Company: KMRK
Filing Date: 2025-03-07
Form Type: DRS/A
Source: 0001213900-25-021451
Chunk: 193

Company: K-TECH SOLUTIONS CO LTD
Filing Date: 2025-03-07
Form: DRS/A
Chunk 193
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 the cost of the financial asset to present the net carrying value at the amount expected to be collected on the financial asset. Foreign Currencies The accompanying combined financial statements are presented in United States dollars (“US$” or “$”). The functional currency of the Company is the local currency of the country in which the subsidiaries operate, which is Hong Kong Dollar (“HKD”). Transactions in foreign currencies are initially recorded at the functional currency rate ruling at the date of transaction. Any differences between the initially recorded amount and the settlement amount are recorded as a gain or loss on foreign currency transaction in the combined statements of operations and comprehensive income. The exchanges rates used for translation from Hong Kong dollar to USD are ranging from 7.75 and 7.85, a pegged rate determined by the linked exchange rate system in Hong Kong. This pegged rate was used to translate Company’s balance sheets, income statement items and cash flow items for both 2024 and 2023.

|                                       |     | For the six months ended 
            September 30, |     |         |
|                                       |     |                     2023 |     |    2024 |
| Period-end HKD: US$ exchange rate     |     |                  7.82979 |     | 7.77150 |
| Period average HKD: US$ exchange rate |     |                  7.83151 |     | 7.80502 |

Cash and Cash Equivalents Cash and cash equivalents consist of cash held in banks, which are highly liquid and have original maturities of three months or less and are unrestricted as to withdrawal or use. The Company maintains all bank accounts in Hong Kong. The Company maintains most of its bank account in Hong Kong. Accounts Receivable, net Accounts receivable represents an unconditional right to consideration arising from our performance under contracts with customers. The Company grant credits to customers, without collateral, under normal payment terms (typically within 30 days after invoicing). The carrying value of such receivable, net of allowance of expected credit

F-28

K-TECH SOLUTIONS COMPANY LIMITED Notes to the unaudited INTERIM CONDENSED combined financial statements NOTE 2 — SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont.) loss, represents its estimated realizable value. The Company expect to collect the outstanding balance of current accounts receivable, net within the next 12 months. The Company use loss -ratemethods to estimate allowance for credit loss. For those past due balances over