Company: CLOQ
Filing Date: 2025-05-13
Form Type: 10-Q
Source: 0001641172-25-009976
Chunk: 10

Company: CYBERLOQ TECHNOLOGIES, INC.
Filing Date: 2025-05-13
Form: 10-Q
Item: Part I, Item 1
Chunk 10
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 is probable that such expenditures will result in additional functionality.

In accounting for website
software development costs, we have adopted the provisions of ASC Topic No. 350. ASC Topic No. 350 provides that certain planning and
training costs incurred in the development of website software be expensed as incurred, while application development stage costs are
to be capitalized. During the period ended September 30, 2023, the Company began capitalizing website development costs, for the three
month period ended March 31, 2025 and 2024 we capitalized $1,275 and $1,200.

Fixed Assets, Intangibles
and Long-Lived Assets

The Company records
its fixed assets at historical cost. The Company expenses maintenance and repairs as incurred. Upon disposition of fixed assets, the
gross cost and accumulated depreciation are written off and the difference between the proceeds and the net book value is recorded as
a gain or loss on sale of assets. The Company depreciates its fixed assets over their respective estimated useful lives ranging from
3 three to fifteen
years.

The Company follows FASB
ASC 360-10, “Property, Plant, and Equipment,” which established a “primary asset” approach to
determine the cash flow estimation period for a group of assets and liabilities that represents the unit of accounting for a long-lived
asset to be held and used. Long-lived assets to be held and used are reviewed for impairment whenever events or changes in circumstances
indicate that the carrying amount of an asset may not be recoverable. The carrying amount of a long-lived asset is not recoverable if
it exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset. Long-lived assets
to be disposed of are reported at the lower of carrying amount or fair value less cost to sell. As of December 31, 2020, the Company wrote-off
the book value of the CyberloQ technology software fixed asset and recorded software impairment expense of $321,725. Even though the software
asset was written-off as impaired as of December 31, 2020, the software asset continued to be functionable but required updating the software
programming code to current technology standards. During 2021, the Company developed and implemented a business plan to fully update the
CyberloQ Secure Solution and feasibility of the software to meet the demands of the market. As of January 1, 2022, the Company began capitalizing