Company: EZOO
Filing Date: 2025-05-15
Form Type: 10-K
Source: 0001641172-25-010460
Chunk: 157

Company: Ezagoo Ltd
Filing Date: 2025-05-15
Form: 10-K
Item: Item 9A
Chunk 157
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 payments is recognized on a straight-line basis over the lease term.

● Revenue recognition 

The
Company assesses and follows the guidance of ASC 606, revenue from contracts with customers is recognized using the following five steps:

    1.
    Identify
    the contract(s) with a customer;

    a.
    
    The
    parties to the contract have approved the contract (in writing, orally, or in accordance with other customary business practices)
    and are committed to perform their respective obligations.

    b.
    
    The
    entity can identify each party’s rights regarding the services to be transferred.

    c.
    
    The
    entity can identify the payment terms for the services to be transferred.

    d.
    
    The
    contract has commercial substance (that is, the risk, timing, or amount of the entity’s future cash flows is expected to change
    as a result of the contract).

    e.
    
    It
    is probable that the entity will collect substantially all of the consideration to which it will be entitled in exchange for the
    services that will be transferred to the customer.

    2.
    Identify
    the performance obligations in the contract;

    a.
    
    According
    to the contract, the Company and Customer has to maintain the performance obligation, respectively.

    b.
    
    The
    customer shall pay for the services and goods after signing of the contract and provide appropriate advertisement materials, and
    the delivery address & contact information of the e-commerce order to the Company, the Company shall ensure the provided service
    and delivered goods of the Customer according to the contract terms.

    F-9

EZAGOO
LIMITED

NOTES
TO CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEARS ENDED DECEMBER 31, 2024 AND 2023

(Currency
expressed in United States Dollars (“US$”), except for number of shares)

    3.
    Determine
    the transaction price;

    a.
    
    For
    the e-commerce contract, the transaction price is explicitly stated in fixed amount in the contract. There is no variable consideration,
    such as discounts, rebates, consideration payable to customer or noncash consideration. There was no price concession, and the Company
    did not expect any price concession for the service performed during the years ended December 31, 2024 and 2023.

    b.
    
    The
    contract does not contain any elements that would cause