5 This Standard uses the following terms with the meanings specified:

"Borrowing costs" are interest and other costs that an entity incurs in connection with the borrowing of funds.

A "qualifying asset" is an asset that necessarily takes a substantial period of time to get ready for its intended use or sale.

6 Borrowing costs may include:

(a) interest expense calculated using the effective interest method as described in IFRS 9;

(b) [deleted]

(c) [deleted]

(d) interest in respect of lease liabilities recognised in accordance with IFRS 16 Leases; and

(e) exchange differences arising from foreign currency borrowings to the extent that they are regarded as an adjustment to interest costs.

7 Depending on the circumstances, any of the following may be qualifying assets:

(a) inventories

(b) manufacturing plants

(c) power generation facilities