Fraser & Neave Holdings Bhd Annual Report 2019

A N N U A L R E P O R T 2 0 1 9 06 Financial Statements 187 NOTES TO THE FINANCIAL STATEMENTS 20. REVENUE (CONTINUED) (B) NATURE OF GOODS AND SERVICES The following information reflects the typical transactions of the Group and the Company: Nature of goods or services Timing of recognition or method used to recognise revenue Significant payment terms Variable element in consideration Food and beverages Revenue is recognised when the goods are delivered and accepted by the customers at their premises. Credit period ranging from 30 to 60 days from invoice date. Trade incentives, discounts, returns and other rebates are awarded to customers as contracted and where relevant, subject to certain terms and conditions. Dividend income Dividend income is recognised in profit or loss on the date that the Company’s right to receive payment is established, which in the case of quoted securities is the ex-dividend date. Not applicable. Not applicable. (C) TRANSACTION PRICE ALLOCATED TO THE REMAINING PERFORMANCE OBLIGATIONS The Group applies the practical expedient on exemption on disclosure of information on remaining performance obligations that have original expected durations of one year or less. (D) SIGNIFICANT JUDGEMENTS AND ASSUMPTIONS ARISING FROM REVENUE RECOGNITION The Group estimates the variable consideration for expected future incentives based on maximum achievement criteria of set targets. 21. FINANCE INCOME Group Company 2019 RM’000 2018 RM’000 2019 RM’000 2018 RM’000 Interest income of financial assets calculated using the effective interest method that are: – at amortised cost 15,196 16,047 28,998 18,009 – other finance income 27 – – – 15,223 16,047 28,998 18,009 Recognised in profit or loss 15,223 16,047 28,998 18,009 22. FINANCE COSTS Group Company 2019 RM’000 2018 RM’000 2019 RM’000 2018 RM’000 Interest expense of financial liabilities that are not at fair value through profit or loss: – bank borrowings 4,271 15,405 – – Other finance costs 284 166 – – 4,555 15,571 – – Recognised in profit or loss 4,555 15,571 – –