Company: IPSI
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001213900-25-026455
Chunk: 539

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1C
Chunk 539
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 with costs greater than $1,000 are capitalized
and depreciated. Depreciation is computed using the straight-line method over the estimated useful lives of the assets. The estimated
useful lives of the assets are as follows:

  Description  Estimated Useful Life        Computer equipment  3 years        Office equipment  10 years 

The
cost of repairs and maintenance is expensed as incurred. When assets are retired or disposed of, the cost and accumulated depreciation
are removed from the accounts, and any resulting gains or losses are included in income in the year of disposition.

m)Long-Term Assets

Assets
are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable.
Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to future undiscounted net
cash flows expected to be generated by the asset. If such assets are considered impaired, the impairment to be recognized is measured
by the amount by which the carrying amount of the assets exceeds the fair value of the assets.

n)Revenue Recognition

The
Company’s revenue recognition policy is consistent with the requirements of FASB ASC 606, Revenue.

The
Company’s revenues are recognized when control of the promised goods or services are transferred to a customer, in an amount that
reflects the consideration that the Company expects to receive in exchange for those services. The Company derives its revenues from the
sale of its services, as defined below. The Company applies the following five steps in order to determine the appropriate amount of revenue
to be recognized as it fulfills its obligations under each of its revenue transactions:

i.identify the contract with
a customer;

ii.identify the performance obligations
in the contract;

iii.determine the transaction price;

iv.allocate the transaction price
to performance obligations in the contract; and

v.recognize revenue as the performance
obligation is satisfied.

The
Company had no revenues for year ended December 31, 2024 and revenues of $410 for the year ended December 31, 2023. 

F-12

INNOVATIVE PAYMENT
SOLUTIONS, INC.

NOTES TO THE CONSOLIDATED
FINANCIAL STATEMENTS

2ACCOUNTING POLICIES AND ESTIMATES
(continued)

o)Share-Based Payment Arrangements

Generally,
all forms of share-based payments, including