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Frontken Corporation Berhad (651020-T)
ANNUAL REPORT
2016
24. TRADE PAYABLES, OTHER PAYABLES AND ACCRUED EXPENSES (CONT’D)
(a) Defined benefit plan – Taiwan (Cont’d)
The Group
2016
2015
(Decrease)/
(Decrease)/
Increase
Increase
Effect on defined benefit obligations
Discount rate (per annum)
- strengthened by 0.25%
(311,974)
(250,007)
- weakened by 0.25%
328,951
263,346
Expected rate of salary increases (per annum)
- strengthened by 0.25%
318,375
254,803
- weakened by 0.25%
(303,625)
(243,206)
(b) Defined benefit plan – Philippines
The Group conforms to the minimum regulatory benefit under prevailing law and regulations which is of the defined
benefit type.
The normal retirement age is 60. The plan provides a benefit equal to 22.5 days’ salary for every year of credited
service. The regulatory benefits are paid in lump sum upon retirement.
Movement in the present value of defined benefit obligations:
The Group
2016
2015
RM
RM
At 1 January
227,743
152,034
Current service costs and interest
37,491
31,167
Actuarial losses in other comprehensive income
4,568
14,982
Exchange difference
(734)
29,560
At 31 December
269,068
227,743
Expenses recognised in profit or loss:
The Group
2016
2015
RM
RM
Current service costs and interests
37,491
31,167
Notes To The Financial Statements
(cont’d)