Notes to the Financial Statements - Cahaya Mata Sarawak Bhd
Notes to the Financial Statements - Cahaya Mata Sarawak Bhd
Notes to the Financial Statements - Cahaya Mata Sarawak Bhd
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104<br />
<strong>Notes</strong> <strong>to</strong> <strong>the</strong> <strong>Financial</strong> <strong>Statements</strong><br />
For <strong>the</strong> fi nancial year ended 31 December 2011<br />
3. Signifi cant accounting judgements and estimates (contd.)<br />
3.2 Key sources of estimation uncertainty (contd.)<br />
(h) Impairment of investment in subsidiaries and interest in associates (contd.)<br />
4. Revenue<br />
(ii) Depending on <strong>the</strong>ir nature and <strong>the</strong> industries in which <strong>the</strong> investments relate <strong>to</strong>, judgements<br />
are made by management <strong>to</strong> select suitable methods of valuation such as, amongst o<strong>the</strong>rs,<br />
discounted cash fl ow, realisable net asset value and sec<strong>to</strong>r average price-earning ratio<br />
methods.<br />
Once a suitable method of valuation is selected, management makes certain assumptions concerning<br />
<strong>the</strong> future <strong>to</strong> estimate <strong>the</strong> recoverable amount of <strong>the</strong> investment. These assumptions and o<strong>the</strong>r key<br />
sources of estimation uncertainty at <strong>the</strong> reporting date, may have a signifi cant risk of causing a<br />
material adjustment <strong>to</strong> <strong>the</strong> carrying amounts of <strong>the</strong> investments within <strong>the</strong> next fi nancial year.<br />
Depending on <strong>the</strong> specifi c individual investment, assumptions made by management may include,<br />
amongst o<strong>the</strong>rs, assumptions on expected future cash fl ows, revenue growth, discount rate used for<br />
purposes of discounting future cash fl ows which incorporates <strong>the</strong> relevant risks, and expected future<br />
outcome of certain past events.<br />
Management believes that no reasonably expected possible change in <strong>the</strong> key assumptions<br />
described above would cause <strong>the</strong> carrying amounts of <strong>the</strong> investments <strong>to</strong> materially exceed <strong>the</strong>ir<br />
recoverable amount.<br />
Cahya <strong>Mata</strong> <strong>Sarawak</strong> Berhad<br />
Group Company<br />
2011 2010 2011 2010<br />
RM’000 RM’000 RM’000 RM’000<br />
Sales of goods 596,286 584,266 - -<br />
Contract revenue 186,035 76,137 - -<br />
Property development 102,596 163,423 - -<br />
Trading and services 93,145 98,217 - -<br />
<strong>Financial</strong> services 1,892 3,870 - -<br />
Interest income from short term deposits<br />
and investment securities 10,827 16,055 10,827 16,055<br />
Rental income 9,982 1,118 600 600<br />
Dividend income from investment securities 676 390 676 390<br />
Dividend income from wholesale fund 11,170 - 11,170 -<br />
Dividend income from subsidiaries - - 25,454 74,333<br />
Dividend income from associates - - 9,044 5,006<br />
Interest income from subsidiaries - - 1,689 614<br />
1,012,609 943,476 59,460 96,998
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