Notes
to Unaudited Condensed Consolidated Financial Statements
NOTE
1 - NATURE OF BUSINESS AND BASIS OF PRESENTATION
We
were incorporated in the State of Nevada on October 30, 2013, under the name “Bling Marketing, Inc.”. Until December 29,
2014, we were a wholesaler of jewelry, principally earrings, rings, and pendants (“BMI Business”). We recognized a minimal
number of sales from operations before the three months ending June 30, 2014 and were accordingly classified as a shell company. During
the three-month ended June 30, 2014, we began working with several distributors to sell our jewelry products to retail outlets and, as
a result, recognized sales revenue of $22,025 during the said period. On September 11, 2014, we filed a Current Report on Form 8-K indicating
that we were no longer a shell company as defined by Rule12b-2 of the Exchange Act in light of our operations through the quarter that
ended June 30, 2014.
On
December 26, 2014, we entered into an Agreement and Plan of Merger (“Nugene Merger Agreement”) with NuGene Inc., a California
corporation (“NuGene”). On December 29, 2014 (the “Closing Date”), we filed a certificate of merger in the State
of California whereby our subsidiary, NG Acquisition Inc. (“Acquisition Sub”), merged with NuGene. As a result, NuGene, the
surviving entity, became our wholly owned subsidiary. The transaction under the Nugene Merger Agreement was deemed to be a reverse merger,
whereby the Company (the legal acquirer) is considered the accounting acquiree and NuGene is considered the accounting acquirer, and
NuGene (the legal acquiree) is considered the accounting acquirer. The assets, liabilities, and operations of the acquired entity, NuGene,
were brought forward at their book value, and no goodwill was recognized.
In
connection with the NuGene Merger Agreement, we entered into a Business Transfer and Indemnity Agreement dated December 29, 2014 (the
“Indemnity Agreement”) with our former Chief Executive Officer and Director, Dena Kurland providing for:
● | The
transfer of our jewelry business operations existing on the date of the Indemnity Agreement
(the “BMI Business”); |
● | The
assumption by Ms. Kurland of all liabilities of our Company and the indemnification by Ms.
Kurland holding our Company harmless for any and all liabilities arising at or before the
date of the Indemnity Agreement; |
● | The
payment by NuGene to Ms. Kurland of $350,000 in cash; and |
● | The
surrender by Ms. Kurland of 15,000,000 shares (before giving effect to the Stock Split discussed
below) (the “Indemnity Shares”) of our Company’s common stock representing
95% of the then outstanding common stock (all of which shares have been deemed cancelled
by the Company). |
Pursuant
to the terms of the Nugene Merger Agreement, 26,052,760 shares of Company common stock and 1,917,720 Company a newly designated Series
A Preferred Stock were issued to the former NuGene shareholders. The Series A Preferred Stock was: (i) initially convertible into common
stock at a ratio of one to one, (ii) as long as there were a minimum of 900,000 shares of Series A Preferred Stock outstanding, the holders
of the Series A Preferred Stock had the right to elect a majority of the board of directors and (iii) the holders of the Series A Preferred
Stock, generally voting as a class with the holders of common stock, had for each share of Series A Preferred Stock three times the number
of votes permitted to each share of common stock.
On
December 26, 2014, our board of directors approved a 15.04 to one stock split (“Stock Split”) in the form of a stock dividend
to holders of our common stock as of that date. To affect that board action, each recipient of the stock dividend would receive 14.04
additional shares of common stock for every share of common stock held.
On
December 29, 2014, we completed the sale of 2,000,000 shares of our common stock to 18 purchasers (“Stock Placement”) for
proceeds totaling $2,000,000, including (a) $1,625,000 of cash and (b) automatic conversion of promissory notes in the principal amount
of $375,000.
NuGene
was incorporated in California in December 2006 and formed and funded by our founders, Ali Kharazmi and Mohammed Kharazmi, M.D. The initial
focus of NuGene was to develop and market customized skin care products. As part of that focus, NuGene sought to leverage the working
relationships developed by our founders with the plastic surgery community. NuGene directed significant time and resources on developing
anti-aging and scar treatment/reduction products.
In
2007 Nugene continued to focus on “age-defying” products utilizing peptide complexes (see further description below) and
nano-encapsulation for absorption into the skin (see additional description below). We introduced a limited product line under the NuGene
name and co-branded the products with an affiliated entity, Genetic Institute of Anti-Aging, Inc. (“GIAA”), which the Kharazmi
owned. We utilized the services of a Korean-based contract manufacturer to supply our products. This product line (the “GIAA Line”)
was based on peptides and did not utilize stem cells. We had very modest sales in 2007, with our sole customer GIAA, a related party.
In
2008 we stopped production of the GIAA Line, and sales were limited to selling the remaining inventory through medical offices and GIAA.
With the GIAA Line discontinued, we spent the remainder of 2008 considering different formulations and methodologies for improved anti-aging
products.
In
2009 and 2010, we had limited activity and minimal sales. Our sales were mainly overseas and limited to the remaining inventory of the
GIAA Line. We continued to explore how we might advance our formulations and methodologies. We expended funds on research and development,
carried out mainly by scientists engaged by the Company.
In
2011 our founders decided to use adult adipose human stem cells (undifferentiated cells found throughout the body that multiply by cell
division to replenish dying cells and regenerate tissues) as the foundation of the formulation for its products. In 2011 the Company
developed a proprietary process to extract human adult stem cells from fat cells that the Company then used in its customized NuGene
line explicitly made for those client(s). Throughout 2011 we continued to provide autologous, or mature, fat-derived stem cells for use
in clinical procedures utilizing this technology. Through this process, the Company refined its ability to culture adult human stem cells
to render human-conditioned stem cell media at a proprietary concentration, a primary ingredient in the NuGene line of cosmeceuticals.
The Company believes that this proprietary concentration, combined with our unique formulations, will provide NuGene with a significant
competitive advantage.
In
2012 we completed our initial line of cosmeceutical products based on these adipose-derived stem cells. We branded this advanced skincare
line solely under the NuGene name (the “NuGene Line”). We eliminated the unpleasant odor associated with stem cells by adding
a fragrance with a very low incidence of allergic reaction. The packaging of this new product line bears no resemblance to the prior
GIAA Line. We also manufactured the NuGene Line ourselves at a small laboratory facility that we leased from an affiliated entity owned
by one of our founders.
Throughout
2013 we continued to expand the product offerings of the NuGene Line. The Company focused its stem cell work on surgical and orthopedic
regeneration. These services were delivered to one client, which was an affiliated entity. Sales of the NuGene Line were limited as we
were in an initial rollout and branding phase.
During
2014, we focused our efforts on transitioning to a cosmeceutical skincare business for mass distribution. With this transition and expanded
attention to our consumer products, we sought to develop our marketing plan and distribution channels. By the end of 2014, we had wholesalers
distributing products from the NuGene Line to medical offices and medical spas throughout the United States. December 31, 2014, we had
about 50 locations selling our products. In addition to the NuGene Line, we generated revenues from an affiliate, Advanced Surgical Partners
(“ASP”), which is also owned by our CEO and Chairman of the Board, Messrs. Ali and Mohammed Kharazmi, respectively. Revenues
generated from ASP resulted from NuGene providing Plasma Rich Platelet and Stem Cell injections for orthopedic and plastic surgery procedures
to ASP. We provided these products and services to ASP as we transitioned into commercializing our cosmeceutical product lines. We expect
further to minimize these product sales and services to ASP in early 2015.
Our
target customers primarily consisted of middle-aged men and women concerned with their aging skin and hair loss. Although our distributors
were primarily west of the Mississippi River, our products were sold throughout the United States.
By
2017, our cosmeceutical skincare business had been discontinued as we could not obtain financing for operations on reasonable terms and
became inactive. Our corporate charter was revoked in Nevada
On
January 26, 2020, Emergent, LLC (“Emergent”), a Nevada LLC controlled by Milan I Hoffman, was appointed the custodian of
the Company and proceeded to revive the Company’s existence and resolve its outstanding indebtedness. This was completed as to
all indebtedness except for one convertible rate promissory note of $120,000. See Litigation. In March 2022, Ms. Hoffman sold her Series
A Preferred stock in the Company and certain shares of Series C Preferred Stock to Livento Group, LLC. Also in March 2022, David Stybr,
our CEO and the sole owner of Livento Group, LLC, agreed to contribute Livento Group, LLC to the Company in exchange for a transfer to
him of the Series A Preferred Stock which gave Mr. Stybr voting control of the Company. The Series C Preferred Stock purchased by Livento
Group, LLC was cancelled. As a result of these transactions our current operations are the operations of Livento Group, LLC
Livento
Group operations started in 2017 as the internal team spearheaded the development of financial management software based on artificial
intelligence for investment entities. This software currently provides several clients with data processing and analytical services in
the investment management sector. Management believes that this segment of our operations will provide meaningful revenue, but we can
give no assurance that this will happen. The product is best described as an automated system that can analyze large quantities of data,
focusing on selected parameters and predicting short-term future behavior within a specific portfolio of selected assets. The software
chooses assets with the highest potential based on a set of specifications and properties, predicting short-term future behavior within
a particular portfolio.
In
2020 the Company acquired land for a residential real estate development project, amounting to 4 million USD, with a completion target
of late 2022. The property is being developed into 16 residential condominiums in a suburb of Prague in the Czech Republic, and all of
the condominium units have signed purchase agreements totaling 12 million. The development cost was approximately 3 million USD. Accordingly,
the gross profits from this project (not counting carrying costs) will be about 5 million USD. The Company had one more real estate project
in the planning phase but planned to sell it and not develop the property further. The Company invested in a residential project total
amount of around 825,000 USD and is currently looking for a buyer. We have had discussions with three potential buyers and expect to
finalize a contract of sale by the end of 2022 but can give no assurances that this will occur or that any sale of this project will
prove profitable. We do not have any further plans to engage in additional real estate development projects.
NOTE
2 – PRINCIPLIES OF CONSOLIDATION
These
consolidated financial statements and related notes are presented by accounting principles generally accepted in the United States and
are expressed in US dollars.
The
basis of accounting differs in certain material aspects from that used for preparing the books of the Subsidiaries, which are prepared
by the accounting principles and relevant financial regulations applicable to limited liabilities enterprises established in their domicile.
The accompanying consolidated financial statements reflect necessary adjustments not recorded in the books of the Subsidiaries to present
them in conformity with U.S. GAAP.
The
consolidated financial statement comprises the financial statement of Livento Group Inc. (The Company) and the subsidiaries Livento Group
LLC and BOXO Productions Inc. as of September 30, 2022.
Subsidiary
- The Group consolidated financial statements include the assets, liabilities, equity, revenue, expenses and cash flows of the Company.
A subsidiary is an entity over which the Company has control. The Company controls an entity when the Company has power over the entity,
is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through
its power over the entity. Assessment of control is based on the substance of the relationship between the Company and the entity and
includes consideration of both existing voting rights and, if applicable, potential voting rights that are currently exercisable and
convertible. The operating results of subsidiaries acquired are included in the consolidated financial statements from MONTH when control
is acquired (typically the acquisition date). The operating results of subsidiaries that are divested during the period are included
up to the date control ceased (typically the disposition date) and any difference between the fair value of the consideration received
and the carrying value of a divested subsidiary is recognized in the consolidated income statements. Accounting policies of subsidiaries
have been aligned with those of the Company where necessary.
Use
of Estimates
Conformity
with GAAP requires the use of estimates and judgments that affect the reported amounts in the financial statements and accompanying notes.
These estimates form the basis for judgments we make about the carrying values of our assets and liabilities that are not readily apparent
from other sources. We base our estimates and judgments on historical information and on various other assumptions that we believe are
reasonable under the circumstances. GAAP requires us to make estimates and judgments in several areas, including but not limited to,
those related to revenue recognition, collectability of accounts receivable, contingent liabilities, fair value of financial instruments,
fair value of acquired intangible assets and goodwill, useful lives of intangible assets and property and equipment, excess and obsolete
inventory, deferred tax asset valuation and income taxes. These estimates are based on management’s knowledge about current events
and expectations about actions we may undertake in the future. Actual results could differ materially from those estimates.
Risks
and Uncertainties
The
Company operates in an industry that is subject to rapid change. The Company’s operations are subject to significant risk and uncertainties
including financial, operational, technological, regulatory, and other risks, including the potential of business failure.
Reclassifications
For
comparability, certain prior period amounts have been reclassified, where appropriate, to conform to the current year’s financial
statement presentation. These reclassifications have no impact on net loss.
Inventories
The
Company doesn’t have inventories as we work only as service provider.
Property
and Equipment
Our
property, plant, and equipment on September 30, 2022, consists of our software product Elisee, budgeted and planned real estate projects,
and BOXO Productions projects.
Livento
is finalizing the sale of 16 condominium units in a building in a suburb of Prague that was fully pre-sold in 2021. Livento finalizes
sales to clients during period September-November 2022. Our internal team managed this project from land acquisition through project
planning and realization. The project was financed by 65% by bank loans which will be repaid on the sale of the units. Accounts
Payable
and Accrued Expenses
Accounts
payable and accrued expenses are carried at amortized cost and represent liabilities for goods and services provided to the Company prior
to the end of the financial year that are unpaid and arise when the Company becomes obliged to make future payments in respect of the
purchase of these goods and services.
Revenue
Recognition
The
Company adopted ASC 606 requires using a new five-step model to recognize revenue from customer contracts. The five-step model requires
entities to exercise judgment when considering the terms of contracts, which includes (1) identifying the contracts or agreements with
a customer, (2) identifying our performance obligations in the contract or agreement, (3) determining the transaction price, (4) allocating
the transaction price to the separate performance obligations, and (5) recognizing revenue as each performance obligation is satisfied.
The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration it is entitled
to in exchange for the services it transfers to its clients. The Company has concluded that the new guidance did not require any change
to its revenue recognition processes.
The
Company recognizes software service fees over time as performance obligations are satisfied over the life of the service, usually, with
an average duration of one year. Payments received in advance from customers are recorded as “Deferred revenues.” Such advance
payments received are non-refundable after the thirty days refund period.
The
cost of revenue consists primarily of the outsourced information technology support service, internal employees, consultants, service
charges for cloud computing, and related expenses, which are directly attributable to the revenues.
Concentration
of Revenues
Livento
Group has been operating in the US and Europe since 2019, and on March 31, 2022, it was acquired by Nugene International, Inc., which
subsequently changed its name to Livento Group, Inc. We had revenue of $523,013 in the third quarter of 2022. These came from sales of
Elisee and our management services to real estate projects. Elisee sales accounted for $118,805, deferred movie revenues $171,000 and
$233,208 for real estate projects and management. The Elisee clients have one- or two-years contracts of using our services, but loss
of any of our major clients could significantly decrease our revenues and impede our future growth prospects. Real estate proceeded sales
are shifter internally into BOXO productions division where diversification in multiple projects is securing long term stability of revenues
for the Company.
Cost
of Revenues
Cost
of revenues include all the costs to produce the Company’s services. For Elisee it includes software, data and professional fees
incurred with its development. For movies and real estate projects mainly professional fees of people working on the projects. It consists
of Amortization of Intangible Assets in amount of $461,606, Professional fees of key professionals and consulting fee that is related
to generation of income from the Elisee in amount of $205,592.
Research
and Development
Internal
research and development costs are expensed as incurred. Third-party research and development costs are expensed when the contracted
work has been performed. Research and development consist of consulting fees, direct labor and services associated with the development
of Elisee functionality. Elisee research fees were calculated for $76,000 in third quarter of 2022.
Allowance
for Doubtful Accounts
Our
Company maintains allowances for doubtful accounts for estimated losses resulting from the inability of our customers to make required
payments. Company currently don’t have any doubtful accounts as its managing its receivables on time and as planned with clients.
Convertible
Financial Instruments
The
Company bifurcates conversion options from their host instruments and accounts for them as free-standing derivative financial instruments
if certain criteria are met. The criteria include circumstances in which (a) the economic characteristics and risks of the embedded derivative
instrument are not clearly and closely related to the economic characteristics and risks of the host contract,
(b)
the hybrid instrument that embodies both the embedded derivative instrument and the host contract is not re-measured at fair value under
otherwise applicable generally accepted accounting principles with changes in fair value reported in earnings as they occur and (c) a
separate instrument with the same terms as the embedded derivative instrument would be considered a derivative instrument. An exception
to this rule is when the host instrument is deemed to be conventional, as that term is described under applicable GAAP.
When
the Company has determined that the embedded conversion options should not be bifurcated from their host instruments, discounts are recorded
for the intrinsic value of conversion options embedded in the instruments based upon the differences between the fair value of the underlying
common stock at the commitment date of the transaction and the effective conversion price embedded in the instrument.
Debt
Discounts - Debt discounts under these arrangements are amortized to interest expense using the interest method over the earlier
of the term of the related debt or their earliest date of redemption.
Loss
on Issuance - The conversion features of the notes were bifurcated from the host instrument as its conversion terms were not indexed
to the Company’s own stock. In addition, the warrants associated with the debt instruments were also treated as a free-standing
derivative liability.
Common
Stock Purchase Warrants and Derivative Financial Instruments - Common stock purchase warrants and other derivative financial instruments
are classified as equity if the contracts (1) require physical settlement or net-share settlement or (2) give the Company a choice of
net-cash settlement or settlement in its own shares (physical settlement or net-share settlement). Contracts which (1) require net-cash
settlement (including a requirement to net cash settle the contract if an event occurs and if that event is outside the control of the
Company), (2) give the counterparty a choice of net-cash settlement or settlement in shares (physical settlement or net-share settlement),
or (3) that contain reset provisions that do not qualify for the scope exception are classified as liabilities. The Company assesses
classification of its common stock purchase warrants and other derivatives at each reporting date to determine whether a change in classification
between equity and liabilities is required.
Beneficial
conversion feature – The issuance of the convertible debt generated a beneficial conversion feature (“BCF”), which
arises when a debt or equity security is issued with an embedded conversion option that is beneficial to the investor or in the money
at inception because the conversion option has an effective strike price that is less than the market price of the underlying stock at
the commitment date. The Company recognized the BCF by allocating the intrinsic value of the conversion option, which is the number of
shares of common stock available upon conversion multiplied by the difference between the effective conversion price per share and the
fair value of common stock per share on the commitment date, resulting in a discount on the convertible debt (recorded as a component
of additional paid-in capital).
Share
Based Payments
The
Company recognizes compensation expense for all equity-based payments in accordance with ASC 718 - Share-based payments. Under
ASC 718’s fair value recognition provisions, the Company recognizes equity-based compensation net of an estimated forfeiture rate
and recognizes compensation cost only for those shares expected to vest over the requisite service period of the award.
Share-based
payments to employees, including grants of employee stock options, are recognized as compensation expense in the accompanying condensed
consolidated statements of operations based on the fair values of the related payments. Such expense is recognized over the period during
which an employee is required to provide services in exchange for the award, known as the requisite service period (usually the vesting
period).
The
Company accounts for share-based payments granted to non-employees in accordance with ASC 505 - Equity Based Payments to Non-Employees.
The Company determines the fair value of the stock-based payment as either the fair value of the consideration received or the fair value
of the equity instruments issued, whichever is more reliably measurable. If the fair value of the equity instruments issued is used,
it is measured using the stock price and other measurement assumptions as of the earlier of either (1) the date at which a commitment
for performance by the counterparty to earn the equity instruments is reached, or (2) the date at which the counterparty’s performance
is complete.
Net
Loss per Share of Common Stock
The
Company computes net loss per share in accordance with ASC 260 - Earnings Per Share. ASC 260 requires presentation of both basic
and diluted net loss per share on the face of the statements of operations. Basic net loss per share is calculated by dividing the loss
attributable to common shareholders of the Company by the weighted average number of common shares outstanding during the period. Diluted
net loss per share is determined by adjusting the loss attributable to common shareholders and the weighted average number of common
shares outstanding for the effects of all potential dilutive common shares, such as stock issuable pursuant to the exercise of stock
warrants or the conversion of preferred stock into common stock.
Common
stock equivalents totaling, 219,001,268 and 765,895,613 as of September 30, 2022, and 2021, respectively, were not included in the computation
of diluted earnings per share on the condensed consolidated statements of operations because the Company reported a net loss during the
three and nine months ended September 30, 2022, and 2021 and therefore the effect would be anti-dilutive.
Recent
Accounting Standards Updates
Topic
606, Revenue from Contracts with Customers, of the Financial Accounting Standards Board’s (FASB) Accounting Standards Codification
(ASC). The guidance in ASC 606 was originally issued by the FASB in May 2014 in Accounting Standards Update (ASU) 2014-09, Revenue
from Contracts with Customers (Topic 606). Since then, the FASB has issued several ASUs that have revised or clarified the guidance
in ASC 606. The Company is in the process of evaluating the impact of this accounting standard update.
On
June 20, 2018, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2018-07, Compensation—Stock
Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting. ASU 2018-07 is intended to reduce cost and
complexity and to improve financial reporting for share-based payments to nonemployees (for example, service providers, external legal
counsel, suppliers, etc.). Under the new standard, companies will no longer be required to value non-employee awards differently from
employee awards. Meaning that companies will value all equity classified awards at their grant-date under ASC718 and forgo revaluing
the award after this date. The guidance is effective for interim and annual periods beginning after December 15, 2018.
In
January 2017, the Financial Accounting Standards Board (“FASB”) issued an Accounting Standards Update (“ASU”)
2017-01, Business Combinations (Topic 805) Clarifying the Definition of a Business. The amendments in this update clarify the
definition of a business with the objective of adding guidance to assist entities with evaluating whether transactions should be accounted
for as acquisitions or disposals of assets or businesses. The definition of a business affects many areas of accounting including acquisitions,
disposals, goodwill, and consolidation. The guidance is effective for interim and annual periods beginning after December 15, 2017 and
should be applied prospectively on or after the effective date. The Company is in the process of evaluating the impact of this accounting
standard update.
In
February 2016, the FASB issued ASU 2016-02, Leases (Topic 842). ASU 2016-02 requires lessees to recognize lease assets and lease
liabilities on the balance sheet and requires expanded disclosures about leasing arrangements. ASU 2016-02 is effective for fiscal years
beginning after December 31, 2018 and interim periods in fiscal years beginning after December 31, 2018, with early adoption permitted.
The Company is in the process of evaluating the impact of this accounting standard update.
The
Company has implemented all new accounting pronouncements that are in effect. These pronouncements did not have any material impact on
the financial statements unless otherwise disclosed, and the Company does not believe that there are any other new accounting pronouncements
that have been issued that might have a material impact on its financial position or results of operations.
Other
accounting standards that have been issued or proposed by FASB that do not require adoption until a future date are not expected to have
a material impact on the consolidated financial statements upon adoption. The Company does not discuss recent pronouncements that are
not anticipated to have an impact on or are unrelated to its financial condition, results of operations, cash flows or disclosures.
NOTE
3 – FIXED ASSETS
A&I
machine learning program
Acquisition
of the assets e.g. name of the intangible asset |
|
A&I
machine learning program |
what
the intangible assets is to be used for |
|
Contains
algorithms and code to analyze large portions of data within closed portfolio of items to set their best performing distribution
within the portfolio. |
Duration
for the construction / completion of the intangible assets |
|
Development
started in 2018 and continues to present time. Company has several consultants and pays data and servers to upgrade and finalize
the system. |
Expectation
of revenue generation from the acquisition of the asset |
|
The
asset currently generates app USD 1,5 million per year and we expect from 2023 to produce USD 2,5 million as we can offer upgraded
version to more clients. |
Expected
useful life of the assets upon completion |
|
Based
on the recommendation from the system developers and technological changes the company policy is to amortize AI Learning Program
for 3 years. The company will conduct an annual impairment test to reassess that our assumptions on the estimated useful life. |
Amount
expended on research about the internally developed asset and the statement that the research cost has been expensed, because only
the development cost will be acceptable. |
|
Research
expenses are currently USD 4,212,200 including initial acquisition of the asset and continues investments into data, consultants,
and servers. These expenses don’t include general costs, marketing and other indirect costs occurred during the time. |
Development
Projects
Acquisition
of the assets e.g., name of the long-term asset |
|
Real
Estate Development Projects |
what
the asset is to be used for |
|
It
contains project plans, budgets, permits and zoning rights for large project in Europe, Czech Republic. |
Duration
for the construction / completion of the intangible assets |
|
We
are hiring consultants that are proceeding the works on the asset and we expect completing in 1Q 2023. |
Expectation
of revenue generation from the acquisition of the asset |
|
Asset
will be sold to third party for highest bid, we expect to sell for app USD 3 million. Our sell process already started; we entertain
several developers that are interested in the project acquisition. |
Expected
useful life of the assets upon completion |
|
It’s
a project, will be valid for 10 years after completion. |
Amount
expended on research about the internally developed asset and the statement that the research cost has been expensed, because only the
development cost will be acceptable. |
|
The
cost to produce this asset is currently USD 2,757,700 and contains works of people and acquisition of initial project. |