FINANCIAL STATEMENTS - Mewah Group

MEWAH INTERNATIONAL INC.NOTES TOTHE FINANCIAL STATEMENTSFor the financial year ended 31 December 20123. CRITICAL ACCOUNTING ESTIMATES, ASSUMPTIONS AND JUDGEMENTS (CONTINUED)(b) Impairment of loans and receivables (continued)If the net present values of estimated cash flows had been higher or lower by 5% from management’s estimates for all past dueloans and receivables, the Group’s allowance for impairment would have been lower or higher by US$725,000 correspondingly toprofit or loss.(c) Uncertain tax positionsThe Group is subject to income taxes in numerous jurisdictions. In determining the income tax liabilities, management has estimatedthe amount of capital allowances, incentives and the deductibility of certain expenses (“uncertain tax positions”) at each taxjurisdiction. Where the final outcome of these matters is different from the amounts that were initially recorded, such as due tochanges in tax rules or revised interpretations of existing tax laws and precedent such differences will impact the income taxprovisions in the corresponding periods.(d) Useful lives of plant and equipmentThe cost of plant and equipment are depreciated on a straight-line basis over their useful lives, which management estimates to beof 20 years.These estimates could change significantly as a result of technical innovations.If the actual useful lives of these plant and equipment had been higher or lower by 5% from management estimates, the carryingamount of the plant and equipment would have been higher or lower by US$666,000 and US$736,000 and correspondingly toprofit or loss.4. REVENUEGroup2012 2011US$’000US$’000Sale of agricultural products including palm based edible oils and fats in bulk 2,649,389 3,187,866Sale of agricultural products including palm based edible oils and fats in the form ofconsumer packs 971,392 1,280,0673,620,781 4,467,93366