Company: KPEA
Filing Date: 2025-01-14
Form Type: 10-K
Source: 0001493152-25-002124
Chunk: 967

Company: Kun Peng International Ltd.
Filing Date: 2025-01-14
Form: 10-K
Item: Item 1C
Chunk 967
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 translated at the average translation rates and
the equity accounts are translated at historical rates. Translation adjustments resulting from this process are included in accumulated
other comprehensive income in the statement of equity. Transaction gains and losses that arise from exchange rate fluctuations on transactions
denominated in a currency other than the functional currency are included in the results of operations as incurred. Translation adjustments
included in accumulated other comprehensive gain amounted to $200,368  and $426,741 for
the years ended September 30, 2024 and 2023, respectively.

88

Below
is a table with foreign exchange rates used for translation:

    For the year ended September 30, 2024 (Average Rate) 
    Hong Kong Dollar (HKD)  
    Chinese Renminbi (RMB) 
  
    United States dollar ($1) 
     7.8127  
     7.2043 

    As of September 30, 2024 (Closing Rate) 
     7.7693  
     7.0176 
  
    United States dollar ($1) 

    For the year ended September 30, 2023 (Average Rate) 
    Hong Kong Dollar (HKD)  
    Chinese Renminbi (RMB) 
  
    United States dollar ($1) 
     7.8310  
     7.0553 

    As of September 30, 2023 (Closing Rate) 
     7.8308  
     7.2960 
  
    United States dollar ($1) 

Cash
and Cash Equivalents

Cash
and cash equivalents are carried at cost and represent cash on hand, demand deposits placed with banks or other financial institutions,
and a certain amount of cash kept in electronic wallets, “e-wallets.”

We
consider all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents. We maintain
accounts with various financial institutions in the PRC, and also e-wallets. As of September 30, 2024 and 2023, cash balances held in
PRC banks are uninsured. Monies that are held in e-wallets are deemed equivalent to cash, are highly liquid, and are relatively unsafe
compared to cash in banks. We have not experienced any losses in bank accounts or e-wallets and believe that we are not exposed to significant
risks with respect to our cash in bank