Annual Report 2022

220 Transport International Holdings Limited 2022 Annual Report NOTES TO THE FINANCIAL STATEMENTS (Expressed in Hong Kong dollars unless otherwise indicated) 22 Accounts receivable 2022 2021 $’000 $’000 Trade and other receivables 924,397 584,076 Interest receivable 33,132 21,421 Less: loss allowance (note 22(b)) (360) (360) 957,169 605,137 All of the accounts receivable are expected to be recovered within one year. (a) Ageing analysis Included in accounts receivable are trade receivables (net of loss allowance) with the following ageing analysis, based on the due date, as of the end of the reporting period: 2022 2021 $’000 $’000 Current 59,946 62,636 Less than 1 month past due 96,725 60,320 1 to 3 months past due 51,964 52,107 More than 3 months past due 126,903 89,425 335,538 264,488 According to the Group’s credit policy set out in note 32(a) to the financial statements, the credit period granted to customers is generally between 30 days and 90 days. Therefore, all the balances which are not past due as disclosed above are within three months from the invoice date. (b) Loss allowance of trade receivables Loss allowance in respect of trade receivables are recorded using an allowance account unless the Group is satisfied that recovery of the amount is remote, in which case the loss allowance is written off against trade receivables directly (see note 1(n)(i)). No movement in the loss allowance account in respect of trade receivables during the year: 2022 2021 $’000 $’000 Balance at 1 January and 31 December 360 360 Loss allowance of receivables are measured as the present value of all expected cash shortfalls (i.e. the difference between the cash flows due to the Group in accordance with the contract and the cash flows that the Group expects to receive) (see note 1(n)(i)).