Company: PAVS
Filing Date: 2025-08-04
Form Type: 20-F
Source: 0001929980-25-000590
Chunk: 181

Company: Paranovus Entertainment Technology Ltd.
Filing Date: 2025-08-04
Form: 20-F
Item: Item 18
Chunk 181
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  Goodwill                    $                3,376,186      $                5,184,036  
  Acquisitions (Note 11)                      17,500,601                               -  
  Impairment                                 ( 3,376,186                     ( 1,807,850  
  Goodwill, net               $               17,500,601      $                3,376,186  

The goodwill generated from the expected synergies from the output capacity of the transaction and service scenario of E-commerce sales and developing AI-powered applications, respectively.

The Company assessed qualitative factors and performed the quantitative impairment test. As of March 31, 2025 and 2024, the Company recognized impairment amounted to $3,376,186and $1,807,850, respectively.

  F-23               
  Table of Contents  

NOTE 7 - LEASES

Effective on January 1, 2021, the Company adopted Topic 842. At the inception of a contract, the Company determines if the arrangement is, or contains, a lease. ROU assets represent the Company’s right to use an underlying asset over the lease term and lease liability represent the Company’s obligation to make lease payments derived from the lease.

Operating lease ROU asset and liability are recognized at commencement date based on the present value of lease payments over the lease terms. Rent expense is recognized on a straight-line basis over the lease terms.

As of March 31, 2025, the Company had the following non-cancellable lease contract.

  Description of the lease      Lease term    
 ──────────────────────────────────────────────
  Office premises               2 to 3 years  

Balance sheet information related to operating leases right-of-use assets and lease liabilities is as follows:

  (a)      Amount recognized in the consolidated balance sheet:  

                                                      As of                       As of      
                                                                                             
                                                      March 31,                   March 31,  
                                                      202 5                       202 4      
  Right-of-use assets                                 $              101,588      $          
  Right-of-use assets - accumulated amortization                     -                       
  Right-of-use assets, net                            $              101,588      $          
 ─────────────────────────────────────────────────────────────────────────────────────────────

                                         As of                       As of      
                                                                                
                                         March 31,                   March 31,  
                                         202 5                       202 4      
  Lease liabilities,