Page 112 - S P Setia Annual Report 2016

 

 

 

 

 

Page 112 - S P Setia Annual Report 2016
P. 112

110   S P Setia Berhad Group
                Annual Report 2016


          Notes To The Financial Statements



          For The Financial Year Ended 31 December 2016

          1.   SIGNIFICANT ACCOUNTING POLICIES
              (a)   Basis of preparation

                   The financial statements of the Group and the Company have been prepared in accordance with Financial Reporting Standards
                   (“FRSs”) issued by the Malaysian Accounting Standards Board (“MASB”) and the requirements of the Companies Act, 1965.

                   The financial statements have been prepared on the historical cost basis except as disclosed in the accounting policies below.

                   In the previous financial period, the Company changed its financial year end from 31 October to 31 December. The previous
                   reporting period covered a period of 14 months from 1 November 2014 to 31 December 2015. Consequently, the comparative
                   amounts for the statements of comprehensive income, statements of changes in equity, statements of cash flows and related
                   notes to the financial statements are not comparable.

                   The financial statements of the Group and of the Company are presented in Ringgit Malaysia (“RM”), which is also the Company’s
                   functional currency.

                   The accounting policies adopted by the Group and the Company are consistent with those of the previous financial period
                   except for the adoption of the following new/revised FRS and amendments to FRSs:

                   FRS 14                                    Regulatory Deferral Accounts
                   Amendments to FRS 5, FRS 7, FRS 119 and FRS 134   Annual Improvements to FRSs 2012-2014 Cycle
                   Amendments to FRS 10, FRS 12 and FRS 128    Investment Entities: Applying the Consolidation Exception
                   Amendments to FRS 11                      Accounting for Acquisitions of Interests in Joint Operations
                   Amendments to FRS 101                     Disclosure Initiative
                   Amendments to FRS 116 and 138             Clarification of Acceptable Methods of Depreciation and Amortisation
                   Amendments to FRS 127                     Equity Method in Separate Financial Statements

                   The adoption of the above Amendments to FRSs does not have any material impact on the financial statements of the Group and the
                   Company.
              (b)   Amendments to FRSs that are not yet effective

                   The Group and the Company have not applied the following Amendments to FRSs that have been issued by MASB but are not yet
                   effective:


                                                                                             Effective for financial periods
                   Amendments to FRSs                                                         beginning on or after

                   Amendments to FRS 107    Disclosure Initiative                            1 January 2017
                   Amendments to FRS 112    Recognition of Deferred Tax Assets for Unrealised Losses  1 January 2017
                   Amendments to FRS 12     Annual Improvements to FRSs 2014-2016 Cycle      1 January 2017
                   Amendments to FRS 2      Classification and Measurement of Share-Based Payment   1 January 2018
                                              Transactions
                   Amendments to FRS 9      Financial Instruments                            1 January 2018
                   Amendments to FRS 10 and   Sale or Contribution of Assets between an Investor and its   Deferred
                     FRS 128                  Associate or Joint Venture

                   The Amendments to FRSs are expected to have no material impact on the financial statements of the Group and the Company
                   upon their initial application except as discussed below:

                   FRS 107: Disclosure Initiative

                   The Amendments to FRS107 Statement of Cash Flows requires an entity to provide disclosures that enable users of the financial
                   statements to evaluate changes in liabilities arising from financing activities, including both changes arising from cash flows and
                   non-cash changes. On initial application of this amendment, entities are not required to provide comparative information for
                   preceding periods. These amendments are effective for annual periods beginning on or after 1 January 2017, with early application
                   permitted. Application of amendments will result in additional disclosures to be provided by the Group and the Company.
   107   108   109   110   111   112   113   114   115   116   117