Kimlun Corporation Berhad Annual Report 2020

200901023978 (867077-X) Kimlun Corporation Berhad (Incorporated in Malaysia) 21. Trade and other receivables (cont'd) (a) Trade receivables (cont'd) Movement in allowance accounts: 2020 2019 RM RM At 1 January 14,286,048 14,895,398 Charge for the year (Note 7) 3,286,616 630,464 Reversal of impairment loss (Note 7) (821,305) (209,039) Written off (120,405) (1,030,775) At 31 December 16,630,954 14,286,048 (b) Amount due from subsidiaries 22. Cash and bank balances 2020 2019 2020 2019 RM RM RM RM Cash on hand and at banks 35,723,910 42,812,707 144,098 588,331 Short term deposits with licensed banks 21,750,827 22,127,558 - - Cash and bank balances (Note 21) 57,474,737 64,940,265 144,098 588,331 Group The amount due from subsidiaries are unsecured, bear interest at 1.75%-3.30% (2019: 3.30%-3.35%) per annum and are repayable on demand. Short-term deposits with licensed banks of the Group amounting to RM21,750,827 (2019: RM22,127,558) are pledged as security for borrowings and therefore not available for use (Note 23). Included in cash at banks of the Group are amounts of RM1,682 (2019: RM1,682) held pursuant to Section 7A of the Housing Developers (Control and Licensing) Act, 1966 and therefore restricted from use on other operations. Cash at banks earns interest at floating rates based on daily bank deposit rates. Short-term deposits are made for varying periods of between one month to three months (2019: one month to three months) depending on the immediate cash requirements of the Group and earn interest at respective short-term deposit rates. The weighted average effective interest rates as at 31 December 2020 for the Group was 2.08% (2019: 2.80%). Trade receivables that are individually determined to be impaired at the reporting date relate to debtors that have defaulted on payments. These receivables are not secured by any collateral or credit enhancements. Group Company - 79 - Annual Report 2020 136 NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2020