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LEASES
3 Months Ended
Jun. 30, 2024
Leases  
LEASES

NOTE 9 – LEASES

 

The Company has two operating leases for its office space.

 

Operating lease right-of-use assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. The discount rate used to calculate present value is incremental borrowing rate or, if available, the rate implicit in the lease. The Company determines the incremental borrowing rate for each lease based primarily on its lease term in PRC which is approximately 4.75%.

 

Operating lease expenses were $78,541 and $nil for the three months ended June 30, 2024 and 2023, respectively.

 

The components of lease expense and supplemental cash flow information related to leases for the period are as follows:

 

   Three months Ended
June 30,
 
   2024   2023 
Lease cost          
Operating lease cost  $78,541   $- 
           
Other Information          
Cash paid for amounts included in the measurement of lease liabilities  $-   $- 
Weighted average remaining lease term – operating leases (in years)   1.5    - 
Average discount rate – operating lease   4.75%   -%

 

The supplemental balance sheet information related to leases is as follows:

 

   June 30,
2024
   March 31,
2024
 
Operating leases          
Right-of-use assets  $461,986   $539,946 
Operating lease liabilities  $316,508   $314,775 

 

The undiscounted future minimum lease payment schedule as follows:

 

      
For the year ending March 31,     
2025 (9 months remaining)   324,099 
Thereafter   - 
Total undiscounted lease payments   324,099 
Less: interest   (7,591)
Total lease liabilities   316,508