Company: LGCY
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010844
Chunk: 65

Company: Legacy Education Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 65
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 included in the transaction price
as well as the determination of the impact of the constraints preventing the variable consideration from being recognized in revenue.

Disaggregation
of Revenue

The
tuition and related revenue consist of the following during the three and nine months ended March 31, 2025 and 2024:

Schedule of Disaggregation of Revenue 

    2025  
    2024  
    2025  
    2024 

    For
                                            the Three Months Ended March
                                            31,  
    For
                                            the Nine Months Ended March
                                            31, 

    2025  
    2024  
    2025  
    2024 
  
    Tuition
    and lab fees (recognized over time) 
    $15,750,313  
    $10,099,834  
    $40,348,548  
    $27,554,512 
  
    Books,
    registration and other fees (recognized at a point in time) 
     2,827,252  
     2,229,831  
    5,869,242  
     5,693,384 
  
    Total
    revenue 
    $18,577,565  
    $12,329,665  
    $46,217,790  
    $33,247,896 

Allowance
for Credit Losses

The
Company records an allowance for credit losses for estimated losses resulting from the inability, failure or refusal of its students
to make required payments, which includes the recovery of financial aid funds advanced to a student for amounts in excess of the student’s
cost of tuition and related fees. The Company determines the adequacy of its allowance for doubtful accounts based on an analysis of
its historical bad debt experience, current economic trends, and the aging of the accounts receivable and student status. The Company
applies reserves to its receivables based upon an estimate of the risk presented by the age of the receivables and student status. The
Company writes off account receivable balances of inactive students at the earlier of the time the balances were deemed uncollectible,
or one year after the revenue is generated. Bad debt expense is recorded as a general and administrative expense in the accompanying
statements of operations. The Company performs an analysis annually to determine which accounts are uncollectable and then writes them
off.

    F-