Company: NTWK
Filing Date: 2025-09-29
Form Type: 10-K
Source: 0001493152-25-015950
Chunk: 337

Company: NETSOL TECHNOLOGIES INC
Filing Date: 2025-09-29
Form: 10-K
Item: Item 1A
Chunk 337
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30, 2024 
  
    Vehicles 
    $145,197  
    $154,718 
  
    Total 
     145,197  
     154,718 
  
    Less: Accumulated Depreciation
    - Net 
     (47,807) 
     (25,078)
  
    Fixed assets held under
    capital leases, Total 
    $97,390  
    $129,640 

    F-24

NETSOL
                                            TECHNOLOGIES, INC.

Notes
to Consolidated Financial Statements

June
30, 2025 and 2024

Finance
lease term and discount rate were as follows:

 SCHEDULE OF FINANCE LEASE TERM

    As of  
    As of 

    June
    30, 2025  
    June
    30, 2024 
  
    Weighted
    average remaining lease term - Finance leases 
     1.75
                                            Years  
     2.75
                                            Years 

    Weighted average discount
    rate - Finance leases 
     11.3% 
     11.3%

NOTE
9 - LEASES

The
Company leases certain office space, office equipment and autos with remaining lease terms of 1 to 10 years under leases classified as
financing and operating. For certain leases, the Company has options to extend the lease term for additional periods ranging from 1 to
10 years.

The
Company treats a contract as a lease when the contract conveys the right to use a physically distinct asset for a period of time in
exchange for consideration, or the Company directs the use of the asset and obtains substantially all the economic benefits of the
asset. These leases are recorded as right-of-use (“ROU”) assets and lease obligation liabilities for leases with terms
greater than 12
months.  ROU assets represent the Company’s right to use an underlying asset for the entirety of the lease term. Lease
liabilities represent the Company’s obligation to make payments over the life of the lease. An ROU asset and a lease liability
are recognized at the commencement of the lease based on the present value of the lease payments over the life of the lease. Initial
direct costs are included as part of the ROU asset upon commencement of the lease. Since the interest rate implicit in a lease is
generally not readily determinable for the operating leases, the Company uses an