LEASES |
NOTE 13 – LEASES
The components of lease cost for operating leases
for the three and nine months ended September 30, 2023 and 2022 is as follows:
Schedule of lease cost for operating leases |
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Three Months Ended
September 30,
2023
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Three Months Ended
September 30,
2022
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Nine Months Ended
September
30,
2023
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Nine Months Ended
September
30,
2022
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Lease Cost |
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Operating lease cost |
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$ |
117,249 |
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$ |
107,534 |
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$ |
351,748 |
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|
$ |
406,786 |
|
Short-term lease cost |
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|
30,751 |
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|
|
75,015 |
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|
|
120,271 |
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|
208,009 |
|
Variable lease cost |
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|
– |
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– |
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– |
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|
– |
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Sublease income |
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– |
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– |
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– |
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|
– |
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Total lease cost |
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$ |
148,000 |
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|
$ |
182,549 |
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|
$ |
472,019 |
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|
$ |
614,795 |
|
Supplemental cash flow information related to
leases for the nine months ended September 30, 2023 and 2022, is as follows:
Schedule of supplemental cash flow information related to leases |
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2023 |
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2022 |
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Other Lease Information |
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Cash paid for amounts included in the measurement of lease liabilities: |
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Operating cash flows from operating leases |
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$ |
265,161 |
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$ |
269,836 |
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Amortization of right-of-use assets |
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$ |
274,895 |
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$ |
342,112 |
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The following table summarizes the lease-related
assets and liabilities recorded on the balance sheet at September 30, 2023 and December 31, 2022:
Schedule of lease- related assets and liabilities |
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September 30, 2023
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December 31, 2022
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Lease Position |
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Operating Leases: |
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Operating lease right-of-use assets |
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$ |
1,231,092 |
|
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$ |
1,505,987 |
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Right-of-use liabilities operating leases short-term |
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|
423,849 |
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|
391,117 |
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Right-of-use liabilities operating leases long-term |
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|
845,117 |
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|
|
1,143,011 |
|
Total operating lease liabilities |
|
$ |
1,268,966 |
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|
$ |
1,534,128 |
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The Company utilizes the incremental borrowing
rate in determining the present value of lease payments unless the implicit rate is readily determinable.
Schedule of lease payments |
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Lease Term and Discount Rate |
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September 30, 2023 |
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Weighted-average remaining lease term (years): |
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Operating leases |
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2.9 |
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Weighted-average discount rate: |
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Operating leases |
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6.05% |
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The following table provides the maturities of
lease liabilities at September 30, 2023:
Schedule of maturities of lease liabilities |
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Operating |
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Leases |
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Remainder of 2023 |
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$ |
116,557 |
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2024 |
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|
471,638 |
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2025 |
|
|
485,702 |
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2026 |
|
|
340,591 |
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Total future undiscounted lease payments |
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1,414,488 |
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Less: Interest |
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(145,522 |
) |
Present value of lease liabilities |
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$ |
1,268,966 |
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