Annual Report
2015
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DAYANG ENTERPRISE HOLDINGS BHD
(712243-U)
85
2.
Significant accounting policies (cont’d)
(m) Repairs and maintenance
Repairs and maintenance costs are recognised in the statement of profit or loss in the period they
are incurred. Dry docking expenditure is capitalised and depreciated over a period of 5 years.
(n) Contingent liabilities
Where it is not probable that an outflow of economic benefits will be required, or the amount cannot
be estimated reliably, the obligation is not recognised in the statements of financial position and is
disclosed as a contingent liability, unless the probability of outflow of economic benefits is remote.
Possible obligations, whose existence will only be confirmed by the occurrence or non-occurrence
of one or more future events, are also disclosed as contingent liabilities unless the probability of
outflow of economic benefits is remote.
(o) Earnings per ordinary share
The Group presents basic and diluted earnings per share data for its ordinary shares (“EPS”).
Basic EPS is calculated by dividing the profit or loss attributable to ordinary shareholders of the
Company by the weighted average number of ordinary shares outstanding during the period,
adjusted for own shares held.
Diluted EPS is determined by adjusting the profit or loss attributable to ordinary shareholders and
the weighted average number of ordinary shares outstanding adjusted for own shares held for the
effects of all dilutive potential ordinary shares.
(p) Operating segments
An operating segment is a component of the Group that engages in business activities from which it
may earn revenues and incur expenses, including revenues and expenses that relate to transactions
with any of the Group’s other components. An operating segment’s operating results are reviewed
regularly by the chief operating decision maker, which in this case is the Managing Director of
the Group, to make decisions about resources to be allocated to the segment and to assess its
performance, and for which discrete financial information is available.
(q) Foreign currency transactions
Transactions in foreign currencies are translated to the respective functional currencies of group
entities at the exchange rates at the transaction dates.
Monetary assets and liabilities denominated in foreign currencies at the end of the reporting period
are retranslated to the functional currency at the exchange rates at that date.
Non-monetary assets and liabilities denominated in foreign currencies are not retranslated at the
end of the reporting date except for those that are measured at fair value are retranslated to the
functional currency at the exchange rate at the date that the fair value was determined.
Foreign currency differences arising on retranslation are recognised in profit or loss, except for
differences arising on the retranslation of available-for-sale equity instruments or a financial instrument
designated as a hedge of currency risk, which are recognised in other comprehensive income.
Notes to the
Financial Statements
(cont’d)
