Company: IMG
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0001493152-25-020586
Chunk: 48

Company: CIMG Inc.
Filing Date: 2025-11-03
Form: 10-Q
Item: Item 8
Chunk 48
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 the entity obtains legal title to that good only momentarily
before legal title is transferred to a customer. An entity that is a principal may satisfy its performance obligation to provide the
specified good or service itself or it may engage another party (for example, a subcontractor) to satisfy some or all of the performance
obligation on its behalf.

ASC
606-10-55-38 An entity is an agent if the entity’s performance obligation is to arrange for the provision of the specified good
or service by another party. An entity that is an agent does not control the specified good or service provided by another party before
that good or service is transferred to the customer. When (or as) an entity that is an agent satisfies a performance obligation, the
entity recognizes revenue in the amount of any fee or commission to which it expects to be entitled in exchange for arranging for the
specified goods or services to be provided by the other party. An entity’s fee or commission might be the net amount of consideration
that the entity retains after paying the other party the consideration received in exchange for the goods or services to be provided
by that party.

Return
and Exchange Policy

All
products are thoroughly inspected and securely packaged before they are shipped to ensure buyers receive the best possible product. If
for any reason buyers are unsatisfied with the products, they can return them, and the Company will exchange or refund the purchase minus
any shipping charges. For wholesale customers, return policies vary based on their specific agreements with customers. Under chargebacks
agreements with the customers, the Company agrees to reimburse the seller for a portion of the costs incurred by the seller to advertise
and promote certain of the Company’s products. The Company estimates, accrues and recognizes such chargebacks. These amounts are
included in the determination of net sales. For nine months ended June 30, 2025 and 2024, the Company has no sales allowances for estimated
chargebacks and returns, respectively.

Accounts
payable and accrued expenses

As
of June 30, 2025 and September 30, 2024, the accounts payable are $482,000 and $1,098,582 respectively.

As
of June 30, 2025 and September 30, 2024, the accrued expenses are $1,146,598 and $1,141,755 respectively, it mainly includes the accrued expenses of Nuzee single-serving coffee and DRIPKIT products.

Accounts
payable and accrued expenses