Company: LTRYW
Filing Date: 2025-05-21
Form Type: 10-Q
Source: 0001641172-25-011865
Chunk: 16

Company: Lottery.com Inc.
Filing Date: 2025-05-21
Form: 10-Q
Item: Part I, Item 1
Chunk 16
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 approximately $440,000, reflecting the purchase price, net of cash on hand at S& MI
Ltd and the principal amount of certain loans assumed by the Company. The purchase price is for a 100% ownership interest. The purchase
price was allocated to the identified tangible and intangible assets acquired based on their estimated fair values at the acquisition
date as follows:

  Accounts                             124,928  
  Other                                 50,817  
  Intangible                           234,000  
  Goodwill                           1,315,000  
  Total                              1,724,745  
  Accounts                            (175,543  
  Director’s                          (558,632  
  Total                               (734,175  
  Total                                990,570  

Note 4. Property
and Equipment, net

Property
and equipment, net as of March 31, 2025 and December 31, 2024, consisted of the following:

                          March                         December                  
                          31, 2025                      31, 2024                  
 ──────────────────────────────────────────────────────────────────────────────────
  Computers               $                117,256      $                123,911  
  Furniture                                 16,898                        16,900  
  Software                               2,026,200                     2,026,200  
  Property                               2,160,354                     2,167,011  
  Accumulated                           (2,149,445                    (2,154,887  
  Property                $                  3,426      $                 12,124  

Depreciation
expense for the three months ended March 31, 2025 was $1,718 and was $2,846 for the three months ended March 31, 2024.

  F-16  

Note 5. Prepaid
Expenses for Advertising Credits

Prepaid
expenses consist of payments made on contractual obligations for services to be consumed in future periods. The Company entered into
agreements with two third parties to provide advertising services and issued equity instruments as compensation for the advertising services
(“ Prepaid advertising credits”). The Company expenses the service as it is performed by the third parties. The value of the
services provided were used to value these contracts, except for the year ended December 31, 2021 the Company reserved for potential
inability to realize $2,000,000 of prepaid advertising credits in future periods. For the period ending December 31,