Company: VPLM
Filing Date: 2025-12-23
Form Type: 10-K
Source: 0001493152-25-029094
Chunk: 95

Company: Voip-pal.com Inc
Filing Date: 2025-12-23
Form: 10-K
Item: Item 1A
Chunk 95
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 of assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the
reporting period. Actual results could differ from these estimates. Where estimates have been used, financial results as determined by
actual events could differ from those estimates. Some of the more significant accounting estimates used in the preparation of the company’s
financial statements include deferred income taxes, the valuation of equity-related instruments issued, and the useful life and impairment
of intangible assets.

Cash
and Restricted Cash

Cash
consists of cash on hand, cash held in trust, and monies held in checking and savings accounts. The Company had $1,060,499 in cash on
September 30, 2025 (September 30, 2024 - $2,369,413). The Company also had $40,250 restricted cash on September 30, 2025 (2024 - $40,250)
which is a collateral GIC held for the Company’s corporate credit card.

Intangible
Assets

Intangible
assets, consisting of VoIP communication patent intellectual properties (IP) are recorded at cost and amortized over the assets estimated
life on a straight-line basis. Management considers factors such as remaining life of the patents, technological usefulness and other
factors in estimating the life of the assets.

The
carrying value of intangible assets are reviewed for impairment by management of the Company at least annually or upon the occurrence
of an event which may indicate that the carrying amount may be less than its fair value. If impaired, the Company will write- down such
impairment. In addition, the useful life of the intangible assets will be evaluated by management at least annually or upon the occurrence
of an event which may indicate that the useful life may have changed.

Fair
Value of Financial Instruments

FASB
ASC 820, Fair Value Measurement, defines fair value as the price that would be received upon sale of an asset or paid upon transfer of
a liability in an orderly transaction between market participants at the measurement date and in the principal or most advantageous market
for that asset or liability. The fair value should be calculated based on assumptions that market participants would use in pricing the
asset or liability, not on assumptions specific to the entity.

The
Company classifies financial assets and liabilities as held-for-trading, available-for-sale, held-to-maturity, loans and receivables
or other financial liabilities depending on their nature. Financial assets and financial liabilities are recognized