MKH Annual Report 2020

181 MKH BERHAD 20. RECEIVABLES, DEPOSITS AND PREPAYMENTS (CONT’D) (f) Finance lease receivables The Group 2020 RM 2019 RM Receivable within 1 year Gross investment in finance lease receivables 1,108,545 1,108,695 Less: Unearned finance income (88,856) (88,856) Present value of minimum lease payment receivables 1,019,689 1,019,839 Less: Allowance for impairment loss  At beginning of year (1,019,839) (1,020,339)  No longer required 150 500  At end of year (1,109,689) (1,019,839) - - The finance lease receivables bear effective interest at 8.15% (2019: 8.15%) per annum. (g) Included in other receivables of the Group and the Company are: (i) an amount of RM4,735,730 (2019: RM17,124,894) being indirect taxes paid in advance to tax authorities; (ii) an amount of RM4,748,005 (2019: RM5,996,149) being amount due from Plasma Farmers Cooperative in Indonesia; and (iii) The movement of allowance account used to record the impairment of other receivables is as follows: The Group The Company 2020 RM 2019 RM 2020 RM 2019 RM At beginning of year 5,026,398 518,564 33,830 36,530 Additions - 4,531,362 - - No longer required (41,250) (23,528) (11,250) (2,700) At end of year 4,985,148 5,026,398 22,580 33,830 The impaired other receivables at the reporting date relate to debtors that have defaulted on payment. These receivables are not secured by any collateral or credit enhancements. Notes to the Financial Statements FOR THE FINANCIAL YEAR ENDED 30 SEPTEMBER 2020