Serba Dinamik Annual Report 2021

Registration No: 201501042584 (1167905-P) Serba Dinamik Holdings Berhad (Incorporated in Malaysia) 42 3. Significant accounting policies (continued) (n) Revenue and other income (i) Revenue from contract with customers Revenue is measured based on the consideration specified in a contract with a customer in exchange for transferring goods or services to a customer, excluding amounts collected on behalf of third parties. The Group or the Company recognises revenue when (or as) it transfers control over a product or service to customer. An asset is transferred when (or as) the customer obtains control of the asset. The Group or the Company transfers control of a good or service at a point in time unless one of the following overtime criteria is met:  the customer simultaneously receives and consumes the benefits provided as the Group or the Company performs;  the Group’s or the Company’s performance creates or enhances an asset that the customer controls as the asset is created or enhanced; or  the Group’s or the Company’s performance does not create an asset with an alternative use and the Group or the Company has an enforceable right to payment for performance completed to date. (ii) Rental income Rental income is recognised in profit or loss as it accrues, based on rates agreed with tenants. (iii) Dividend income Dividend income is recognised in profit or loss on the date that the Group’s or the Company’s right to receive payment is established, which in the case of quoted securities is the ex-dividend date. (iv) Interest income Interest income is recognised as it accrues using the effective interest method in profit or loss except for interest income arising from temporary investment of borrowings taken specifically for the purpose of obtaining a qualifying asset which is accounted for in accordance with the accounting policy on borrowing costs. (v) Management fees Management fees are recognised in profit or loss as it accrues at contracted rates.