PRG Holdings Berhad Annual Report 2018

32. FINANCIAL INSTRUMENTS (continued) (b) Categories of financial instruments 2018 2017 RM’000 RM’000 Group Financial assets Amortised cost Trade and other receivables, net of deposits for land acquisition and prepayments 81,393 82,622 Cash and bank balances 35,079 42,023 116,472 124,645 Financial liabilities Amortised cost Trade and other payables 153,724 160,352 Borrowings 46,593 28,569 200,317 188,921 Company Financial assets Amortised cost Other receivables, net of prepayments 50,730 16,954 Cash and bank balances 501 128 51,231 17,082 Financial liabilities Amortised cost Other payables 4,617 119 Borrowings 15,060 - 19,677 119 (c) Fair value information The carrying amounts of cash and banks, short term receivables and payables, short term borrowings are reasonable approximation of fair values due to their short-term nature of these financial instruments. The fair values of long term receivables and payables, long term borrowings are estimated by discounting the expected future cash flows at market incremental lending rates for similar types of financial instruments. Fair value of the borrowings of the Group and the Company are categorised as Level 2 in the fair value hierarchy. There is no transfer between levels in the hierarchy during the financial year. Fair value of long term receivables and payables of the Group and the Company are categorised as Level 3 in the fair value hierarchy. There is no transfer between levels in the hierarchy during the financial year. 2018 A N N U A L R E P O R T 156 notes to the financial statements 31 December 2018 (continued)