Company: DKI
Filing Date: 2025-08-11
Form Type: 424B4
Source: 0001641172-25-022921
Chunk: 233

Company: DarkIris Inc.
Filing Date: 2025-08-11
Form: 424B4
Chunk 233
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. Cash maintained in banks in Hong Kong, China of less than HKD0.5 million (equivalent to $64,356) per bank are covered by “deposit insurance scheme” enforced by the Hong Kong Deposit Protection Board, established under the Deposit Protection Scheme Ordinance. The Company has not experienced any losses in bank accounts and believes it is not exposed to any risks on its cash in bank accounts.

Accounts receivable, net

Accounts receivable represent the amounts that the Company has an unconditional right to consideration, which are stated at the historical carrying amount net of allowance for credit losses.

The Company maintains an allowance for credit losses which reflects its best estimate of amounts that potentially will not be collected. The Company determines the allowance for credit losses taking into consideration various factors including but not limited to historical collection experience and credit-worthiness of the debtors as well as the age of the individual receivables balance. The Company establishes an allowance for credit losses when there is objective evidence that the Company may not be able to collect amounts due. The allowance is recorded against accounts receivables balances, with a corresponding charge recorded in the combined statements of operations and comprehensive income (loss). As of September 30, 2024 and 2023, allowance for credit losses was nil and nil, respectively.

| F-28 |

Property and equipment, net

Property and equipment are stated at cost less accumulated depreciation and impairment, if any. The cost of an asset comprises its purchase price and any directly attributable costs of bringing the asset to its present working condition and location for its intended use.

Depreciation is computed using the straight-line method over the estimated useful lives of the assets. The estimated useful lives are as follows:

| Category         |     | Estimated useful lives |
| Office equipment |     | 3 years                |

The cost and related accumulated depreciation of assets sold or otherwise retired are eliminated from the accounts and any gain or loss is included in the combined statements of operations and comprehensive income (loss). Expenditures on maintenance and repairs are charged to expenses as incurred, while additions, renewals and betterments, which are expected to extend the useful life of assets, are capitalized.

Impairment for long-lived assets

Long-lived assets, including property and equipment with finite lives, are reviewed for impairment whenever events or changes in circumstances (such as a significant adverse change to market conditions that will impact the future use of the assets) indicate that the carrying value of an asset may not be recoverable. The Company assesses the recoverability of