GHL System Berhad Annual Report 2018

G H L S y s t e m S B e r h a d ( 2 9 3 0 4 0 - D ) 116 NOT ES TO THE F I NANC I A L STAT EMENTS 3 1 D e c e m b e r 2 0 1 8 C O N T ’ D 21. TRADE AND OTHER RECEIVABLES Group Company 2018 2017 2018 2017 RM RM RM RM Trade receivables Third parties 73,397,896 56,069,089 4,625,679 3,414,351 Subsidiaries - - 12,008,533 11,503,876 73,397,896 56,069,089 16,634,212 14,918,227 Accumulated impairment losses - third parties (8,428,632) (7,955,623) (1,370,781) (1,254,871) - subsidiaries - - (5,583,854) (3,239,485) (8,428,632) (7,955,623) (6,954,635) (4,494,356) 64,969,264 48,113,466 9,679,577 10,423,871 Other receivables Other receivables 67,094,679 17,518,775 268,169 906,661 Amounts owing by subsidiaries - - 58,732,339 61,335,869 Deposits 2,534,454 1,090,817 110,023 114,809 69,629,133 18,609,592 59,110,531 62,357,339 Accumulated impairment losses - other receivables (260,877) (230,436) (158,866) (158,866) - amounts owing by subsidiaries - - (39,743,649) (26,932,345) (260,877) (230,436) (39,902,515) (27,091,211) 69,368,256 18,379,156 19,208,016 35,266,128 Total receivables 134,337,520 66,492,622 28,887,593 45,689,999 Prepayments 4,125,285 2,449,991 1,455,050 698,585 138,462,805 68,942,613 30,342,643 46,388,584 (a) Total receivables are classified as financial assets and are measured at amortised cost. (b) Trade receivables are non-interest bearing and the normal trade credit terms granted by the Group and the Company ranges from 30 to 180 days (2017: 30 to 180 days). They are recognised at their original invoice amounts which represent their fair values on initial recognition. (c) Amounts owing by subsidiaries are non-trade in nature, unsecured, payable within next 12 months and interest-free. (d) Included in other receivables of the Group is an amounting of RM43,291,234 (2017: Nil) being the Payment Holding Account with Payment Network Malaysia Sdn. Bhd. (“PAYNET”), which was pending for settlement payment owing to Merchant. (e) Impairment for trade receivables that do not contain a significant financing component are recognised based on the simplified approach using the lifetime expected credit losses.