Company: LHI
Filing Date: 2025-05-23
Form Type: F-1
Source: 0001213900-25-046955
Chunk: 131

Company: Living Homeopathy International Ltd.
Filing Date: 2025-05-23
Form: F-1
Chunk 131
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goods and are stated at the lower of cost or net realizable value. The cost of inventories is calculated using the weighted average basis.
Cost of inventories sold is charged to cost of revenue, which also includes inbound freight cost and packaging fee. Adjustments are recorded
to write down the cost of inventories to the estimated net realizable value for slow-moving merchandises and damaged goods, which are
dependent upon factors such as historical and forecasted consumer demand, and other market conditions. The Company takes ownership, risks
and rewards of its inventories, and has sole discretion in establishing prices for goods to be sold. Write downs are recorded in cost
of revenue in the consolidated statements of income and comprehensive income. For the six months ended September 30, 2024 and 2023, nil
impairment for inventories was recognized. For the years ended March 31, 2024 and 2023, $19,212 and $183 of impairment for inventories
was recognized, respectively.

Impairment of long-lived assets

Long-lived assets are evaluated for impairment
periodically whenever events or changes in circumstances indicate that their related carrying amounts may not be recoverable in accordance
with FASB ASC 360, “Property, Plant and Equipment”. In evaluating long-lived assets for recoverability, the Company
uses its best estimate of future cash flows expected to result from the use of the asset and eventual disposition in accordance with
FASB ASC 360-10-15. To the extent that estimated future undiscounted cash inflows attributable to the asset, less estimated future
undiscounted cash outflows, are less than the carrying amount, an impairment loss is recognized in an amount equal to the difference
between the carrying value of such an asset and its fair value. Assets to be disposed of and for which there is a committed plan of disposal,
whether through sale or abandonment, are reported at the lower of carrying value or fair value less costs to sell. There were no impairments
of these assets as of September 30, 2024, March 31, 2024 and 2023.

Leases

The Company utilizes ASC 842 to account for leases for all periods presented.

The Company determines if an arrangement is a lease at inception. On the Company’s consolidated balance sheets, right-of-use (“ROU”) assets, current portion of lease liabilities, and non-current portion of lease liabilities are accounted.

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