Company: AGGI
Filing Date: 2025-10-31
Form Type: 10-12G
Source: 0001683168-25-007875
Chunk: 66

Company: Allied Energy, Inc.
Filing Date: 2025-10-31
Form: 10-12G
Chunk 66
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 at amortized cost, as well as certain off-balance sheet credit exposures. When similar risk
characteristics exist, the Company assesses collectability and measure expected credit losses on a collective basis for a pool of assets,
whereas if similar risk characteristics do not exist, the Company assesses collectability and measures expected credit losses on an individual
asset basis.

Under the CECL model, the estimation of credit
losses involves significant judgment and estimation uncertainty. Management exercises its judgment based on historical loss experience,
the age of the accounts receivable, current economic conditions, and reasonable and supportable forecasts that may affect the customer’s
ability to pay. Changes in these factors could have a material impact on the estimated credit losses.

Long-lived assets

The Company’s long-lived assets consist
primarily of capitalized application development costs. Such costs are recorded at cost and are not amortized until the application is
substantially complete and ready for its intended use.

The Company reviews long-lived assets for impairment
whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. Recoverability is
assessed by comparing the carrying value of the asset to the estimated undiscounted future cash flows expected to be generated by the
asset. If the carrying value exceeds the estimated undiscounted cash flows, an impairment loss is recognized in an amount equal to the
excess of the carrying value over fair value.

For the years ended December 31, 2024 and 2023,
the Company did not recognize any impairment loss on long-lived assets.

Fair value of financial instruments

The Company measures fair value in accordance
with ASC 820, Fair Value Measurement. ASC 820 defines fair value as the price that would be received to sell an asset or paid to
transfer a liability in an orderly transaction between market participants at the measurement date, and establishes a three-level hierarchy
for inputs used in measuring fair value:

| · | Level 1 — Quoted prices in active markets for identical 
 assets or liabilities.                                  |

| · | Level 2 — Observable inputs other than Level 1 prices such                                                                            
 as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable 
 or can be corroborated by observable market data for substantially the full term of the assets or liabilities.                        |

| · | Level 3 — Unobservable inputs that are supported by little                                     
 or no market activity and that are significant to the fair value of the