Company: IPSI
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001213900-25-026455
Chunk: 684

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 2
Chunk 684
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 the year ended December 31, 2024.None of these
standards are either applicable to the Company or require adoption at a future date and none are expected to have a material impact on
the Company’s consolidated financial statements upon adoption.

h)Reporting by Segment

The
Company adopted FASB issued ASU 2023-07, “Segment Reporting (ASC Topic 280) for the annual reporting period ended December
31, 2024. The most significant provision was for the Company to disclose significant segment expenses that are regularly provided to the
chief operating decision maker (“CODM”), who is the CEO. All expense categories on the Consolidated Statements of Operations
are significant and there are no other significant segment expenses that would require disclosure. The Company’s CODM, reviews financial
information presented on a consolidated basis for the purpose of making operating decisions, allocating resources, assessing financial
performance and making strategic decisions related to headcount and capital expenditures. The CODM regularly reviews net loss as reported
on the Company’s consolidated statements of operations. The CODM uses net loss as the measure of profit or loss to allocate resources
and assess performance.

Since
the Company operates as one reportable segment, all financial information required by “Segment Reporting” can be
found in the accompanying consolidated financial statements. The CODM does not review segment assets at a level other than that presented
in the Company’s consolidated balance sheets. There are no intra-entity sales or transfers, and no significant expense categories
regularly provided to the CODM beyond those disclosed in the Consolidated Statements of Operations.

i)Cash and Cash Equivalents

The
Company considers all highly liquid investments with original maturities of three months or less at the time of purchase to be cash equivalents.
At December 31, 2024 and 2023, respectively, the Company had no cash equivalents.

The
Company minimizes credit risk associated with cash by periodically evaluating the credit quality of its primary financial institution
in the United States. The balance at times may exceed federally insured limits. At December 31, 2024 and 2023, the balances did not exceed
federally insured limits.

j)Accounts Receivable and Allowance for Doubtful Accounts

Accounts
receivable are reported at realizable value, net of allowances for doubtful accounts, which is estimated and recorded in the period the
related revenue is recorded. The Company has a standardized approach to