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FIMA CORPORATION BERHAD
(21185-P) |
Annual Report
2016
NOTES TO THE FINANCIAL
STATEMENTS 31 MARCH 2016
(contd.)
2.
SIGNIFICANT ACCOUNTING POLICIES (CONTD.)
2.3 Summary of Significant Accounting Policies (Contd.)
(q) Revenue Recognition
Revenue is recognised when it is probable that economic benefits associated with the transaction
will flow to the Group and the amount of revenue can be measured reliably. Specific income
streams are recognised as follows:
(i) Sale of goods
Revenue relating to sale of goods is recognised net of sales taxes and discounts, and upon
transfer of significant risks and rewards of ownership to the buyer.
(ii) Rental income
Rental income from investment property is recognised on a straight-line basis over the term
of the lease.
(iii) Property management services
Revenue from property management is recognised when services are rendered.
(iv) Dividend income
Dividend income is recognised when the right to receive payment is established.
(v) Receipts in advance
Receipts in advance are deferred and classified under current liabilities in the statement of
financial position.
(vi) Interest income
Interest income is recognised using the effective interest method.
(vii) Management fees
Management fees are recognised when the Group’s right to receive payment is established.
(r) Segment Reporting
For management purposes, the Group is organised into operating segments based on their
products and services/business activities. An operating segment’s operating results are reviewed
regularly by the chief operating decision maker, who will make decisions to allocate resources
to the segments and assess the segment performance. Additional disclosures on each of these
segments are shown in Note 33.