Kimlun Corporation Berhad Annual Report 2019

Annual Report 2019 Kimlun Corporation Berhad NOTES TO THE FINANCIAL STATEMENTS For the financial year ended 31 December 2019 (cont’d) 147 33. Fair value (a) Fair values of assets Level 1 Level 2 Level 3 Total RM RM RM RM 2019 Assets for which fair values are disclosed: Investment properties - - 4,269,000 4,269,000 2018 Assets for which fair values are disclosed: Investment properties - - 9,348,000 9,348,000 (b) Note Trade and other receivables (current) 21 Cash and bank balances (current) 22 Loans and borrowings (current) 23 Loans and borrowings (non-current) 23 Lease liabilities (current) 24 Lease liabilities (non-current) 24 Trade and other payables (current) 25 Financial instruments that are not carried at fair value and whose carrying amounts are reasonable approximations of fair value The fair values of investment properties are determined by the directors using the comparable method. The following table shows an analysis of assets measured at fair value or for which fair values are disclosed by level of fair value hierarchy: The carrying amounts of the current portions of financial assets and liabilities of the Group and of the Company at the reporting date approximate fair values due to the relatively short term maturity of these financial instruments. The carrying amounts of the non-current portions of loans and borrowings and lease liabilities are reasonable approximations of fair values as the interest charged on these amounts are pegged to, or close to, market interest rates on or near the reporting date. Fair values of retention sums on construction contracts are estimated by discounting expected future cash flows at market incremental lending rates at the reporting date. The following are classes of financial instruments that are not carried at fair value and whose carrying amounts are reasonable approximations of fair values: Group