Company: FLYE
Filing Date: 2025-05-05
Form Type: S-1/A
Source: 0001213900-25-039419
Chunk: 180

Company: Fly-E Group, Inc.
Filing Date: 2025-05-05
Form: S-1/A
Chunk 180
---
 benefits of the intangible asset are expected
to be consumed or otherwise used up. The balance of intangible asset represents internal use software and property rights. The software
is acquired externally tailored to the Company’s requirements. The Company capitalizes the costs associated with design, development,
acquisition and maintenance of its acquired intangible assets and amortizes these assets over their remaining useful lives on a straight-line
basis. Any further payments made to maintain or develop these assets would be capitalized and amortized over the balance of the useful
life for the assets. The estimated useful life and amortization method are reviewed at the end of each reporting period, with the effect
of any changes in the estimate being accounted for on a prospective basis.

The estimated useful lives of intangibles assets
are as follows:

| Property rights |     | 5-20 years |
| Software        |     | 5 years    |

(l) Impairment of Long-lived Assets

At the end of each reporting period, the Company
reviews the carrying amounts of its property, plant and equipment, intangible assets subject to amortization, and right-of-use assets,
to determine whether there is any indication that the carrying value of an asset may not be recoverable. The Company assesses the recoverability
of the assets based on the undiscounted future cash flows the assets are expected to generate and recognize an impairment loss when estimated
undiscounted future cash flows expected to result from the use of the asset plus net proceeds expected from disposition of the asset,
if any, are less than the carrying value of the asset. If an impairment is identified, the Company will reduce the carrying amount of
the asset to its estimated fair value based on a discounted cash flows approach or, when available and appropriate, to comparable market
values. As of December 31, 2024 and March 31, 2024, no impairment of long-lived assets was recognized.

(m) Deferred IPO Costs

The Company complies with the requirements of
FASB ASC Topic 340-10-S99-1, “Other Assets and Deferred Costs - SEC Materials” (“ASC 340-10-S99”) and SEC Staff
Accounting Bulletin Topic 5A, “Expenses of Offering”. Deferred IPO costs consist of underwriting, legal, accounting and other
professional expenses incurred through the balance sheet date that are directly related to the initial public offering of the Company
and that will be charged to additional paid in capital upon the completion of the offering. Total