RIGHT-OF-USE ASSETS

6 Months Ended

Jun. 30, 2022

Right-of-use Assets

RIGHT-OF-USE ASSETS

NOTE 4 – RIGHT-OF-USE ASSETS

Right-of-Use Assets consist of assets accounted for under ASC 842. The assets are recorded at present value using implied interest rates between 3.29% and 5.34%. Right-of-Use Assets are recorded on the balance sheet as intangible assets.

The Company has Right-of-Use Assets through leases of property under three (3) non-cancelable leases. As of June 30, 2022, the Company had two (2) properties with a lease term more than one (1) year. These lease liabilities expire June 1, 2025, and March 31, 2026. The Company has one (1) current lease liability. This lease liability expired May 15, 2022. In January 2021, the Company entered into a new, five (5) year lease for its corporate headquarters located in Plano, TX. In June 2022, the Company entered into a three (3) year lease for its new U.S. based national call center operation in Atmore, AL.

Future lease liability payments under the terms of these leases are as follows:

2022	$	40,986
2023	$	71,026
2024	$	72,044
2025	$	58,218
2026	$	11,968
Total	$	254,242
Less Interest	$	28,236
Present value of minimum lease payments	$	226,006
Less Current Maturities	$	60,452
Long Term Maturities	$	165,554

The Company also leases two (2) office/retail spaces on a month-to-month basis. Total lease expense for the three months ended June 30, 2022, and 2021, was $7,217 and $3,967, respectively. Total lease expense for the six months ended June 30, 2022, and 2021, amounted to $13,435 and $8,185, respectively. Lease expense for the 2022 is for the remaining six months of the year.