deprecia- tion is recognised prospectively as a change  in accounting estimates. The Group has entered into a number of  leases and service contracts. When enter- ing into these agreements, management  considers the substance of the service being  rendered in order to classify the agreement  as either a lease or a service contract. In  making this judgement, particular impor- tance is attached to whether fulfilment  of the agreement depends on the use of  specific assets. The Group assesses whether  contracts are onerous by determining only  the direct variable costs and not the costs  that relate to the business as a whole. For leases, an assessment is made as to  whether the lease is a finance lease or an  operating lease. The Group has mainly en- tered into operating leases for standardised  assets with a short duration relative to the  life of the assets, and accordingly the leases  are classified as operating leases. Leases are classified as finance leases if  they transfer substantially all the risks  and rewards incident to ownership to the  lessee. All other leases are classified as  operating leases. Significant accounting estimates and judge- ments related to impairment are described  above, cf. section 2.3. Carlsberg Group Annual Report 2013 Consolidated financial statements SECTION 2: ASSET BASE AND RETURNS 83