Fraser & Neave Holdings Bhd Annual Report 2021

2. SIGNIFICANT ACCOUNTING POLICIES #CONTINUED$ #T$ FAIR VALUE MEASUREMENTS Fair value of an asset or a liability, except for share-based payment and lease transactions, is determined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The measurement assumes that the transaction to sell the asset or transfer the liability takes place either in the principal market or in the absence of a principal market, in the most advantageous market. For non-financial asset, the fair value measurement takes into account a market participant’s ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use. When measuring the fair value of an asset or a liability, the Group uses observable market data as far as possible. Fair value is categorised into di!erent levels in a fair value hierarchy based on the input used in the valuation technique as follows: Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities that the Group can access at the measurement date. Level 2: inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 3: unobservable inputs for the asset or liability. The Group recognises transfers between levels of the fair value hierarchy as of the date of the event or change in circumstances that caused the transfers. 3. PROPERTY, PLANT AND EQUIPMENT Group Note Freehold land RM’000 Buildings RM’000 Plant and machinery RM’000 Assets under construction RM’000 * Others RM’000 Total RM’000 COST At 1 October 2019 97,890 576,361 1,185,397 119,003 288,359 2,267,010 Additions – 133 2,185 201,889 3,216 207,423 Transfer to intangible assets 7 – – – (648) – (648) Disposals – (19) (4,603) – (8,993) (13,615) Written o! – – (720) – (4,194) (4,914) Reclassifications – 28,250 85,436 (117,054) 3,368 – E!ect of movements in exchange rates (979) (8,442) (16,055) (740) (1,707) (27,923) At 30 September 2020/ 1 October 2020 96,911 596,283 1,251,640 202,450 280,049 2,427,333 Additions – 57 3,021 132,779 9,331 145,188 Acquisition through business combination 8 – – 366 – 685 1,051 Transfer to intangible assets 7 – – – (176) – (176) Disposals – – (591) – (10,819) (11,410) Written o! – – (1,565) – (3,687) (5,252) Reclassifications – 1,953 46,546 (49,695) 1,196 – E!ect of movements in exchange rates (1,280) (11,257) (21,389) (4,150) (2,319) (40,395) At 30 September 2021 95,631 587,036 1,278,028 281,208 274,436 2,516,339 Financial Statements 193 Fraser & Neave Holdings Bhd ! Annual Report 2021