Annual Report 2011 - Food Junction

Notes to the Financial Statements (cont’d)
31 December 2011
7. Trade receivables
Trade receivables are non-interest bearing and are generally on 30 days’ credit terms. They are
recognised at their original invoice amounts which represent their fair values on initial recognition.
All trade receivables are denominated in a subsidiary company’s functional currency.
8. Amount due from subsidiary companies (non-trade)
These amounts are unsecured, interest-free, are repayable on demand and to be settled in cash.
9. Fixed deposits pledged
Fixed deposits pledged to banks as security for banker’s guarantees issued in lieu of rental deposits
amounted to $848,298 (2010: $720,176).
10. Cash and cash equivalents
Group Company
2011 2010 2011 2010
$’000 $’000 $’000 $’000
Fixed deposits 2,141 2,016 – –
Cash and bank balances 19,211 18,255 672 386
Fixed deposits pledged with the bank
21,352 20,271 672 386
(Note 9) (848) (720) – –
Cash and cash equivalents 20,504 19,551 672 386
Fixed deposits earn interest at effective interest rates ranging from 0.10% to 2.55% (2010: 0.10% to
2.00%) per annum. Short term deposits are made for varying periods of primarily less than 3 months
depending on the immediate cash requirements of the Group, and earn interests at the respective
short term deposit rates.
Cash and cash equivalents denominated in foreign currencies in SGD equivalents as at 31 December
are as follows:
Group Company
2011 2010 2011 2010
$’000 $’000 $’000 $’000
USD 34 358 3 3
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