NOTE 4: PROPERTY AND EQUIPMENT

12 Months Ended

Dec. 31, 2023

Notes

NOTE 4: PROPERTY AND EQUIPMENT

NOTE 4: PROPERTY AND EQUIPMENT

The Company’s property and equipment relating to continuing operations consist of the following:

			December 31,
		2023			2022
Machinery & equipment	$	50,000		$	50,000
Furniture and equipment and leasehold improvements		14,773			14,772
Tradeshow booth		162,200			-
		226,973			64,772
Less: Accumulated depreciation		(70,630)			(11,202)
	$	156,343		$	53,570

On April 29, 2022, the Company issued 1,000,000 shares of common stock in connection with the closing of the purchase of property and equipment in Wray, Colorado, by the Company’s subsidiary CFN Real Estate II, LLC. The total purchase price of the property was $700,000 or $0.70 per share.  The Company allocated $521,810 to the building, $22,719 to the land and $155,471 to the equipment purchased.  The property was reclassified to assets held for sale at December 31, 2022 (see Note 8).

In June 2022, CNP sold equipment with a value of $212,067 for settlement of accounts payable of $300,000. Accordingly, the Company recorded a $87,933 gain on the sale, which is included in the impairment expense.

At December 31, 2022, management determined that certain events and circumstances occurred that indicated that the net book value of CNP’s long-lived assets may not be recoverable.  As such, the Company recorded an impairment charge of $3,276,193 to record the estimated residual value of the property and equipment, which was determined to be $50,000. This remaining residual value was fully depreciated in the third quarter of 2023.

Depreciation expense for the years ended December 31, 2023 and 2022 amounted to $59,428 and $1,612,334, respectively.