| SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 2.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis
of Presentation These
accompanying financial statements have been prepared in accordance with generally accepted accounting principles in the United States
of America (“US GAAP”). The
accompanying financial statements include the accounts of the Company and its wholly-owned subsidiaries. Intercompany transactions and
balances were eliminated in consolidation. Below
is the organization chart of the Group. On January 1, 2024, the Company
disposed SEHL to Mr. Tan Peh Hin Michael in a consideration of $ 1.00 Use
of Estimates In
preparing these financial statements, management makes estimates and assumptions that affect the reported amounts of assets and liabilities
in the balance sheets and revenues and expenses during the years reported. Actual results may differ from these estimates. Cash
and Cash Equivalents The
Company considers short-term, highly liquid investments with an original maturity of 90 days or less to be cash equivalents. Our
deposit in Malaysia is currently deposit in Public Bank Berhad and Standard Chartered Bank (Malaysia) Berhad, and there is a Perbadanan
Insurans Deposit Malaysia protects our eligible deposits held with bank in Malaysia which is members of the Scheme. The scheme will pay
a compensation up to a limit of Malaysia Ringgit (“MYR”) 250,000 53,763 Plant
and Equipment Plant
and equipment are stated at cost, with depreciation and amortization provided using the straight-line method over the following periods: SCHEDULE OF DEPRECIATION AND AMORTIZATION PERIODS OF PLANT AND EQUIPMENT
Asset
Categories Depreciation
Periods
Renovation over
the remaining lease period
Office
and kitchen equipment 10
Motor
vehicle 5 Intangible
Asset Intangible
assets are stated at cost, with amortization provided using the straight-line method over the following periods: SCHEDULE OF AMORTIZATION PERIOD OF INTANGIBLE ASSET
Asset
Categories Amortization
Periods
Trademark 10 Inventories Inventories
consisting of products available for sell, are stated at the lower of cost or market value. Cost of inventory is determined using the
first-in, first-out (FIFO) method. Inventory reserve is recorded to write down the cost of inventory to the estimated market value due
to slow-moving merchandise and damaged goods, which is dependent upon factors such as historical and forecasted consumer demand, and
promotional environment. The Company takes ownership, risks and rewards of the products purchased. Write downs are recorded in cost of
revenue in the consolidated statements of operations and comprehensive income (loss). Revenue
recognition Revenue
is generated through consultancy services, sale of goods and delivery services. Revenue is recognized when a customer obtains
control of promised goods or services and is recognized in an amount that reflects the consideration that the Company expects to
receive in exchange for those goods or services. In addition, the standard requires disclosure of the nature, amount, timing, and
uncertainty of revenue and cash flows arising from contracts with customers. The amount of revenue that is recorded reflects the
consideration that the Company expects to receive in exchange for those goods and services. The Company applies the following
five-step model in order to determine this amount: (i)
identification of the promised goods and services in the contract; (ii)
determination of whether the promised goods and services are performance obligations, including whether they are distinct in the context
of the contract; (iii)
measurement of the transaction price, including the constraint on variable consideration; (iv)
allocation of the transaction price to the performance obligations; and (v)
recognition of revenue when (or as) the Company satisfies each performance obligation. The
Company adopted ASU 2014-09, Revenue from Contracts with Customers (Topic 606). Under Topic 606, the Company records revenue when
persuasive evidence of an arrangement exists, delivery of goods and services has occurred, the fee is fixed or determinable and
collectability is probable. The Company records revenue from the provision of consultancy services upon the delivery of the kitchen
management consultancy service to the customer while the revenue from the sale of product is recorded upon shipment or delivery of
the products to the customer. The Company does not allow return of the products purchased or refund unless the food delivered is
spoilt. Cost
of revenue Cost
of revenue includes the purchase cost of raw material for manufacturing and distribute to customers and packing materials. It includes
purchasing and receiving costs, internal transfer costs, other costs of distribution network, opening and closing inventory net off discount
received and return outwards in cost of revenue. Income
tax expense Income
taxes are determined in accordance with the provisions of ASC Topic 740, “Income Taxes” (“ASC Topic 740”). Under
this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the
financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities
are measured using enacted income tax rates expected to apply to taxable income in the years in which those temporary differences are
expected to be recovered or settled. Any effect on deferred tax assets and liabilities of a change in tax rates is recognized in income
in the period that includes the enactment date. ASC
740 prescribes a comprehensive model for how companies should recognize, measure, present, and disclosed in their financial statements
uncertain tax positions taken or expected to be taken on a tax return. Under ASC 740, tax positions must initially be recognized in the
financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax
positions must initially and subsequently be measured as the largest amount of tax benefit that has a greater than 50% likelihood of
being realized upon ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts. The
Company conducts major businesses in Malaysia and is subject to tax in their own jurisdictions. As a result of its business activities,
the Company will file separate tax returns that are subject to examination by the foreign tax authorities. Foreign
currencies translation Transactions
denominated in currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing
at the dates of the transaction. Monetary assets and liabilities denominated in currencies other than the functional currency are translated
into the functional currency using the applicable exchange rates at the balance sheet dates. The resulting exchange differences are recorded
in the statement of operations and comprehensive income (loss). The
functional currency of the Company is the United States Dollars (“US$”) and the accompanying financial statements have been
expressed in US$. In addition, the Company’s subsidiary maintains its books and record in Malaysian Ringgits (“MYR”)
and United States Dollars (“US$”), which is the respective functional currency as being the primary currency of the economic
environment in which the entity operates. In
general, for consolidation purposes, assets and liabilities of its subsidiaries whose functional currency is not US$ are translated into
US$, in accordance with ASC Topic 830-30, “Translation of Financial Statement”, using the exchange rate on the balance sheet
date. Revenues and expenses are translated at average rates prevailing during the period. The gains and losses resulting from translation
of financial statements of foreign subsidiary are recorded as a separate component of accumulated other comprehensive income. Translation
of amounts from the local currency of the Company into US$1 has been made at the following exchange rates for the respective years: SCHEDULE
OF EXCHANGE RATE TRANSLATION OF AMOUNTS FROM LOCAL CURRENCY
For the year ended March 31
2024 2023
Period-end MYR : US$1 exchange rate 4.72 4.42
Period-average MYR : US$1 exchange rate 4.65 4.46
Period-end/Period-average HK$ : US$1 exchange rate 7.75 7.75 Related
parties Parties,
which can be a corporation or individual, are considered to be related if the Company has the ability, directly or indirectly, to control
the other party or exercise significant influence over the other party in making financial and operating decisions. Companies are also
considered to be related if they are subject to common control or common significant influence. Fair
value of financial instruments The
carrying value of the Company’s financial instruments: cash and cash equivalents, account receivable, deposits and other receivables,
amount due to related parties, account payable and other payables approximate at their fair values because of the short-term nature of
these financial instruments. The
Company also follows the guidance of the ASC Topic 820-10, “Fair Value Measurements and Disclosures” (“ASC 820-10”),
with respect to financial assets and liabilities that are measured at fair value. ASC 820-10 establishes a three-tier fair value hierarchy
that prioritizes the inputs used in measuring fair value as follows: Level
1 : Observable inputs such as quoted prices in active markets; Level
2 : Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and Level
3 : Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions. As
of March 31, 2024, and 2023, the Company did not have any non-financial assets and liabilities that are recognized or disclosed at fair
value in the financial statements, at least annually, on a recurring basis, nor did the Company have any assets or liabilities measured
at fair value on a non-recurring basis. Net
Income/(Loss) per Share The
Company calculates net income/(loss) per share in accordance with ASC Topic 260, “Earnings per Share.” Basic income/(loss)
per share is computed by dividing the net income/(loss) by the weighted-average number of common shares outstanding during the period.
Diluted income per share is computed similar to basic income/(loss) per share except that the denominator is increased to include the
number of additional common shares that would have been outstanding if the potential common stock equivalents had been issued and if
the additional common shares were dilutive. Lease The
Company adopted the ASU No. 2016-02, on April 1, 2019 (date of inception). The Company leases central kitchen and restaurants for fixed
periods pre-emptive extension options. The Company recognizes lease payments for its short-term lease on a straight-line basis over the
lease term. As
of March 31, 2024, the Company have no operating lease of which lease liability is initially and subsequently measured at the present
value of the unpaid lease payments at the lease commencement date. The right-of-use asset is initially measured at cost, which comprises
the initial amount of the lease liability adjusted for lease payments made at or before the lease commencement date, plus any initial
direct costs incurred less any lease incentives received. Costs associated with operating lease assets are recognized on a straight-line
basis within operating expenses over the term of the lease. In
determining the present value of the unpaid lease payments, ASC 842 requires a lessee to discount its unpaid lease payments using the
interest rate implicit in the lease or, if that rate cannot be readily determined, its incremental borrowing rate. As most of the Company
leases do not provide an implicit rate, the Company uses its incremental borrowing rate as the discount rate for the lease. The Company
incremental borrowing rate is estimated to approximate the interest rate on a collateralized basis with similar terms and payments. Accounts
Receivable Financial
instruments that potentially subject the Company to concentrations of credit risk consist primarily of accounts receivable. The Company
extends credit to its customers in the normal course of business and generally does not require collateral. The Company’s credit
terms are dependent upon the segment, and the customer. The Company assesses the probability of collection from each customer at the
outset of the arrangement based on a number of factors, including the customer’s payment history and its current creditworthiness.
If in management’s judgment collection is not probable, the Company does not record revenue until the uncertainty is removed. Management
performs ongoing credit evaluations, and the Company maintains an allowance for potential credit losses based upon its loss history and
its aging analysis. The allowance for doubtful accounts is the Company’s best estimate of the amount of credit losses in existing
accounts receivable. Management reviews the allowance for doubtful accounts each reporting period based on a detailed analysis of trade
receivables. In the analysis, management primarily considers the age of the customer’s receivable, and also considers the creditworthiness
of the customer, the economic conditions of the customer’s industry, general economic conditions and trends, and the business relationship
and history with its customers, among other factors. If any of these factors change, the Company may also change its original estimates,
which could impact the level of the Company’s future allowance for doubtful accounts. If judgments regarding the collectability
of receivables were incorrect, adjustments to the allowance may be required, which would reduce profitability. Accounts
receivable is recognized and carried at the original invoice amount less an allowance for any uncollectible amounts. An estimate for
doubtful accounts receivable is made when collection of the full amount is no longer probable. Bad debts are written off as identified.
For the year ended March 31, 2024, the Company do not make any allowance for expected credit loss. Recently
Issued Accounting Standards In
June 2016, the FASB issued Accounting Standards Update No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement
of Credit Losses on Financial Instruments, which introduced the expected credit losses methodology for the measurement of credit losses
on financial assets measured at amortized cost basis, replacing the previous incurred loss methodology. In November 2019, the FASB issued
ASU 2019-10 highlighted the adoption timeline. For smaller reporting entities, Topic 326 is effective for annual periods beginning after
December 15, 2022, including interim periods within those fiscal years, of which is effective for the Company on April 1, 2023. An analysis
of receivables, including credit losses, was conducted during the first quarter of fiscal 2024. The Company does not anticipate that
the adoption of the new guidance will have a material impact on our consolidated financial statements. Other
recent accounting pronouncements issued by the FASB, including its Emerging Issues Task Force, the American Institute of Certified Public
Accountants, and the Securities and Exchange Commission did not or are not believed by management to have a material impact on the Company’s
present or future financial statements. |
