Company: IPSI
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-110820
Chunk: 138

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 138
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   10 years  

The cost of repairs and maintenance
is expensed as incurred. When assets are retired or disposed of, the cost and accumulated depreciation are removed from the accounts,
and any resulting gains or losses are included in income in the year of disposition.

l)Long-Term
Assets

Assets are reviewed for impairment
whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets
to be held and used is measured by a comparison of the carrying amount of an asset to future undiscounted net cash flows expected to
be generated by the asset. If such assets are considered impaired, the impairment to be recognized is measured by the amount by which
the carrying amount of the assets exceeds the fair value of the assets.

11

INNOVATIVE PAYMENT SOLUTIONS, INC.

Notes to the Unaudited
Condensed Financial Statements

2ACCOUNTING
POLICIES AND ESTIMATES (continued)

m)Revenue Recognition

The Company’s revenue recognition
policy is consistent with the requirements of FASB ASC 606, Revenue.

The Company’s revenues are recognized
when control of the promised goods or services are transferred to a customer, in an amount that reflects the consideration that the Company
expects to receive in exchange for those services. The Company derives its revenues from the sale of its services, as defined below. The
Company applies the following five steps in order to determine the appropriate amount of revenue to be recognized as it fulfills its obligations
under each of its revenue transactions:

i.identify
the contract with a customer;

ii.identify
the performance obligations in the contract;

iii.determine
the transaction price;

iv.allocate
the transaction price to performance obligations in the contract; and

v.recognize
revenue as the performance obligation is satisfied.

TheCompany had no revenues for the three and nine months
ended September 30, 2025 and 2024.

n)Share-Based Payment Arrangements

Generally, all forms of share-based
payments, including stock option grants, restricted stock grants and stock appreciation rights are measured at their fair value on the
awards’ grant date, based on the estimated number of awards that are ultimately expected to vest. Share-based compensation awards
issued to non-employees for services rendered are recorded at either the fair value of the services rendered or the fair value of the
share-based payment, whichever is more readily determinable. The