Wah Seong Corporation Berhad Annual Report 2020

151 ANNUAL REPORT 2020 NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2020 14 INVESTMENT IN EQUITY INSTRUMENTS Investment in equity instruments is in relation to quoted shares in Malaysia held by the Group. Gains or losses arising from fair value changes of investment in equity instruments During the financial year, the Group recognised a loss of RM1,000 (2019: nil) in the profit or loss arising from fair value changes of its investment in equity instruments. The method and assumptions applied in determining the fair value of financial assets are disclosed in Note 46. 15 INVENTORIES Group 2020 2019 RM’000 RM’000 Raw materials 74,416 100,498 Work-in-progress 33,391 67,702 Manufactured and trading goods 62,876 63,171 Consumables 18,482 29,780 Goods in transit 6,500 5,927 195,665 267,078 16 TRADE AND OTHER RECEIVABLES Group Company 2020 2019 2020 2019 RM’000 RM’000 RM’000 RM’000 Gross trade receivables 300,653 333,912 - - Less: Allowance for impairment loss (28,421) (21,386) - - 272,232 312,526 - - Gross other receivables 75,123 114,550 12,593 13,724 Less: Allowance for impairment loss (46,479) (32,881) (12,110) (7,862) 28,644 81,669 483 5,862 Prepaid supplies 35,771 25,100 - - Deposits 13,533 12,571 51 48 Prepayments 9,373 7,982 234 159 Total net receivables 359,553 439,848 768 6,069 Value added tax receivables amounting to RM3,465,000 (2019: RM15,885,000) are included within ‘gross other receivables’. The other receivables are considered performing except for amount of RM32,825,000 (2019: RM32,745,000) which is deemed underperforming and hence an ECL allowance of RM17,092,000 (2019: RM16,117,000) was made during the financial year.