Wah Seong Corporation Berhad Annual Report 2017

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2017 FINANCIAL STATEMENTS WAH SEONG CORPORATION BERHAD ANNUAL REPORT 2017 117 6 INVESTMENT PROPERTIES (CONTINUED) Fair value of investment properties is categorised as follows: Level 1 RM’000 Level 2 RM’000 Level 3 RM’000 Total RM’000 Group 2017 Land - - 12,166 12,166 Buildings - - 33,687 33,687 - - 45,853 45,853 2016 Land - - 12,166 12,166 Buildings - - 37,156 37,156 - - 49,322 49,322 Company 2017 Buildings - - 41,977 41,977 2016 Buildings - - 40,113 40,113 During the financial year, the Group and the Company carried out a review and noted there was no significant change to the fair value of these properties. Level 1 fair value is derived from quoted price in active markets for identical investment properties that the entity can access at the measurement date. Level 2 fair value is estimated using inputs other than quoted price included within Level 1 that are observable for the investment properties, either directly or indirectly. Level 3 fair value is estimated using unobservable inputs for the investment properties. The unobservable input relates to the price per square feet. The fair value of investment properties were estimated based on valuation by independent professionally qualified valuers using the comparison method.  7 INVESTMENT IN SUBSIDIARIES Company 2017 RM’000 2016 RM’000 Unquoted shares, at cost 817,334 774,471 Accumulated impairment losses (127,526) (133,664) 689,808 640,807 Advances to subsidiaries, deemed as net investment 32,393 32,393 722,201 673,200