|
Note
10 – Operating Lease Obligations
We
lease property under operating leases. For operating leases with terms greater than 12 months, we record the related right-of-use assets
and right-of-use obligations at the present value of lease payments over the term. We do not separate lease and non-lease components
of contracts.
Generally,
we use our most recent agreed-upon borrowing interest rate at lease commencement as our interest rate, as most of our operating leases
do not provide a readily determinable implicit interest rate.
The
following table presents our lease-related assets and liabilities at December 31, 2023 and 2022:
Schedule of Lease-related Assets and Liabilities
| |
|
Balance
Sheet Classification |
|
December
31,
2023 |
|
|
December
31,
2022 |
|
| |
|
|
|
|
|
|
|
|
| Assets: |
|
|
|
|
|
|
|
|
|
|
| Total
operating leases |
|
Right-of-use
operating lease assets |
|
$ |
359,194 |
|
|
$ |
574,256 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Liabilities: |
|
|
|
|
|
|
|
|
|
|
| Current: |
|
|
|
|
|
|
|
|
|
|
| Operating
leases |
|
Right-of-use
operating lease obligations |
|
$ |
183,345 |
|
|
$ |
215,063 |
|
| Noncurrent: |
|
|
|
|
|
|
|
|
|
|
| Operating
leases |
|
Right-of-use
operating lease obligations |
|
|
175,849 |
|
|
|
359,193 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Total
lease liabilities |
|
|
|
$ |
359,194 |
|
|
$ |
574,256 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Weighted-average
remaining term: |
|
|
|
|
|
|
|
|
|
|
| Operating
leases |
|
|
|
|
1.83
years |
|
|
|
2.59
years |
|
| |
|
|
|
|
|
|
|
|
|
|
| Weighted-average
discount rate: |
|
|
|
|
|
|
|
|
|
|
| Operating
leases |
|
|
|
|
13.0 |
% |
|
|
13.0 |
% |
The
following table presents certain information related to lease expense for operating leases for the years ended December 31, 2023 and
2022:
Schedule
of Lease Expense
| |
|
Year
Ended
December 31, 2023 |
|
|
Year
Ended December
31, 2022
|
|
| Operating leases: |
|
|
|
|
|
|
|
|
| Short-term
lease expense (1) |
|
$ |
342,114 |
|
|
$ |
323,506 |
|
| Total lease expense |
|
$ |
342,114 |
|
|
$ |
323,506 |
|
| (1) |
Expense
is included in general and administrative expenses in the consolidated statements of operations. |
Other
Information
The
following table presents supplemental cash flow information for the years ended December 31, 2023 and 2022:
Schedule of Lease Supplemental Cash Flow Information
| |
|
Year
Ended December
31, 2023
|
|
|
Year
Ended December
31, 2022
|
|
| Cash paid for amounts included in the measurement
of lease liabilities: |
|
|
|
|
|
|
|
|
| Operating cash flows for operating
leases |
|
$ |
265,307 |
|
|
$ |
323,961 |
|
| |
|
|
|
|
|
|
|
|
Aggregate
future minimum lease payments under the right-of-use operating lease outstanding at December 31, 2023 are as follows:
Schedule of Future Minimum Rentals Under Right-of-use Operating Leases
| |
|
Right-of-Use
Operating Lease |
|
| Twelve months ending December 31: |
|
|
|
|
| 2024 |
|
$ |
219,463 |
|
| 2025 |
|
|
186,496 |
|
| 2026 |
|
|
- |
|
| 2027 |
|
|
- |
|
| 2028 |
|
|
- |
|
| Thereafter |
|
|
- |
|
| Total |
|
|
405,959 |
|
| |
|
|
|
|
| Less interest |
|
|
(46,765 |
) |
| Present value of minimum lease payments |
|
|
359,194 |
|
| |
|
|
|
|
| Less current portion of operating lease obligation |
|
|
(183,345 |
) |
| Operating lease obligation, net of current portion |
|
$ |
175,849 |
|
|