Page 43 - ar2012

39 Annual Report 2012
Notes to the Financial Statements
30 September 2012
These notes form an integral part of and should be read in conjunction with the accompanying fnancial
statements.
1 General Information
Goodland Group Limited (the “Company”) is a public limited company incorporated and domiciled in
Singapore and is listed on the Catalist Board of the Singapore Exchange Securities Trading Limited (“SGX-
ST”). The Company’s registered offce address and its principal place of business is 18 Roberts Lane, #02-01/02
Goodland Building, Singapore 218297.
The principal activity of the Company is that of an investment holding company. The principal activities of the
subsidiaries and associated companies are disclosed in Note 14 and Note 15, respectively.
The ultimate controlling parties of the Company are Mr Ben Tan Chee Beng (“Ben Tan”), Mr Alvin Tan Chee
Tiong (“Alvin Tan”), Ms Melanie Tan Bee Bee (“Melanie Tan”) and Mdm Koh Chin Kim.
The fnancial statements for the fnancial year ended 30 September 2012 were authorised for issue in accordance
with a resolution of the directors dated on the date of the Statement by Directors.
2 Signifcant Accounting Policies
(a) Basis of Preparation
The fnancial statementswhichareexpressed in SingaporeDollars (“S$”), havebeenprepared inaccordance
with the provisions of the Singapore Companies Act, Cap 50. (the “Act”) and Singapore Financial Reporting
Standards (“FRS”). The fnancial statements have been prepared under the historical cost convention,
except as disclosed in the accounting policies below.
The preparation of fnancial statements in conformity with FRS requires management to exercise its
judgement in the process of applying the Group’s accounting policies. It also requires the use of certain
critical accounting estimates and assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and contingent liabilities at the date of the fnancial statements, and the
reported amounts of revenue and expenses during the fnancial year. Although these estimates are based
on management’s best knowledge of current events and actions, actual results may differ from those
estimates. The estimates and underlying assumptions are reviewed on an ongoing basis.
Critical accounting judgements and key sources of estimation uncertainty used that are signifcant to the
fnancial statements are disclosed in Note 3 to the fnancial statements.
Adoption of New/Revised FRS
For the fnancial year ended 30 September 2012, the Group has adopted the following revised or
amendments to FRS that are mandatory for application in the said year and which are relevant to the
Group as follows:
FRS 24 (Revised) Related Party Transactions
Amendments to FRS 107 Financial Instruments: Disclosures
INT FRS 115 Agreements for the Construction of Real Estate
The adoption of these revised/amended FRS did not result in substantial changes to the Group’s accounting
policies and had no material effect on the amounts reported for the current or prior fnancial years except
for the adoption of the INT FRS 115.
INT FRS 115 Agreements for the Construction of Real Estate
INT FRS 115 clarifes when revenue and related expenses from a sale of real estate units should be recognised
if an agreement between a developer and a buyer is reached before the construction of real estate
is completed. INT FRS 115 determines that contracts which do not classify as construction contracts in
accordance with FRS 11 can only be accounted for using the percentage of completion method if the
entity continuously transfers to the buyer control and the signifcant risks and rewards of ownership of the
work in progress in its current state as construction progresses. The interpretation applies retrospectively for
annual periods beginning on or after 1 October 2011 but earlier application is permitted.