Revenue Recognition

6 Months Ended

Jun. 30, 2023

Revenue Recognition [Abstract]

REVENUE RECOGNITION

NOTE 7 – REVENUE RECOGNITION

The company derives revenue from technical research detailing the findings of its investigations to its customers under contract for specific projects. Under Topic 606, revenue is recognized when control of promised goods and services is transferred to customers, and the amount of revenue recognized reflects the consideration to which an entity expects to be entitled in exchange for the goods and services transferred. A performance obligation is a contractual promise to transfer a distinct good or service to the customer and is the unit of account under Topic 606. The transaction price of a contract is allocated to distinct performance obligations and recognized as revenue when or as the performance obligations are satisfied. The company’s contracts require significant integrated services and are accounted for as a single performance obligation, and the company recognizes revenue over the contract term at a fixed contract price.

Receivables, net for the periods presented were as follows:

	June 30, 2023		December 31, 2022
Accounts receivable	$	-	$	353,149
Contract assets – unbilled receivables		235,493		-
Total	$	235,493	$	353,149

Concentrations

During the three and six months ended June 30, 2023, the company earned revenue from two contracts with two separate customers. One customer accounted for $973,356 or 93% of revenue recognized during the six-month period. As of June 30, 2023, the company has $162,226 or 69% of accounts receivable recorded as current assets on the balance sheet related to this customer. During the three and six months ended June 30, 2022, the company earned revenue from two separate customers. One customer accounted for $162,226 or 85% of revenue recognized during the period. As of June 30, 2022, the company has $190,922 of accounts receivable recorded as current assets on the balance sheet.