Company: KCRD
Filing Date: 2025-06-16
Form Type: 10-Q
Source: 0001477932-25-004628
Chunk: 9

Company: Kindcard, Inc.
Filing Date: 2025-06-16
Form: 10-Q
Item: Part I, Item 1
Chunk 9
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 costs comprised of revenue recognized on contracts for which billings have not been presented to the customer because the amounts were earned but not contractually billable at the balance sheet date. These amounts include expected annual contract fees and have been accrued over the twelve month period based on prior year receipts. There are $29,750 and $17,000 unbilled receivables at April 30, 2025 and January 31, 2025, respectively. Please note that certain balances were reclassified for presentation and for consistency.

NOTE 4 – PROPERTY AND EQUIPMENT, Net Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation of property and equipment is calculated using the straight-line method over the estimated useful life of the asset generally ranging from three to seven years. Property and equipment, net consists of the following at:   April 30,  January 31,    2025   2025 Merchandise and equipment: Vault $10,000  $10,000 Merchandise and equipment: Office Equipment  4,286   4,286 Merchandise and equipment: IT Equipment  4,945   4,945 Total Cost $19,231  $19,231 Less: accumulated depreciation  (17,621 )  (16,994 )Property and equipment, net $1,610  $2,237  Depreciation expense amounted to $628 and $3,890 with $627 and $2,241 reclassified as cost of goods sold at April 30, 2025 and January 31, 2025, respectively.

NOTE 5 – INTANGIBLE ASSETS Intangible assets Intangible assets are comprised of customer relationships and brands acquired in a business combination specifically related to the Company’s Tendercard division (see Note 2) and also comprised of development costs for its proprietary payment processing “DEB Platform” through the Company’s wholly owned subsidiary, Deb, Inc. The Company amortizes intangible assets with a definitive life over their respective useful lives of 3-5 years. Assets with indefinite lives are tested for impairment on an annual basis, or more frequently if the Company believes indicators of impairment exist. The Company did not note any impairment at April 30, 2025 and January 31, 2025, respectively.

 F-9Table of Contents

Kindcard, Inc. and Subsidiaries