Company: IDVV
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001683168-25-006029
Chunk: 126

Company: ModuLink Inc.
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 2
Chunk 126
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 by transferring control of the asset created or enhanced by the project to the customer. The contracts for design
and building services are legally enforceable and binding agreements between the Company and customers. Recognition of revenues for construction
projects requires significant judgment by management, including, among other things, estimating total costs expected to be incurred to
complete a project and measuring progress toward completion. Management reviews contract estimates regularly to assess revisions of estimated
costs to complete a project and for measurement of progress toward completion. No material adjustments to a contract were noted during
the six months ended June 30, 2025 and 2024.

 14 

The Company reviews and updates the estimated
total costs of the contracts at least annually. Revisions to contract revenue and estimated total costs of the contracts are made in the
period in which the facts and circumstances that cause the revision become known and are accounted for as changes in estimates. Management
believes the Company maintains reasonable estimates based on prior experience; however, many factors contribute to changes in estimates
of contract costs. Accordingly, estimates made with respect to uncompleted projects are subject to change as each project progresses and
better estimates of contract costs become available. All contract costs are recorded as incurred, and revisions to estimated total costs
are reflected as soon as the obligation to perform is determined. Provisions are recognized for the full amount of estimated losses on
uncompleted contracts whenever evidence indicates that the estimated total cost of a contract exceeds its estimated total revenue, regardless
of the stage of completion. When the Company incurs additional costs related to work performed by subcontractors, the Company may be able
to utilize contractual provisions to back charge the subcontractors for those costs.

Revenue in excess of billings on the contracts
is recorded as costs and estimated earnings in excess of billings. Billings in excess of revenues recognized on the contracts are recorded
as deferred revenue until the above revenue recognition criteria are met. Recognition of accounts receivable and costs and estimated earnings
in excess of billings are stated set out in Note 2(I) of International Endeavors Corporation of notes to consolidated financial statements
for the years ended December 31, 2024 and 2023.

If at any time the costs to complete the contract
are estimated to exceed the remaining amount of the consideration under the contract, then a provision is recognized.

Project design and management services

Revenues derived from design and management services
are recognized over time by using percentage of completion certified by engineer to measure the progress towards the completion of