Company: IDVV
Filing Date: 2025-05-30
Form Type: 10-12G
Source: 0001683168-25-004098
Chunk: 154

Company: ModuLink Inc.
Filing Date: 2025-05-30
Form: 10-12G
Chunk 154
---
. An impairment
loss is recognized when the carrying amount of a long-lived asset exceeds the sum of the undiscounted cash flows expected to be generated
from the asset’s use and eventual disposition. An impairment loss is measured as the amount by which the carrying amount exceeds
the fair value of the asset calculated using a undiscounted cash flow analysis. There was no impairment of long-lived assets for the years
ended December 31, 2024 and 2023.

(G) Accounts Receivable Net of Allowance for Expected Credit Losses

Accounts receivable primarily represents revenue
recognized that was not invoiced at the balance sheet date and is primarily billed and collected in the following month. Trade accounts
receivable are carried at the original invoiced amount less an estimated allowance for expected credit losses based on the probability
of future collection. Management determines the adequacy of the allowance based on historical loss patterns, the number of days that
customer invoices are past due, reasonable and supportable forecasts of future economic conditions to inform adjustments over historical
loss data, and an evaluation of the potential risk of loss associated with specific accounts. When management becomes aware of circumstances
that may further decrease the likelihood of collection, it records a specific allowance against amounts due, which reduces the receivable
to the amount that management reasonably believes will be collected. The Company records changes in the estimate to the allowance for
expected credit losses through provision for expected credit losses and reverses the allowance after the potential for recovery is considered
remote.

(H) Contract Assets Including Retainage, Net

Contract assets are generally based on amounts
billed and currently due from customers, amounts currently due but unbilled and amounts retained by customers pending satisfactory completion
of a project. It is common in the Company’s industry for a small portion of either progress billings or the contract price, typically
5%, to be withheld by the customer until the Company completes a project to the satisfaction of the customer in accordance with the applicable
contract terms. Such amounts, defined as retainage, are included on the Consolidated Balance Sheets as “Contract assets including
retainage, net.” Based on the Company’s experience with similar contracts in recent years, billings for such retainage balances
are generally collected within one year of the completion of the project.

Contract assets including retainage, net is stated
at the amount management expects to collect from outstanding balances. Management provides for uncollectible accounts through a charge
to earnings and a credit to the allowance for doubtful accounts based on its