Company: MAGH
Filing Date: 2025-06-25
Form Type: F-1/A
Source: 0001641172-25-016431
Chunk: 278

Company: Magnitude International Ltd
Filing Date: 2025-06-25
Form: F-1/A
Chunk 278
---
 trading records to rate its major customers and other debtors. The Group considers available reasonable and supportive forward-looking information which includes the following indicators:

| ● | Internal                                                                                                                              
 credit rating                                                                                                                         |
| ● | External                                                                                                                              
 credit rating                                                                                                                         |
| ● | Actual                                                                                                                                
 or expected significant adverse changes in business, financial or economic conditions that are expected to cause a significant change 
 to the debtor’s ability to meet its obligations                                                                                       |
| ● | Actual                                                                                                                                
 or expected significant changes in the operating results of the debtor                                                                |
| ● | Significant                                                                                                                           
 increases in credit risk on other financial instruments of the same debtor                                                            |
| ● | Significant                                                                                                                           
 changes in the expected performance and behavior of the debtor, including changes in the payment status of debtors in the company     
 and changes in the operating results of the debtor                                                                                    |

Regardless of the analysis above, a significant increase in credit risk is presumed if a debtor is more than 30 days past due in making contractual payment.

| F-79 |

<div align='center'>MAGNITUDE INTERNATIONAL LTD AND ITS SUBSIDIARIES

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS</div>

| 24. | Financial                   
 risk management (Continued) |

Credit risk(Continued)

The Group determined that its financial assets are credit-impaired when:

| ● | There                                                                                           
 is significant difficulty of the debtor                                                         |
| ● | A                                                                                               
 breach of contract, such as a default or past due event                                         |
| ● | It                                                                                              
 is becoming probable that the debtor will enter bankruptcy or other financial reorganization    |
| ● | There                                                                                           
 is a disappearance of an active market for that financial asset because of financial difficulty |

The Group categorizes a receivable for potential write-off when a debtor fails to make contractual payments more than 120 days past due. Financial assets are written off when there is evidence indicating that the debtor is in severe financial difficulty and the debtor has no realistic prospect of recovery.

The Group’s current credit risk grading framework comprises the following categories:

| Category |     | Definition                                                                                                                     
 of category                                                                                                                    |     | Basis                                      
 for recognizing expected credit loss (ECL) |
| I        |     | Counterparty                                                                                                                   
 has a low risk of default and does not have any past-due amounts.                                                              |     | 12-month                                   
 ECL                                        |
| II       |     | Amount                                                                                                                         
 is >30 days