2020 UEM Edgenta Annual Report

39. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (CONTD.) f. Fair value F inancial instruments that are not measured at fair value and whose carrying amounts are reasonable approximation of fair value I ncluded in these classes of financial instruments are certain financial instruments that are not carried at fair value and whose carrying amounts are reasonable approximation of fair value: Note Trade and other receivables 20 Cash, bank balances and deposits 23 Borrowings 27 Trade and other payables 28 T he carrying amounts of these financial assets and financial liabilities are reasonable approximation of fair values due either to the short term nature or insignificant impact of discounting or that they are floating rate instruments that are repriced to market interest rates on or near the reporting date. Determination of fair value The following table provides the fair value measurement hierarchy of the Group’s assets and liabilities: Group RM’000 Significant observable inputs Level 2 2020 Assets measured at fair value: Short term investments* 11,799 2019 Assets measured at fair value: Short term investments** 62,463 * The valuation date of these financial instruments is 31 December 2020. ** The valuation date of these financial instruments is 31 December 2019. There have been no transfers between levels during the period. Short term investments are valued based on currently available deposits with similar terms and maturities. ANNUAL REPORT 2020 295 1 2 3 4 5 6 7 8