Annual Report - Bina Puri

Notes to and Forming Part of the Financial Statements (Cont’d)29. COST OF SALESGroupCompany2007 2006 2007 2006RM’000 RM’000 RM’000 RM’000Contract costs 430,455 379,259 20,932 9,550Cost of goods sold 100,133 68,946 – –Property development costs relating to developmentunits sold 33,186 5,652 5,894 2,285563,774 453,857 26,826 11,83530. PROFIT FROM OPERATIONSProfit from operations is stated after charging:GroupCompany2007 2006 2007 2006RM’000 RM’000 RM’000 RM’000Allowance for doubtful debts 69 701 – –Amortisation of prepaid lease payments 110 109 8 8Auditors’ remuneration- current year 189 175 30 25- underestimated in prior year 24 1 5 –Bad debts written off – 67 – –Depreciation of property, plant and equipment 7,615 8,538 760 746Directors’ fees- directors of the Company 243 243 243 243- directors of a subsidiary 457 49 – –Directors’ remuneration other than fees- directors of the Company 2,471 2,125 1,395 1,227- directors of subsidiaries 770 741 – –Loss on disposal of expressway development project 1,700 – 1,700 –Loss on foreign exchange- realised – 31 1 31- unrealised 40 – 20 –Property, plant and equipment written off 30 37 – –Rental expenses- operating leases 300 300 – –- land and premises 667 600 – –- motor vehicles 43 98 – –- machinery and equipment 7,326 11,297 – –Research and development expenditure – 60 – –BINA PURI HOLDINGS BHDAnnual Report 200789