111 / 188
107
NOTES TO THE FINANCIAL STATEMENTS
F i m a C o r p o r at i o n B e r h a d ( 2 1 1 8 5 - P ) •
A n n u a l R e p o r t 2 0 1 8
2.
SIGNIFICANT ACCOUNTING POLICIES (CONT’D.)
2.2 New FRSs, Amendments to FRS and IC Interpretations (Cont’d.)
(c) Malaysian Financial Reporting Standards (“MFRS”) Framework (Cont’d.)
The Group has not completed its assessment of the financial effects of the differences between FRS and accounting
standards under the MFRS Framework. Accordingly, the financial performance and financial position as disclosed
in these financial statements for the year ended 31 March 2018 could be different if prepared under the MFRS
Framework.
The Group expects to be in a position to fully comply with the requirements of the MFRS Framework for the
financial year ending 31 March 2019.
2.3 Summary of Significant Accounting Policies
(a) Basis of Consolidation
The consolidated financial statements comprise the financial statements of the Company and its subsidiary
companies as at the reporting date. The financial statements of the subsidiary companies used in the preparation
of the consolidated financial statements are prepared for the same reporting date as the Company. Consistent
accounting policies are applied for like transactions and events in similar circumstances.
The Company controls an investee if and only if the Company has the following:
(i)
Power over the investee (i.e. existing rights that give it the current ability to direct the relevant activities of the
investee);
(ii) Exposure, or rights, to variable returns from its investment with the investee; and
(iii)
The ability to use its power over the investee to affects its returns.
When the Company has less than a majority of the voting rights of an investee, the Company considers the
following in assessing whether or not the Company’s voting rights in an investee are sufficient to give it power over
the investee:
(i)
The size of the Company’s holding of voting rights relative to the size and dispersion of holdings of the other
vote holders;
(ii) Potential voting rights held by the Company, other vote holders or other parties;
(iii) Rights arising from other contractual arrangements; and
(iv) Any additional facts and circumstances that indicate that the Company has, or does not have, the current
ability to direct the relevant activities at the time that decisions need to be made, including voting patterns at
previous shareholders’ meetings.