Company: IMG
Filing Date: 2025-07-21
Form Type: 10-K
Source: 0001641172-25-020300
Chunk: 1003

Company: CIMG Inc.
Filing Date: 2025-07-21
Form: 10-K
Item: Item 9A
Chunk 1003
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     - 
  
    Lease Liability – Total 
    $100,962 

The
table below reconciles the fixed component of the undiscounted cash flows for each of the first five years and the total remaining years
to the lease liabilities recorded on the Consolidated Balance Sheet as of September 30, 2024.

Amounts
due within 12 months of September 30,

SCHEDULE OF FUTURE MINIMUM RENTAL PAYMENTS FOR OPERATING LEASES 

    2025 
     Sep 30, 2024 
  
    2025 
     102,738 

    2026 
     428 
  
    Total Minimum Lease Payments 
     103,166 
  
    Less Effect of Discounting 
     2,204 
  
    Present Value of Future Minimum Lease Payments 
     100,962 
  
    Less Current Portion of Operating Lease Obligations 
     100,962 
  
    Long-Term Operating Lease Obligations 
    $- 

During
the year ended September 30, 2024, we had the following cash and non-cash activities associated with our leases:

SCHEDULE
OF CASH AND NON-CASH ACTIVITIES OF LEASES 

    Operating cash outflows from operating leases: 
    $340,445 
  
    Operating cash outflows from finance leases: 
    $824 
  
    Financing cash outflows from finance lease: 
    $25,224 

In September 2020, we subleased the space at 1700
Capital Avenue in Plano, Texas, effective October 1, 2020 under favorable terms that are co-terminus with the original lease ended June
30, 2024. During the year ended September 30, 2024, we recognized sublease income of $161,672 pursuant to the sublease included in other
income on our financial statements.

Foreign Currency Translation

The financial position and results of operations of
each of the Company’s foreign subsidiaries are measured using the foreign subsidiary’s local currency as the functional currency.
Revenues and expenses of each such subsidiary have been translated into U.S. dollars at average exchange rates prevailing during the period.
Assets and liabilities have been translated at the rates of exchange on the balance sheet date. The resulting translation gain and loss
adjustments are recorded directly as a separate component of stockholders’ equity, unless there is a sale or complete liquidation