| Summary of Significant Accounting Policies | Note
2 - Summary of Significant Accounting Policies Basis
of presentation and principles of consolidation The
consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States
of America (“U.S. GAAP”) pursuant to the rules and regulations of the Securities Exchange Commission (“SEC”).
The consolidated financial statements of the Company include the financial statements of the Company, its subsidiaries and VIE in which
the Company is the primary beneficiary. The results of the subsidiaries are consolidated from the date on which the Company obtained
control and continues to be consolidated until the date that such control ceases. Subsidiary company is consolidated using the merger
method of accounting as the business combination of this subsidiary company involved an entity under common control. All intercompany
balances and transactions between the Company and its subsidiaries have been eliminated in consolidation. Use
of estimates The
preparation of financial statements in conformity with U.S. GAAP requires the Company to make estimates and judgments that affect the
reported amounts of assets and liabilities, revenues and expenses, and related disclosures of contingent assets and liabilities. These
estimates and judgments are based on historical information, information that is currently available to the Company and on various other
assumptions that the Company believes to be reasonable under the circumstances. Actual results could differ from those estimates. Foreign
currency translation and transactions The
Company uses United States dollars (“$”) as reporting currency. The functional currency of company’s subsidiary incorporated
in Labuan is maintained in United States dollars (“$”). In addition, VIE and subsidiaries incorporated in Malaysia are maintained
in their local currencies which are Malaysia Ringgit (“MYR”). Monetary assets and liabilities denominated in currencies other
than their local currencies are translated into local currencies at the rates of exchange in effect at the consolidated balance sheet
dates. Transactions
denominated in currencies other than their local currencies during the year are converted into local currencies at the applicable rates
of exchange prevailing when the transactions occur. Transaction gains and losses are recorded in other income, net in the consolidated
statements of income and comprehensive income. Transactions
denominated in foreign currencies are re-measured into the functional currency at the exchange rates prevailing on the transaction dates.
Financial assets and liabilities denominated in foreign currencies are re-measured into the functional currency at the exchange rates
prevailing at the balance sheet date. The
following table outlines the currency exchange rates that were used for the respective periods: Schedule of Foreign Exchange Rates
As of and for the year ended December 31, 2022 As of and for the year ended December 31, 2021
Year/Period-end MYR:US$1 exchange rate 4.4130 4.1650
Year/Period-average MYR:US$1 exchange rate 4.4005 4.1456
Year/Period-end MYR:HKD$1 exchange rate 0.5659 0.5353
Year/Period-average MYR:HKD$1 exchange rate 0.5619 0.5334
Year/Period-end MYR:SGD$1 exchange rate 3.2819 3.0869
Year/Period-average MYR:SGD$1 exchange rate 3.1912 3.0842
Year/Period-end MYR:CNY$1 exchange rate 0.6342 0.6549
Year/Period-average MYR:CNY$1 exchange rate 0.6540 0.6427 Going
Concern The
accompanying financial statements have been prepared assuming that the Company will continue as a going concern. For the years ended
December 31, 2022 and 2021 the Company incurred a net loss of $ 1,095,765
and $ 330,683
and had an accumulated deficit of $ 1,479,688
and $ 342,873
for years ended December 31, 2022 and 2021 respectively.
As of December 31, 2022, the Company had shareholders’ deficit of $ 176,574
and negative cash flow from operating activities
of $ 1,330,511 which
raise substantial doubt about the Company’s ability to continue as a going concern within one year of the date that the financial
statements are issued. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue
as a going concern. The
Company’s ability to continue as a going concern is dependent upon improving its profitability and the continuing financial support
from its shareholders. Management believes the existing shareholders or external financing will provide the additional cash to meet the
Company’s obligations as they become due. No assurance can be given that any future financing, if needed, will be available or,
if available, that it will be on terms that are satisfactory to the Company. Even if the Company is able to obtain additional financing,
if needed, it may contain undue restrictions on its operations, in the case of debt financing, or cause substantial dilution for its
stock holders, in the case of equity financing. Cash
and cash equivalents Cash
and cash equivalents consist of cash on hand, bank balances, deposits with licensed banks, other short-term, highly liquid investments
with original maturities of three months or less that are readily convertible to known amounts of cash and subject to an insignificant
risk of changes in value, net of bank overdrafts and pledged deposits, if any. Accounts
Receivable Accounts
receivable are recorded in accordance with ASC 310, “Receivables.” Accounts receivable are recorded at the invoiced amount
and do not bear interest. The allowance for doubtful accounts is the Company’s best estimate of the amount of probable credit losses
in its existing accounts receivable. The Company does not currently have any amount recorded as an allowance for doubtful accounts. Based
on management’s estimate and based on all accounts being current, the Company has not deemed it necessary to reserve for doubtful
accounts at this time. Property,
Plant and Equipment (PPE) Property,
plant and equipment, consist of office equipment and computer software, is recorded at cost reduced by accumulated depreciation and impairment,
if any. Depreciation expense is recognized over the assets’ estimated useful lives of five years Right-of-Use
(ROU) For
all leases at the lease commencement date, a right-of-use asset and a lease liability are recognized. The right-of-use asset represents
the right to use the leased asset for the lease term. The lease liability represents the present value of the lease payments under the
lease. Right-of-use assets depreciates on a straight-line basis from the lease commencement date to the earlier of the end of the useful
life of the right-of-use asset or the end of the lease term. Lease A
lease is defined as ‘a contract, or part of a contract, that conveys the right to use an asset (the underlying asset) for a period
of time in exchange for consideration’. Lease
liability is measured at the present value of the lease payments unpaid at that date, discounted using the interest rate implicit in
the lease if that rate is readily available or the Group’s incremental borrowing rate. Goodwill Goodwill
is recognized for the excess of the purchase price over the fair value of tangible and identifiable intangible net assets of businesses
acquired. Goodwill is not being amortized but is reviewed at least annually for impairment and whenever events or changes in circumstances
indicate that the value of the asset may be impaired. In the evaluation of goodwill impairment, the Company performs a qualitative assessment
to determine if it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If the qualitative
assessment is not conclusive, we proceed to a two-step process to test goodwill for impairment including comparing the fair value of
the reporting unit to its carrying value (including attributable goodwill). Fair value for the reporting units is determined using an
income or market approach incorporating market participant considerations and management’s assumptions on revenue growth rates,
operating margins, discount rates and expected capital expenditures. Fair value determinations may include both internal and third-party
valuations. Fair
Value Measurement The
Company uses a three-tier fair value hierarchy to classify and disclose all assets and liabilities measured at fair value on a recurring
basis, as well as assets and liabilities measured at fair value on a non-recurring basis, in periods subsequent to their initial measurement.
The hierarchy requires the Company to use observable inputs when available, and to minimize the use of unobservable inputs, when determining
fair value. The three tiers are defined as follows: ●
Level 1—Observable inputs that reflect quoted market prices (unadjusted) for identical assets or liabilities in active markets; ●
Level 2—Observable inputs other than quoted prices in active markets that are observable either directly or indirectly in the marketplace
for identical or similar assets and liabilities; and ●
Level 3—Unobservable inputs that are supported by little or no market data, which require the Company to develop its own assumptions. The
Company’s financial instruments, including cash, accounts receivable, prepaid expense and other current assets, accounts payable
and accrued liabilities, and loans payable, are carried at historical cost. At December 31, 2022 and December 31, 2021, the carrying
amounts of these instruments approximated their fair values because of the short-term nature of these instruments. Non-controlling
interests For
the Company’s subsidiaries majority-owned by the Company, non-controlling interests are recognized to reflect the portion of the
equity which is not attributable, directly or indirectly, to the Company as the controlling shareholder. Non-controlling interests acquired
through a business combination are recognized at fair value at the acquisition date, which is estimated with reference to the purchase
price per share as of the acquisition date. Revenue
Recognition In
accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic
606, Revenue from Contracts Revenue
is measured at the fair value of the consideration received or receivable, net of discounts and returns. The Company derives its revenue
from provision of providing services of information and communication technology. Earnings
per share Basic
earnings per share is computed by dividing net income attributable to common shareholders by the weighted average common shares outstanding
during the periods. Diluted earnings per share is calculated by dividing net income attributable to common shareholders by the weighted
average common shares outstanding during the period adjusted for the effect of dilutive common share equivalent (computed using the treasury
stock or if converted method). Income
taxes 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 periods 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 disclose 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. Related
Parties The
Company follows ASC 850, “Related Party Disclosures”, Recent
Accounting Pronouncements The
Company has reviewed all recently issued, but not yet effective, accounting pronouncements and do not believe the future adoption of
any such pronouncements may be expected to cause a material impact on its financial condition or the results of its operations. In
August 2020, the FASB issued “ASU 2020-06, Debt with Conversion and Other Options (Subtopic 47020) and Derivatives and Hedging
– Contracts in Equity’s Own Equity (Subtopic 815-40)” which simplifies the accounting for convertible instruments.
The guidance removes certain accounting models which separate the embedded conversion features from the host contract for convertible
instruments. Either a modified retrospective method of transition or a fully retrospective method of transition is permissible for the
adoption of this standard. Update No. 2020-06 is effective for the fiscal years beginning after December 15, 2021, including interim
periods within those fiscal years. Early adoption is permitted no earlier than the fiscal year beginning after December 15, 2020. The
Company is currently evaluating the potential on its financial statements. ASC
842 originally required all entities to use a “modified retrospective” transition approach that is intended to maximize comparability
and be less complex than a full retrospective approach. On July 30, 2018, the FASB issued ASU 2018-11 to provide entities with relief
from the costs of implementing certain aspects of the new leasing standard, ASU 2016-02 of which permits entities may elect not to recast
the comparative years presented when transitioning to ASC 842. As permitted by ASU 2018-11, the Company elect not to recast comparative
years, thusly. In
June 2016, the FASB issued ASE No. 2016-13, Credit Losses – Measurement of Credit Losses on Financial Instruments (“ASC 326”).
The standard significantly changes how entities will measure credit losses for most financial assets, including accounts and notes receivables.
The standard will replace today’s “incurred loss” approach with an “expected loss” model, under which companies
will recognize allowances based on expected rather than incurred losses. Entities will apply the standard’s provisions as a cumulative-effect
adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. The standard is
effective for interim and annual reporting periods beginning after December 15, 2022. The Company is currently assessing the impact of
adopting this standard on the Company’s financial statements and related disclosures. 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. |
