Company: IMG
Filing Date: 2025-09-24
Form Type: 10-Q
Source: 0001493152-25-014748
Chunk: 46

Company: CIMG Inc.
Filing Date: 2025-09-24
Form: 10-Q
Item: Item 8
Chunk 46
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 This mainly includes personnel costs of $697,232, sales and
marketing expenses of $159,285, depreciation and amortization of $15,513, professional services such as lawyers, auditors and consultants
of $1,179,238, travel expenses of $63,721, office expenses of $117,792 and other expenses of $37,654.

For
the six months ended Mach 31, 2024, the operating expenses were $3,412,705. It primarily comprised of personnel costs, selling and
marketing expenses, depreciation and amortization, insurance expenses, professional services, travel and office expenses, etc. In
some cases, the company bears shipping costs for shipping customer orders, and shipping and handling costs are recorded under
operating expenses in the consolidated statement of operations.

Other
income

For
the six months ended Mach 31, 2025, the other income was $403,635. It is mainly because of the settlement and forgiveness of account payable.

For
the six months ended Mach 31, 2024, the other income was $76,742. It is mainly because of the rental income.

Other
Expense

Other
expense of $50,320 and $100,228 for the six months ended March 31, 2025 and 2024, respectively, primarily includes write off of deferred
financing costs and sublease expense.

Prepaid
expenses and other current assets

Prepaid
expenses and other current assets for the six months ended March 31, 2025 and September 30, 2024 is as follows:

 SCHEDULE OF PREPAID EXPENSES AND OTHER CURRENT ASSETS 

    March 31,
                                                                                2025  
    September
    30,
 2024 
  
    Prepaid expenses 
    $123,312  
    $197,217 
  
    Other current assets 
     61,144  
     185,431 
  
    Total 
     184,456  
     382,648 

The
Prepaid expenses and other current assets balance of $184,456
as of March 31, 2025 primarily consists of prepaid rent, Barcode fee, 
a retainer for professional services.

Inventories,
net

Inventories, net, consisting principally of raw materials
and finished goods held for production and sale, is stated at the lower cost or net realizable value, cost being determined using the
weighted