YINSON HOLDINGS BERHAD | INTEGRATED ANNUAL REPORT 2024 202 NOTES TO THE FINANCIAL STATEMENTS For the financial year ended 31 January 2024 2. SUMMARY OF MATERIAL ACCOUNTING POLICIES (CONTINUED) 2.5 Fair value measurement (continued) The Group’s senior management determines the policies and procedures for recurring fair value measurement, such as investment properties. External valuers are involved for valuation of significant assets. Involvement of external valuers is decided by the senior management after discussion with and approval by the Company’s audit committee. Selection criteria include market knowledge, reputation, independence and whether professional standards are maintained. The senior management decides, after discussions with the Group’s external valuers, which valuation techniques and inputs to use for each case. At each reporting date, the senior management analyses the movements in the values of assets and liabilities which are required to be re-measured or re-assessed based on the Group’s accounting policies. For this analysis, the senior management verifies the major inputs applied in the latest valuation by agreeing the information in the valuation computation to contracts and other relevant documents. The senior management, in conjunction with the Group’s external valuers, also compares the changes in the fair value of each asset and liability with relevant external sources to determine whether the change is reasonable. For the purpose of fair value disclosures, the Group has determined classes of assets and liabilities on the basis of the nature, characteristics and risks of the asset or liability and the level of the fair value hierarchy as explained above. 2.6 Revenue from contracts with customers The Group and the Company recognise revenue to depict the transfer of promised goods or services to the customer in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Revenue is recognised when a customer obtains control of goods or services, i.e. when the customer has the ability to direct the use of and obtain the benefits from the goods or services. A five-step process is applied before revenue can be recognised: Step 1: Identify contracts with customers; Step 2: Identify the separate performance obligations; Step 3: Determine the transaction price of the contract; Step 4: Allocate the transaction price to each of the separate performance obligations; and Step 5: Recognise the revenue as each performance obligation is satisfied. The specific recognition criteria described below must also be met before revenue is recognised.
RkJQdWJsaXNoZXIy NDgzMzc=