Company: AGGI
Filing Date: 2025-10-31
Form Type: 10-12G
Source: 0001683168-25-007875
Chunk: 64

Company: Allied Energy, Inc.
Filing Date: 2025-10-31
Form: 10-12G
Chunk 64
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These factors raise substantial doubt about the Company’s ability to continue as a going concern.

Management believes the Company’s capital
requirements will depend on several factors, including the success of its development efforts and its ability to raise additional financing.
Management also believes that additional capital will be necessary to fund working capital needs. However, there can be no assurance that
such financing will be available on acceptable terms, or at all.

The accompanying financial statements do not include
any adjustments that might result from the outcome of this uncertainty.

| F-7 |

NOTE 3 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of presentation

The Company’s consolidated financial statements
are prepared and presented in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”).

Principles of consolidation

The Company’s consolidated financial statements
include the financial statements of the Company, its subsidiaries. All inter-company transactions and balances among the Company,
its subsidiaries have been eliminated upon consolidation.

Use of estimates

The preparation of consolidated financial statements
in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and
liabilities and the related disclosure of contingent assets and liabilities at the date of these consolidated financial statements, and
the reported amounts of revenue and expenses during the reporting period. The Company continually evaluates these estimates and assumptions
based on the most recently available information, historical experience and various other assumptions that the Company believes to be
reasonable under the circumstances. Significant accounting estimates reflected in the Company’s 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 reme