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FIMA CORPORATION BERHAD
(21185-P) |
Annual Report
2016
NOTES TO THE FINANCIAL
STATEMENTS 31 MARCH 2016
(contd.)
15. GOODWILL ON CONSOLIDATION
Group
2016
2015
RM’000
RM’000
Restated
At 31 March 2015/2016
510
510
The entire goodwill is in respect of the acquisition of the subsidiaries in Indonesia.
(a) Key Assumptions used in Value-In-Use Calculations
The key assumptions used in value-in-use calculations are as follows:
2016
2015
%
%
Discount rate
1
10
10
Terminal growth rate
2
5
5
Assumptions:
1.
Pre-tax discount rate applied to the cash flow projections
2.
Weighted average growth rate used to extrapolate cash flows beyond the budget period
(b) Sensitivity analysis
In assessing value-in-use and fair value, management believes that no reasonably possible change in
any of the above key assumptions would cause the carrying value of the goodwill to materially exceed
its recoverable amount.