Excel Force MSC Berhad Annual Report 2016

EXCEL FORCE MSC BERHAD ANNUAL REPORT 2016 100 Notes to the Financial Statements 31 December 2016 (cont’d) 31. FINANCIAL INSTRUMENTS (cont’d) (b) Categories of financial instruments (cont’d) Other financial liabilities Total RM RM Financial liabilities Borrowings 6,202,218 6,202,218 Trade and other payables 3,577,383 3,577,383 9,779,601 9,779,601 Company Loans and receivables Fair value through profit or loss Total 2015 RM RM RM Financial assets Trade and other receivables, net of prepayments 9,543,773 - 9,543,773 Cash and bank balances 8,975,923 - 8,975,923 Short term funds - 9,607,270 9,607,270 18,519,696 9,607,270 28,126,966 Other financial liabilities Total RM RM Financial liabilities Borrowings 6,202,218 6,202,218 Trade and other payables 2,213,815 2,213,815 8,416,033 8,416,033 (c) Methods and assumptions used to estimate fair value The fair values of financial assets and financial liabilities are determined as follows: (i) Financial instruments that are not carried at fair value and whose carrying amounts are at reasonable approximation of fair value The carrying amounts of certain financial assets and liabilities, such as trade and other receivables, trade and other payables and current amounts owing by subsidiaries are reasonable approximation of fair value due to their short-term nature. The carrying amounts of the current portion of loans and borrowings are reasonable approximations of fair values due to the insignificant impact of discounting.