| LEASES |
NOTE 13 – LEASES
The components of lease cost for operating leases
for the three and six months ended June 30, 2023 and 2022 is as follows:
| Schedule of lease cost for operating leases |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Three
Months Ended June
30, 2023
|
|
|
Three
Months Ended June
30, 2022
|
|
|
Six
Months Ended June
30, 2023
|
|
|
Six
Months Ended June
30, 2022
|
|
| Lease Cost |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Operating lease cost |
|
$ |
117,250 |
|
|
$ |
140,583 |
|
|
$ |
234,499 |
|
|
$ |
299,256 |
|
| Short-term lease cost |
|
|
29,730 |
|
|
|
90,782 |
|
|
|
89,520 |
|
|
|
131,380 |
|
| Variable lease cost |
|
|
– |
|
|
|
– |
|
|
|
– |
|
|
|
– |
|
| Sublease income |
|
|
– |
|
|
|
– |
|
|
|
– |
|
|
|
– |
|
| Total lease cost |
|
$ |
146,980 |
|
|
$ |
231,365 |
|
|
$ |
324,019 |
|
|
$ |
430,636 |
|
Supplemental cash flow information related to
leases for the six months ended June 30, 2023 and 2022, is as follows:
| Schedule of supplemental cash flow information related to leases |
|
|
|
|
|
|
|
|
| |
|
2023 |
|
|
2022 |
|
| Other Lease Information |
|
|
|
|
|
|
|
|
| Cash paid for amounts included in the measurement of lease liabilities: |
|
|
|
|
|
|
|
|
| Operating cash flows from operating leases |
|
$ |
174,365 |
|
|
$ |
199,966 |
|
| Amortization of right-of-use assets |
|
$ |
181,677 |
|
|
$ |
257,647 |
|
The following table summarizes the lease-related
assets and liabilities recorded on the balance sheet at June 30, 2023 and December 31, 2022:
| Schedule of lease-related assets and liabilities |
|
|
|
|
|
|
|
|
| |
|
June
30, 2023
|
|
|
December
31, 2022
|
|
| Lease Position |
|
|
|
|
|
|
|
|
| Operating Leases: |
|
|
|
|
|
|
|
|
| Operating lease right-of-use assets |
|
$ |
1,324,310 |
|
|
$ |
1,505,987 |
|
| Right-of-use liabilities operating leases short-term |
|
|
412,159 |
|
|
|
391,117 |
|
| Right-of-use liabilities operating leases long-term |
|
|
947,604 |
|
|
|
1,143,011 |
|
| Total operating lease liabilities |
|
$ |
1,359,763 |
|
|
$ |
1,534,128 |
|
The Company utilizes the incremental borrowing
rate in determining the present value of lease payments unless the implicit rate is readily determinable.
| Schedule of right of use asset and lease liability |
|
|
|
|
| Lease Term and Discount Rate |
|
June 30, 2023 |
|
| Weighted-average remaining lease term (years): |
|
|
|
|
| Operating leases |
|
|
3.2 |
|
| Weighted-average discount rate: |
|
|
|
|
| Operating leases |
|
|
6.05% |
|
The following table provides the maturities of
lease liabilities at June 30, 2023:
| Schedule of maturities of lease liabilities |
|
|
|
|
| |
|
Operating |
|
| |
|
Leases |
|
| Remainder of 2023 |
|
$ |
231,384 |
|
| 2024 |
|
|
471,638 |
|
| 2025 |
|
|
485,702 |
|
| 2026 |
|
|
340,591 |
|
| Total future undiscounted lease payments |
|
|
1,529,315 |
|
| Less: Interest |
|
|
(169,552 |
) |
| Present value of lease liabilities |
|
$ |
1,359,763 |
|
|