MKH Annual Report 2020

185 MKH BERHAD 23. CONTRACT ASSETS AND LIABILITIES The Group 2020 RM 2019 RM Contract assets 345,870,566 281,297,699 Contract liabilities - (2,141,093) Net 345,870,566 279,156,606 At beginning of the year 279,156,606 198,704,864 Consideration paid/payable to customers 15,217,025 169,975,605 Revenue recognised during the year (Note 4) 512,610,693 698,864,661 Progress billing during the year (461,113,758) (788,388,524) 345,870,566 279,156,606 Revenue from property development activities is recognised over time using the cost-based input method, which is measured on the basis of the Group’s efforts or inputs to the property development costs incurred to date relative to the total expected property development costs. The transaction price allocated to the unsatisfied performance obligations as at 30 September 2020 is RM1,018,833,182 (2019: RM1,115,128,882). The remaining performance obligations are expected to be recognised within the remaining 4 years. 24. BIOLOGICAL ASSETS The Group 2020 RM 2019 RM Net Book Value At beginning of year 5,181,734 5,960,459 Changes in fair value (913,440) (1,170,893) Effect of movements in exchange rate (35,027) 392,168 At end of year 4,233,267 5,181,734 The biological assets of the Group comprise fresh fruit bunches (“FFB”) prior to harvest. Management has considered FFB less than 15 days before harvesting in the calculation of fair value. FFB more than 15 days before harvesting are excluded from the valuation as their fair values are considered negligible. Notes to the Financial Statements FOR THE FINANCIAL YEAR ENDED 30 SEPTEMBER 2020