Company: TOP
Filing Date: 2025-08-13
Form Type: 20-F
Source: 0001213900-25-075728
Chunk: 99

Company: TOP Financial Group Ltd
Filing Date: 2025-08-13
Form: 20-F
Item: Item 19
Chunk 99
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31, 2025, 2024 and 2023

2.
Summary of Significant Accounting Policies (Continued)

Fixed
assets, net

Fixed
assets are stated at cost less accumulated depreciation and impairment losses. Depreciation is provided using the straight-line method
based on the estimated useful life. The useful lives of fixed assets are as follows:

  Computer and                3 - 5 years  
  Software                    3 - 5 years  
  Furniture and fixtures      4 years      
  Investment properties       50 years     

As
of March 31, 2025 and 2024, the Company had three apartments in Cambodia and accounted for these apartments as investment properties.
The Company holds these apartments for the purpose of earning rental revenue and capital appreciation.

Expenditures
for repairs and maintenance, which do not materially extend the useful lives of the assets, are expensed as incurred. Expenditures for
major renewals and betterments which substantially extend the useful life of assets are capitalized. The cost and related accumulated
depreciation of assets disposed of or retired are removed from the accounts, and any resulting gain or loss is reflected in the consolidated
statement of income and other comprehensive income in other income or expenses.

Intangible
assets

Intangible
assets are originally recognized at cost. The useful lives of intangible assets are assessed to be either finite or indefinite. The
Company’s intangible assets consist of eligibility rights to trade on or through the Stock Exchange of Hong Kong Limited (the
“ SEHK”). Management has determined that such assets have indefinite useful lives. These intangible assets are not
amortized and are tested for impairment annually either individually or at the cash-generating unit level. The useful life of an
intangible asset with an indefinite life is reviewed annually to determine whether indefinite life assessment continues to be
supportable. If not, the change in the useful life assessment from indefinite to finite is accounted for on a prospective
basis.

Available-for-sale
investment

Available
for sale investment mainly includes treasury bond. Available-for-sale investments are reported at fair value, with unrealized gains
and losses recorded in accumulated other comprehensive income. Realized gains or losses were included in interest income in the consolidated
statements of operations and comprehensive income (loss) during the period in which the gain or loss was realized.

Impairment
of long-lived assets

The
Company reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an
asset