Tropicana Corporation Berhad Annual Report 2019

34. CONTRACT LIABILITIES (CONT’D.) (a) Deferred license fees Group 2019 2018 RM’000 RM’000 Cost At 1 January 214,286 211,884 Additions 2,433 2,402 At 31 December 216,719 214,286 Accumulated amortisation At 1 January 72,263 67,861 Amortisation during the financial year (Note 9) 4,466 4,402 At 31 December 76,729 72,263 Carrying amount 139,990 142,023 Represented by: Current 4,466 4,402 Non-current 135,524 137,621 139,990 142,023 The deferred license fees refer to accrual and amortisation of license fees over 40 years which will expire on 9 October 2051. (b) Deferred income The deferred income of the Group is in respect of advance tuition fees received by the private school operator. It will be recognised as revenue upon services performed. (c) Contract liabilities from property development Group 2019 2018 RM’000 RM’000 At 1 January – – Acquisition of subsidiaries 244,737 – Revenue recognised during the financial year (200,280) – Progress billings issued during the financial year 108,822 – At 31 December 153,279 – Revenue from property development activities are recognised over time using the input method, which is based on the actual incurred to date on the property development project as compared to the total budgeted cost for the respective development projects. For the financial year ended 31 December 2019 Notes to the Financial Statements Tropicana Corporation Berhad Annual Report 2019 pg 228 About Tropicana Our Strategic Performance Our Leadership