Frontken Berhad Annual Report 2017

99 Frontken Corporation Berhad (651020-T) ANNUAL REPORT 2017 18. AMOUNTS OWING BY/TO SUBSIDIARIES (CONT’D) The Company 2017 2016 RM RM Allowance for impairment losses:- At beginning of the year (2,974,451) (1,498,371) Allowance for impairment losses (270,000) (1,476,080) At end of the year (3,244,451) (2,974,451) The amounts owing by/to the subsidiaries arose mainly from unsecured advances and payments made on behalf. The amount arising from unsecured advances bear interest ranging from 3.0% to 4.9% (2016: 3.0% to 4.9%) per annum and is repayable on demand whilst the amount arising from payments made on behalf is interest-free. 19. SHORT-TERM INVESTMENTS The Group The Company 2017 2016 2017 2016 RM RM RM RM Unit trust 3,508,429 6,753,232 2,108,006 5,390,526 Money market fund - 2,243,001 - - 3,508,429 8,996,233 2,108,006 5,390,526 Fair value 3,508,429 8,996,233 2,108,006 5,390,526 20. SHARE CAPITAL The Group/The Company 2017 2016 2017 2016 Number of shares RM RM Ordinary shares of RM0.10 each: Authorised At beginning/end of year N/A 5,000,000,000 N/A 500,000,000 N/A Not applicable pursuant to Companies Act 2016 which came into operation on 31 January 2017 as disclosed in item (ii) below. Issued and fully paid-up At beginning of year 1,053,435,130 1,053,435,130 105,343,513 105,343,513 Transfer from share premium account - - 13,581,839 - At end of year 1,053,435,130 1,053,435,130 118,925,352 105,343,513 (i) The holders of ordinary shares (except treasury shares) are entitled to receive dividends as and when declared by the Company, and are entitled to one vote per ordinary share at meetings of the Company. (ii) On 31 January 2017, the concepts of authorised share capital and par value of share capital were abolished in accordance with the Companies Act 2016. Consequently, the amount standing to the credit of the Company’s share premium account became part of the Company’s share capital pursuant to the transitional provisions set out in Section 618(2) of the Companies Act 2016. There is no impact on the numbers of ordinary shares in issue or the relative entitlement of any of the members as a result of this transition. Notes To The Financial Statements (cont’d)