MKH Annual Report 2018

197 MKH Berhad Annual Report 2018 40. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (Cont’d) (iii) Foreign currency risk (Cont’d) Sensitivity analysis for foreign currency risk The following table demonstrates the sensitivity of the Group’s profit for the financial year to a reasonably possible change in the USD exchange rate against their respective functional currencies, with all other variables held constant. Profit for the financial year 2018 2017 The Group RM RM USD/RM Strengthened 5% 410,400 491,700 Weakened 5% (410,400) (491,700) USD/RMB Strengthened 3% 34,600 105,100 Weakened 3% (34,600) (105,100) USD/IDR Strengthened 5% (7,589,100) (9,657,800) Weakened 5% 7,589,100 9,657,800 Translation reserve 2018 2017 The Group RM RM IDR/RM Strengthened 5% 3,689,200 381,790 Weakened 5% (3,689,200) (381,790) RMB/RM Strengthened 3% 827,100 829,269 Weakened 3% (827,100) (829,269) NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 SEPTEMBER 2018