Company: AGGI
Filing Date: 2025-10-31
Form Type: 10-12G
Source: 0001683168-25-007875
Chunk: 85

Company: Allied Energy, Inc.
Filing Date: 2025-10-31
Form: 10-12G
Chunk 85
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 experience and various other assumptions that the Company
believes to be reasonable under the circumstances. Significant accounting estimates reflected in the Company’s unaudited consolidated
financial statements include but are not limited to estimates and judgments applied in determination of allowance for doubtful receivables
arising from expected credit losses, economic lives and impairment losses for long-lived assets, discount rate used to measure present
value of lease liabilities, estimate of the lease terms and valuation allowance for deferred tax assets. Since the use of estimates is
an integral component of the financial reporting process, actual results could differ from those estimates.

Foreign currency translation and transactions

The Company’s reporting currency is U.S.
dollars (“US$”). The Company’s operations are principally conducted through subsidiaries located in Canada, where the
Canadian dollar (“CAD”) is the functional currency.

Transactions denominated in foreign currencies
are remeasured into the functional currency at the exchange rates prevailing at the transaction dates. Monetary assets and liabilities
denominated in foreign currencies are remeasured at the exchange rates prevailing at the balance sheet date. Non-monetary items measured
at historical cost are remeasured using the exchange rates at the dates of the initial transactions. Resulting exchange gains and losses
from remeasurement are recognized in net income.

For entities whose functional currency is not
the U.S. dollar, the financial statements are translated into U.S. dollars for reporting purposes. Assets and liabilities are translated
at exchange rates in effect at the balance sheet date, revenues and expenses are translated at average exchange rates prevailing during
the reporting period, and shareholders’ equity is translated at historical exchange rates. Translation adjustments resulting from
this process are reported as a component of other comprehensive income (loss) and accumulated in shareholders’ equity under accumulated
other comprehensive income (loss).

Cash and cash equivalents

Cash and cash equivalents include cash on hand,
deposits with banks, and highly liquid investments with original maturities of three months or less at the time of purchase. Cash equivalents
also include investments in money market mutual funds held which are available for withdrawal on demand without fees or restrictions.
As of June 30, 2025 and December 31, 2024, cash and cash equivalents consisted of the following:

|                                 |     |   | June 30, 
     2025 |     |   | December 31, 
         2024 |
|:--------------------------------|:----|:--|---------:|:----|:--|-------------:|
| Cash at banks