Algorhythm (RIME) 10-K 14 Jul 23 2023 FY Annual report Financial data

Cover

Cover - USD ($)	12 Months Ended
	Mar. 31, 2023	Jul. 14, 2023	Sep. 30, 2022
Cover [Abstract]
Document Type	10-K
Amendment Flag	false
Document Annual Report	true
Document Transition Report	false
Document Period End Date	Mar. 31, 2023
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2023
Current Fiscal Year End Date	--03-31
Entity File Number	001-41405
Entity Registrant Name	SINGING MACHINE CO INC
Entity Central Index Key	0000923601
Entity Tax Identification Number	95-3795478
Entity Incorporation, State or Country Code	DE
Entity Address, Address Line One	6301 NW
Entity Address, Address Line Two	5th Way
Entity Address, Address Line Three	Suite 2900
Entity Address, City or Town	Fort Lauderdale
Entity Address, State or Province	FL
Entity Address, Postal Zip Code	33309
City Area Code	(954)
Local Phone Number	596-1000
Title of 12(b) Security	Common Stock, Par Value $0.01
Trading Symbol	MICS
Security Exchange Name	NASDAQ
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Public Float			$ 5,161,042
Entity Common Stock, Shares Outstanding		4,220,259
Documents Incorporated By Reference	None
ICFR Auditor Attestation Flag	false
Document Financial Statement Error Correction [Flag]	false
Auditor Firm ID	274
Auditor Name	EISNERAMPER LLP
Auditor Location	Iselin, New Jersey

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Mar. 31, 2023	Mar. 31, 2022
Current Assets
Cash	$ 2,894,574	$ 2,290,483
Accounts receivable related party - Ault Alliance, Inc.	2,075,086	2,785,038
Due from Crestmark Bank		$ 100,822
Other Receivable, after Allowance for Credit Loss, Current, Related Party, Type [Extensible Enumeration]	Related Party [Member]	Related Party [Member]
Inventories, net	$ 9,639,992	$ 14,161,636
Prepaid expenses and other current assets	266,068	344,409
Deferred financing costs	84,667	7,813
Total Current Assets	15,199,465	19,842,413
Property and equipment, net	633,207	565,094
Deferred financing costs, net of current portion	130,528
Deferred tax assets		892,559
Operating Leases - right of use assets	561,185	1,279,347
Other non-current assets	124,212	86,441
Total Assets	16,648,597	22,665,854
Current Liabilities
Accounts payable	1,769,348	5,328,215
Accrued expenses	2,265,424	1,732,355
Revolving lines of credit		2,500,000
Refunds due to customers	583,323	97,968
Reserve for sales returns	900,000	990,000
Current portion of finance leases	18,162	7,605
Current portion of installment notes	80,795	74,300
Current portion of operating lease liabilities	508,515	876,259
Subordinated note payable - Starlight Marketing Development, Ltd.		352,659
Total Current Liabilities	6,125,567	12,022,411
Finance leases, net of current portion	46,142	10,620
Installment notes, net of current portion	57,855	138,649
Operating lease liabilities, net of current portion	87,988	457,750
Total Liabilities	6,317,552	12,629,430
Commitments and Contingencies
Shareholders’ Equity
Preferred stock, $1.00 par value; 1,000,000 shares authorized; no shares issued and outstanding
Common stock $0.01 par value; 100,000,000 shares authorized; 3,184,439 shares issued, 3,167,489 shares outstanding and 1,221,209 shares issued and outstanding, respectively	31,675	12,212
Additional paid-in capital	29,822,205	24,902,694
Subscriptions receivable	(5,891)
Accumulated deficit	(19,516,944)	(14,878,482)
Total Shareholders’ Equity	10,331,045	10,036,424
Total Liabilities and Shareholders’ Equity	16,648,597	22,665,854
Related Party [Member] | Stingary Group Inc [Member]
Current Assets
Accounts receivable related party - Ault Alliance, Inc.	218,328	152,212
Related Party [Member] | Ault Alliance Inc [Member]
Current Assets
Accounts receivable related party - Ault Alliance, Inc.	20,750
Related Party [Member] | Starlight Consumer Electronics Co Ltd [Member]
Current Liabilities
Due to related party - Starlight R&D, Ltd.		14,400
Related Party [Member] | Starlight R&D Ltd [Member]
Current Liabilities
Due to related party - Starlight R&D, Ltd.		$ 48,650

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($)	Mar. 31, 2023	Mar. 31, 2022
Statement of Financial Position [Abstract]
Allowance for doubtful accounts receivable, net	$ 165,986	$ 122,550
Preferred stock, par value	$ 1	$ 1
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	3,184,439	1,221,209
Common stock, shares outstanding	3,167,489	1,221,209

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($)	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Income Statement [Abstract]
Net Sales	$ 39,299,280	$ 47,512,161
Cost of Goods Sold	30,090,686	36,697,383
Gross Profit	9,208,594	10,814,778
Operating Expenses
Selling expenses	3,441,975	3,588,276
General and administrative expenses	9,236,899	6,911,377
Depreciation	228,004	245,890
Total Operating Expenses	12,906,878	10,745,543
(Loss) Income from Operations	(3,698,284)	69,235
Other Income (Expense), net
Gain from Paycheck Protection Plan loan forgiveness		448,242
Gain - related party		11,236
Gain from Employee Retension Credit Program refund	704,297
Gain from settlement of accounts payable	48,650	339,311
Loss from extinguishment of debt	(183,333)
Interest expense	(432,700)	(535,202)
Finance costs	(46,618)	(45,047)
Total Other Income (Expense), net	90,296	218,540
(Loss) Income Before Income Tax (Provision)	(3,607,988)	287,775
Income Tax (Provision)	(1,030,474)	(57,304)
Net (Loss) Income	$ (4,638,462)	$ 230,471
Net (Loss) Income per Common Share
Basic	$ (1.65)	$ 0.14
Diluted	$ (1.65)	$ 0.14
Weighted Average Common and Common Equivalent Shares:
Basic	2,811,872	1,614,506
Diluted	2,811,872	1,623,397

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Cash flows from operating activities
Net (Loss) Income	$ (4,638,462)	$ 230,471
Adjustments to reconcile net (loss) income to net cash used in operating activities:
Depreciation	228,004	245,890
Amortization of deferred financing costs	46,618	45,047
Change in inventory reserve	535,553	(271,892)
Change in allowance for bad debts	43,436	(16,030)
Loss from disposal of property and equipment	2,565	4,394
Stock based compensation	381,826	44,287
Change in net deferred tax assets	892,559	(5,395)
Loss on debt extinguishment	183,333
Paycheck Protection Plan loan forgiveness		(448,242)
Gain - related party		(11,236)
Gain from extinguishment of accounts payable	(48,650)	(339,311)
Changes in operating assets and liabilities:
Accounts receivable	666,516	(558,127)
Due from banks	100,822	4,456,298
Accounts receivable - related parties	(86,866)	(64,171)
Inventories	3,986,091	(8,399,489)
Prepaid expenses and other current assets	78,341	(123,338)
Other non-current assets	(37,771)	60,732
Accounts payable	(3,510,217)	3,217,659
Accrued expenses	533,069	77,198
Due to related parties	(63,050)
Customer deposits		(139,064)
Refunds due to customers	485,355	(47,440)
Reserve for sales returns	(90,000)	30,000
Operating lease liabilities, net of operating leases - right of use assets	(19,344)	(171)
Net cash used in operating activities	(330,272)	(2,011,930)
Cash flows from investing activities
Purchase of property and equipment	(243,729)	(117,573)
Net cash used in investing activities	(243,729)	(117,573)
Cash flows from financing activities
Proceeds from Issuance of stock - net of transaction expenses	3,362,750	9,000,579
Proceeds from Issuance of stock - at the market offering	30,522
Payment of redemption and retirement of treasury stock		(7,162,451)
Net (payment) proceeds from revolving lines of credit	(2,500,000)	2,435,085
Payment of deferred financing charges	(254,000)	(37,501)
Payment of early termination fees on revolving lines of credit	(183,333)
Payments on installment notes	(74,299)	(68,332)
Proceeds from exercise of stock options		14,000
Proceeds from exercise of pre-funded warrants	168,334
Proceeds from exercise of common warrants	989,651
Payment on subordinated note payable	(352,659)	(150,000)
Payments on finance leases	(8,874)	(7,973)
Net cash provided by financing activities	1,178,092	4,023,407
Net change in cash	604,091	1,893,904
Cash at beginning of year	2,290,483	396,579
Cash at end of period	2,894,574	2,290,483
Supplemental disclosures of cash flow information:
Cash paid for interest	481,425	546,545
Cash paid for income taxes - SMC (Comercial Offshore de Macau) Limitada	34,390
Equipment purchased under capital lease	54,953	23,651
Issuance of common stock and warrants for stock issuance expenses	243,901	547,838
Operating leases - right of use assets and lease liabilities at inception of lease	$ 191,951	$ 16,364

Consolidated Statements of Shar

Consolidated Statements of Shareholders' Equity - USD ($)	Common Stock [Member]	Additional Paid-in Capital [Member]	Receivables from Stockholder [Member]	Retained Earnings [Member]	Total
Beginning balance, value at Mar. 31, 2021	$ 13,014	$ 20,150,715		$ (12,254,191)	$ 7,909,538
Balance, shares at Mar. 31, 2021	1,301,358
Net income (Loss)				230,471	230,471
Issuance of common stock	$ 5,500	4,944,500			4,950,000
Issuance of common stock, shares	550,000
Issuance of pre-funded warrants		4,881,667			4,881,667
Payment of stock issuance expenses		(831,088)			(831,088)
Issuance of stock for stock issuance expenses	$ 190	(190)
Issuance of stock for stock issuance expenses, shares	19,047
Redemption and retirement of treasury shares	$ (6,542)	(4,301,147)		(2,854,762)	(7,162,451)
Redemption and retirement of treasury shares, shares	(654,105)
Issuance of common stock - directors	$ 6	4,994			5,000
Issuance of common stock - directors, shares	575
Issuance of common stock - non-employee	$ 17	16,983			17,000
Issuance of common stock - non-employee, shares	1,667
Employee compensation-stock option		22,287			22,287
Exercise of stock options	$ 27	13,973			14,000
Exercise of stock options, shares	2,667
Balance at Mar. 31, 2022	$ 12,212	24,902,694		(14,878,482)	10,036,424
Balance, shares at Mar. 31, 2022	1,221,209
Net income (Loss)				(4,638,462)	(4,638,462)
Issuance of common stock	$ 10,000	3,990,000			$ 4,000,000
Issuance of common stock, shares	1,000,000				125,581
Payment of stock issuance expenses		(637,250)			$ (637,250)
Issuance of common stock - non-employee	$ 100	93,600			93,700
Issuance of common stock - non-employee, shares	10,000
Employee compensation-stock option		236,861			236,861
Issuance of common stock - at the market offering	$ 143	36,270	(5,891)		30,522
Issuance of common stock - at the market offering, shares	14,230
Exercise of pre-funded warrants	$ 5,611	162,723			168,334
Exercise of pre-funded warrants, shares	561,113
Exercise of common stock warrants	$ 3,534	986,117			989,651
Exercise of common stock warrants, shares	353,445
Issuance of common stock - directors	$ 25	19,991			20,016
Issuance of common stock - directors, shares	2,468
Issuance of common stock - officers	$ 33	31,216			31,249
Issuance of common stock - officers, shares	3,335
Rounding of common stock issued due to reverse split	$ 17	(17)
Rounding of common stock issued due to reverse split, shares	1,688
Balance at Mar. 31, 2023	$ 31,675	$ 29,822,205	$ (5,891)	$ (19,516,944)	$ 10,331,045
Balance, shares at Mar. 31, 2023	3,167,488

BASIS OF PRESENTATION

BASIS OF PRESENTATION	12 Months Ended
	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BASIS OF PRESENTATION	NOTE 1 - BASIS OF PRESENTATION OVERVIEW The Singing Machine Company, Inc., a Delaware corporation (the “Company,” “SMC”, “The Singing Machine”), and wholly-owned subsidiaries SMC (Comercial Offshore De Macau) Limitada (“Macau Subsidiary”), SMC Logistics, Inc. (“SMCL”), SMC-Music, Inc. (“SMCM”) and SMC (HK) Limited (“SMH”), are primarily engaged in the development, marketing, and sale of consumer karaoke audio equipment, accessories and musical recordings. The products are sold directly to distributors and retail customers. RECENT EQUITY EVENTS On February 15, 2023, The Singing Machine Company, Inc. (the “Company”), entered into an At-The-Market Issuance Sales Agreement (the “Sales Agreement”) with Aegis Capital Corp, as sales agent (the “Agent”), pursuant to which the Company may offer and sell, from time to time, through the Agent (the “Offering”), up to approximately $ 1.8 Under the terms of the Sales Agreement, the Agent was entitled to a commission at a rate of 3.0 On February 15, 2023, the Company launched an At-The-Market (“ATM”) offering pursuant to the Sales Agreement. During the fiscal year ended March 31, 2023, the Company received total net proceeds from the ATM of approximately $ 36,000 14,230 2.56 1.7 1,052,770 1.64

LIQUIDITY

LIQUIDITY	12 Months Ended
	Mar. 31, 2023
Liquidity
LIQUIDITY	NOTE 2 – LIQUIDITY The Company reported a net loss of approximately $ 4.6 0.3 15,000,000 7,500,000 As of March 31, 2023 the Company was in default under the Credit Facility due to non-compliance with the fixed charge coverage ratio covenant of 1:05 : 1.0. On May 19, 2023 the Company executed a Waiver and First Amendment agreement which provides for a waiver of previous defaults and new covenants that are required. The Company must comply monthly with minimum liquidity (defined as excess loan availability plus cash on hand) of $ 2.5 4.0 On February 15, 2023 the Company launched an At-The-Market (“ATM”) offering pursuant to the Sales Agreement with Aegis Captial Corp. During the fiscal year ended March 31, 2023, the Company received total net proceeds from the ATM of approximately $ 36,000 14,230 2.56 1.7 1,052,770 1.64 The Company believes that our cash on hand, proceeds received from the ATM subsequent to March 31, 2023, working capital (net of cash), cash expected to be generated from our operating forecast, along with the availability of cash from our credit facilities (See Note 6 – BANK FINANCING) will be adequate to meet the Company’s liquidity requirements for at least twelve months from the filing of this report. As of the date of this filing, the Company has cash on hand of $ 1.6 1.8 THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Mar. 31, 2023
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES PRINCIPLES OF CONSOLIDATION The accompanying consolidated financial statements include the accounts of the Company, its Macau and Hong Kong subsidiaries, SMCL, and SMCM. All inter-company accounts and transactions have been eliminated in consolidation for all periods presented. USE OF ESTIMATES The Singing Machine makes estimates and assumptions in the ordinary course of business relating to sales returns and allowances, warranty reserves, inventory reserves and reserves for promotional incentives that affect the reported amounts of assets and liabilities and of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Future events and their effects cannot be determined with absolute certainty; therefore, the determination of estimates requires the exercise of judgment. Historically, past changes to these estimates have not had a material impact on the Company’s financial statements. However, circumstances could change which may alter future expectations. COLLECTIBILITY OF ACCOUNTS RECEIVABLE The Singing Machine’s allowance for doubtful accounts is based on management’s estimates of the creditworthiness of its customers, current economic conditions and historical information, and, in the opinion of management, is believed to be in an amount sufficient to respond to normal business conditions. Management sets 100% FOREIGN CURRENCY TRANSLATION The functional currency of the Macau and Hong Kong subsidiaries is the Hong Kong dollar. The financial statements of the subsidiary are translated to U.S. dollars using period-end rates of exchange for assets and liabilities, and average rates of exchange for the period for revenues, costs, and expenses. Net gains and losses resulting from foreign exchange transactions are recorded in the statements of operations and translations would be recorded in a separate component of shareholders’ equity. Any such amounts were not material during the periods presented. Concentration of Credit Risk At times, the Company maintains cash in United States bank accounts that are in excess of the Federal Deposit Insurance Corporation insured amounts. The Company maintains cash balances in foreign financial institutions. The amounts at foreign financial institutions at March 31, 2023 and 2022 were approximately $ 0.2 0.1 Financial instruments, which potentially subject the Company to concentrations of credit risk, consist of accounts receivable. INVENTORY Inventories are comprised primarily of electronic karaoke equipment, microphones and accessories, and are stated at the lower of cost or net realizable value, as determined using the first in, first out method. Inventories also include an estimate for the net realizable value of expected future inventory returns due to warranty and allowance programs. As of both March 31, 2023 and 2022 the estimated amounts for these future inventory returns were approximately $ 0.6 0.9 0.4 LONG-LIVED ASSETS The Company reviews long-lived assets for impairment whenever circumstances and situations change such that there is an indication that the carrying amounts may not be recoverable. If the undiscounted future cash flows attributable to the related assets are less than the carrying amount, the carrying amounts are reduced to fair value and an impairment loss is recognized in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 360-10-05, “Accounting for the Impairment or Disposal of Long-Lived Assets.” THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022 PROPERTY AND EQUIPMENT Property and equipment are stated at cost, less accumulated depreciation. Expenditures for repairs and maintenance are charged to expense as incurred. Depreciation is provided for in amounts sufficient to relate the cost of depreciable assets to their estimated useful lives using accelerated and straight-line methods. FAIR VALUE OF FINANCIAL INSTRUMENTS We follow FASB ASC 825, “Financial Instruments”, which requires disclosures of information about the fair value of certain financial instruments for which it is practicable to estimate that value. For purposes of this disclosure, the fair value of a financial instrument is the amount at which the instrument could be exchanged in a current transaction between willing parties, other than in a forced sale or liquidation. The carrying amounts of the Company’s short-term financial instruments, including accounts receivable, accounts payable, accrued expenses, customer deposits, refunds due to customers, and due to related parties approximates fair value due to the relatively short period to maturity for these instruments. The carrying amounts on the notes payable, finance leases and installment notes approximate fair value either due to the relatively short period to maturity or the related interest is accrued at a rate similar to market rates. The carrying amounts on the revolving line of credit approximates fair value due the relatively short period to maturity and related interest accrued at market rates. REVENUE RECOGNITION AND RESERVE FOR SALES RETURNS The Company recognizes revenue in accordance with FASB ASC 606, “Revenue from Contracts with Customers”. All revenue is generated from contracts with customers. The Company recognizes revenue when the control of the goods sold is transferred to the customer, in an amount, referred to as the transaction price, that reflects the consideration to which the Company is expected to be entitled in exchange for those goods. The Company determines revenue recognition utilizing the following five steps: (1) identification of the contract with a customer, (2) identification of the performance obligations in the contract (promised goods or services that are distinct), (3) determination of the transaction price, (4) allocation of the transaction price to the performance obligations, and (5) recognition of revenue when, or as, the Company transfers control of the product or service for each performance obligation. The Company selectively participates in a retailer’s co-op promotion incentives to maximize sales of the Company’s products on the retail floor or to assist in developing consumer awareness of new product launches, by providing marketing fund allowances to our customers. As these co-op promotion initiatives are not a distinct good or service and the Company cannot reasonably estimate the fair value of the benefit it receives from these arrangements, the cost of these allowances at the time they are offered to the customers are recorded as a reduction to net sales. Co-op promotion incentives were approximately $ 2.3 2.0 The Company’s contracts with customers consist of one performance obligation (the sale of the Company’s products). The Company’s contracts have no financing elements, payment terms are less than 120 days and have no further contract asset or liability obligations once control of goods is transferred to the customer. Revenue is recorded in the amount of consideration the Company expects to receive for the sale of these goods. Costs incurred in fulfilling contracts with customers include administrative costs associated with the procurement of goods are included in general and administrative expenses, in-bound freight costs are included in the cost of goods sold and accrued sales representative commissions are included in selling expenses in the accompanying consolidated statements of operations as our underlying customer agreements are less than one year. While the Company has no overstock return privileges in its vendor agreements with its customers, the Company does provide for variable consideration contingent upon the occurrence of uncertain future events. Variable consideration is estimated at the expected value or at the most likely amount depending on the type of consideration. Estimated amounts are included in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is resolved. The Company estimates variable consideration under our return allowance programs for goods returned from the customer for various reasons, whereby a sales return reserve is recorded based on historic return amounts, specific events as identified and management estimates. The Company’s reserve for sales returns were approximately $ 0.9 1.0 The Company disaggregates revenues by product line and major geographic region as most of its revenue is generated by the sales of karaoke hardware and the Company has no other material business segments (See NOTE 14 – SEGMENT INFORMATION). THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022 During fiscal 2023 and 2022 revenue was derived from five different major product lines. Disaggregated approximate revenue from these product lines consisted of the following: SCHEDULE OF DISAGGREGATION OF REVENUE Product Line March 31, 2023 March 31, 2022 Revenue by Product Line Fiscal Years Ended Product Line March 31, 2023 March 31, 2022 Karaoke Machines $ 28,800,000 $ 38,900,000 Microphones and Accessories 7,800,000 4,200,000 SMC Kids Toys 1,900,000 2,300,000 Licensed Products 100,000 1,600,000 Music Subscriptions 700,000 500,000 Total Net Sales $ 39,300,000 $ 47,500,000 SHIPPING AND HANDLING COSTS Shipping and handling activities are performed before the customer obtains control of the goods sold to them and are considered activities to fulfill the Company’s promise to transfer the goods. For Fiscal 2023 and 2022 shipping and handling expenses were approximately $ 0.5 0.9 STOCK-BASED COMPENSATION The Company follows the provisions of FASB ASC 718-20, “Compensation – Stock Compensation Awards Classified as Equity”. ASC 718-20 requires all share-based payments to employees including grants of employee stock options, be measured at fair value and expensed in the consolidated statements of operations over the service period (generally the vesting period). The Company uses the Black-Scholes option valuation model to value stock options. Employee stock option compensation expense in fiscal years ended March 31, 2023 and 2022 includes the estimated fair value of options granted, amortized on a straight-line basis over the requisite service period for the entire portion of the award. For the fiscal years ended March 31, 2023 and 2022, the stock option expense was approximately $ 237,000 22,000 The fair value of each option grant was estimated on the date of the grant using the Black-Scholes option-pricing model with the assumptions outlined below. The expected volatility is based upon historical volatility of our stock and other contributing factors. The expected term is based upon observation of actual time elapsed between date of grant and exercise of options for all employees. ● For the year ended March 31, 2023: expected dividend yield of 0% 2.63% 3.21% 166.1% 196.3% three years ● For the year ended March 31, 2022: expected dividend yield of 0% 0.43% 0.96% 149.5% 157.0% three years The Company’s directors were issued shares of stock as compensation for their service. For the years ended March 31, 2023 and 2022, the stock compensation expense to directors was $ 20,000 5,000 RESEARCH AND DEVELOPMENT COSTS All research and development costs are charged to results of operations as incurred. These expenses are shown as a component of general and administrative expenses in the consolidated statements of operations. For both years ended March 31, 2023 and 2022, these amounts totaled approximately $ 0.1 INCOME TAXES The Company follows the provisions of FASB ASC 740 “Accounting for Income Taxes.” Under the asset and liability method of ASC 740, deferred tax assets and liabilities are recognized for the future tax consequences attributed to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax base. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Under ASC 740, the 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. If it is more likely than not that some portion of a deferred tax asset will not be realized, a valuation allowance is recognized. During Fiscal 2023, the Company was eligible to receive payroll tax refunds from the Employee Retention Credit program (“ECR”). The ECR program was established under the Consolidated Appropriations (CARES) Act in 2021 to assist employers who suffered financial losses during the COVID pandemic but kept employees on their payrolls during 2020 and 2021. The Company received approximately $ 0.7 0.1 91,000 THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022 The Company recognizes a liability for uncertain tax positions. An uncertain tax position is defined as a position in a previously filed tax return or a position expected to be taken in a future tax return that is not based on clear and unambiguous tax law and which is reflected in measuring current or deferred income tax assets and liabilities for interim or annual periods. The Company may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The Company measures the tax benefits recognized based on the largest benefit that has a greater than 50% being realized upon ultimate resolution. As of March 31, 2023 and 2022 there were no uncertain tax positions that resulted in any adjustment to the Company’s provision for income taxes. The Company recognizes interest and penalties related to unrecognized tax benefits in its provision for income taxes. The Company currently has no liabilities recorded for accrued interest or penalties related to uncertain tax provisions. COMPUTATION OF EARNINGS (LOSS) PER SHARE Computation of dilutive shares for fiscal years ended March 31, 2023 and 2022 are as follows: SCHEDULE OF ANTIDILUTIVE SECURITIES EXCLUDED FROM COMPUTATION OF EARNING PER SHARE Fiscal year ended March 31, 2023 Fiscal year ended March 31, 2022 Basic weighted average common shares outstanding 2,811,872 1,614,506 Effect of dilutive stock options - 8,891 Diluted weighted average of common shares outstanding 2,811,872 1,623,397 Basic net income per share is based on the weighted average number of shares of common stock outstanding during the period. Diluted net income (loss) per share reflects the potential dilution assuming shares of common stock were issued upon the exercise of outstanding in-the-money options and the proceeds thereof were used to purchase shares of the Company’s common stock at the average market price during the period using the treasury stock method. For the fiscal year ended March 31, 2023, options to purchase 53,675 902,113 For the fiscal year ended March 31, 2022, pre-funded warrants to purchase 561,111 8,891 56,000 RECENT ACCOUNTING PRONOUNCEMENTS In June 2016, the FASB issued ASU 2016-13, “Financial Instruments—Credit Losses” (Topic 326) The amendments in ASU 2016-03 for smaller reporting companies are effective for the Company beginning April 1, 2023, including interim periods within that fiscal year. The Company adopted ASU 2016-13 on April 1, 2023. The adoption of ASU 2016-13 did not result in any material effects to the consolidated financial statements or related disclosures. THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022

INVENTORIES, NET

INVENTORIES, NET	12 Months Ended
	Mar. 31, 2023
Inventory Disclosure [Abstract]
INVENTORIES, NET	NOTE 4 – INVENTORIES, NET Inventories are comprised of the following components: SCHEDULE OF INVENTORY March 31, 2023 March 31, 2022 Finished Goods $ 9,400,000 $ 10,600,000 Inventory in Transit 600,000 3,300,000 Estimated Amount of Future Returns 500,000 700,000 Subtotal 10,500,000 14,600,000 Less: Inventory Reserve 900,000 400,000 Total Inventories $ 9,600,000 $ 14,200,000

PROPERTY AND EQUIPMENT

PROPERTY AND EQUIPMENT	12 Months Ended
	Mar. 31, 2023
Property, Plant and Equipment [Abstract]
PROPERTY AND EQUIPMENT	NOTE 5 - PROPERTY AND EQUIPMENT A summary of property and equipment is as follows: SUMMARY OF PROPERTY AND EQUIPMENT USEFUL LIFE MARCH 31, 2023 MARCH 31, 2022 Computer and office equipment 5 7 $ 500,000 $ 400,000 Furniture and fixtures 7 100,000 100,000 Warehouse equipment 7 200,000 200,000 Molds and tooling 3 5 2,200,000 2,000,000 3,000,000 2,700,000 Less: Accumulated depreciation 2,400,000 2,100,000 $ 600,000 $ 600,000 Depreciation expense for both fiscal years ended 2023 and 2022 was approximately $ 0.2

FINANCING

FINANCING	12 Months Ended
	Mar. 31, 2023
Debt Disclosure [Abstract]
FINANCING	NOTE 6 – FINANCING Credit and Security Agreement with Fifth Third Bank, National Association: On October 14, 2022 the Company entered into the Credit Agreement with Fifth Third, as Lender replacing the Company’s credit facilities with Crestmark and IHC that were terminated by the Company on October 13, 2022. The Credit Agreement provides for a three-year secured revolving credit facility in an aggregate principal amount of up to $ 15,000,000 7,500,000 October 14, 2025 254,000 39,000 0 The revolving credit facility bears interest of (a) the Prime Rate plus 0.50% 3.00% 0.50% 0.35% 33,000 0 THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022 Under the Credit Agreement: ● Accounts Receivable advance rate up to an 85% against eligible Accounts Receivable assuming dilution is under 5% of sales, plus ● Inventory advance of up to 85% of the Net Orderly Liquidation Value of eligible inventory as determined by an appraiser satisfactory to Fifth Third, with a sublimit to be determined based on Fifth Third’ s continuing due diligence. The inventory advance rate will increase to 95% of the Net Orderly Liquidation Value of eligible inventory from April through June (or another 3-month time frame to be determined based on Fifth Third’s continuing due diligence) each year to support seasonal working capital needs. ● The Company must maintain a Minimum Fixed Charge Coverage of 1.05 to 1. ● Covenants may also include reasonable limitations on dividends, distributions, and management fees. ● The first Fixed Charge Coverage test will be the period from close to September 30, 2022, building to a trailing twelve months. As of March 31, 2023, the Company was in default under the Credit Facility due to non-compliance with the fixed charge coverage ratio covenant of 1:05 : 1.0. On May 19, 2023 the Company executed a Waiver and First Amendment agreement which provides for a waiver of previous defaults and new covenants that are required. The Company must comply monthly with minimum liquidity (defined as excess loan availability plus cash on hand) of $ 2.5 4.0 As of this filing the Company was in compliance with the amended covenants and there was approximately $ 0.7 1.8 Intercreditor Revolving Credit Facility Crestmark Bank and Iron Horse Credit: On June 16, 2020, the Company entered into a two-year Credit and Security Agreement for a $ 2.5 10.0 For the fiscal years ended March 31, 2023 and 2022 the Company incurred approximately $ 8,000 45,000 0.4 0.5 The total cost to exit the Intercreditor Revolving Credit Facility with Crestmark and IHC was approximately $ 0.2 Note Payable Payroll Protection Plan On May 5, 2020, the Company received loan proceeds from Crestmark in the amount of approximately $ 444,000 0 448,000 Installment Notes Payable On June 18, 2019, the Company entered into a financing arrangement with Dimension Funding, LLC (“Dimension”) to finance an ERP System project over a term of 60 365,000 7.58% 8.55% 9.25% 7,459 0.1 0.2 15,000 21,000 THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022 Subordinated Debt/Note Payable In conjunction with the Crestmark Facility and IHC Facility, the parties entered into a subordination agreement on related party debt due to Starlight Marketing Development, Ltd. (former related party) of approximately $ 803,000 803,000 6% 6% 17,000 As of March 31, 2023 and March 31, 2022, the remaining amount due on the note payable was approximately $ 0 353,000

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	12 Months Ended
	Mar. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	NOTE 7 - COMMITMENTS AND CONTINGENCIES LEGAL MATTERS We are not a party to, and our property is not the subject of, any material legal proceedings. LEASES The Company determines if an arrangement contains a lease at the inception of a contract. Right-of-use assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. Right-of-use assets and lease liabilities are recognized at the commencement date. The liability is equal to the present value of the remaining minimum lease payments. The asset is based on the liability, subject to certain adjustments. Operating leases result in straight-line expense (similar to operating leases under the prior accounting standard) while finance leases result in a front-loaded expense pattern (similar to capital leases under the prior accounting standard). As the interest rate implicit in the Company’s operating leases is not readily determinable, the Company utilizes its incremental borrowing rate to discount the lease payments. The Company utilizes the implicit rate for its finance leases. Operating Leases We have operating lease agreements for offices and a warehouse facility in Florida, California and Hong Kong expiring in various years through 2025. We entered into an operating lease agreement, effective October 1, 2017, for our corporate headquarters located in Fort Lauderdale, Florida where we lease approximately 6,500 March 31, 2024 9,950 We entered into an operating lease agreement, effective June 1, 2013, for 86,000 we executed a three-year lease extension which will expire on August 31, 2023. The Company does not intend to renew the lease agreement and has signed a service agreement with a third-party logistics company to provide domestic and Canadian warehousing services effective September 1, 2023. The base rent payment is approximately $ 69,300 We entered into an operating lease agreement, effective October 15, 2022, for our administrative office located in Hong Kong where we lease approximately 1,890 October 14, 2025 4,900 Lease expense for our operating leases is recognized on a straight-line basis over the lease terms. Finance Leases In February 2023, we entered into a financing leasing arrangement with Wells Fargo Equipment Finance to finance the leasing of two used forklifts in the amount of approximately $ 55,000 1,075 60 6.5 53,000 0 THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022 On July 1, 2021, we entered into a long-term capital leasing arrangement with Union Credit Corporation to finance the leasing of a used forklift in the amount of approximately $ 24,000 755 36 9.9 11,000 18,000 For the fiscal years ended March 31, 2023 and 2022, the Company incurred interest expense of $ 2,055 1,160 Supplemental balance sheet information related to leases as of March 31, 2023 is as follows: SCHEDULE OF SUPPLEMENTAL INFORMATION RELATED TO LEASES Assets: Operating lease - right-of-use assets $ 561,185 Finance leases as a component of property and equipment, net of accumulated depreciation of $ 8,798 75,306 Liabilities Current Current portion of operating leases $ 508,515 Current portion of finance leases 18,162 Noncurrent Operating lease liabilities, net of current portion $ 87,988 Finance leases, net of current portion 46,142 Supplemental statement of operations information related to leases for the fiscal year ended March 31, 2023 is as follows: SCHEDULE OF LEASE TERM AND DISCOUNT RATE Fiscal Year Ended March 31, 2023 Operating lease expense as a component of general and administrative expenses $ 1,057,798 Finance lease cost Depreciation of leased assets as a component of depreciation $ 8,798 Interest on finance lease liabilities as a component of interest expense $ 2,055 Supplemental cash flow information related to leases for the fiscal year ended March 31, 2023 is as follows: SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION Cash paid for amounts included in the measurement of lease liabilities: Operating cash flow paid for operating leases $ 959,790 Financing cash flow paid for finance leases $ 9,165 Lease term and Discount Rate Weighted average remaining lease term (months) Operating leases 12.4 Finance leases 31.8 Weighted average discount rate Operating leases 6.50 % Finance leases 9.86 % Scheduled maturities of operating and finance lease liabilities outstanding as of March 31, 2023 are as follows: SCHEDULE OF FUTURE MINIMUM RENTAL PAYMENTS FOR OPERATING AND FINANCE LEASES Year Operating Leases Finance Leases 2023 $ 480,709 $ 16,476 2024 89,268 17,434 2025 48,774 12,902 2026 - 12,902 2027 and beyond - 13,978 Total Minimum Future Payments 618,751 73,692 Less: Imputed Interest 22,248 9,388 Present Value of Lease Liabilities $ 596,503 $ 64,304 THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022

SHAREHOLDERS_ EQUITY

SHAREHOLDERS’ EQUITY	12 Months Ended
	Mar. 31, 2023
Share-Based Payment Arrangement [Abstract]
SHAREHOLDERS’ EQUITY	NOTE 8 – SHAREHOLDERS’ EQUITY EQUITY INCENTIVE PLAN On April 12, 2022, the Board of Directors approved The Singing Machine Company, Inc. 2022 Equity Incentive Plan, or the 2022 Plan. The 2022 Plan provides for the issuance of equity incentive awards, such as stock options, stock appreciation rights, stock awards, restricted stock, stock units, performance awards and other stock or cash-based awards collectively, the “Awards.” Awards may be granted under the 2022 Plan to the Company’s employees, officers, directors, consultants, agents, advisors and independent contractors. The maximum number of shares of common stock initially available for issuance under the 2022 Plan is 233,334 shares of common stock and thereafter an annual increase shall be added as of the first day of the Company’s fiscal year beginning in 2023, equal to the least of (i) 5% of the outstanding common stock on a fully diluted basis as of the end of the Company’s immediately preceding fiscal year, (ii) 33,334 shares, and (iii) a lesser amount as determined by the Board of Directors. The shares of common stock subject to stock awards granted under the 2022 Plan that lapse, terminate, expire prior to exercise, are canceled or are forfeited, shall again become available for issuance under the 2022 Plan. Shares subject to a stock award under the 2022 Plan shall not again be made available for issuance or delivery under the 2022 Plan if such shares are (i) shares tendered by a participant or retained by the Company as full or partial payment to the Company for the exercise or purchase price of an award or (ii) shares used to satisfy tax withholding obligations in connection with an award. Notwithstanding any other provision of the 2022 Plan to the contrary, unless the plan administrator determines otherwise with respect to a particular award, in the event of a change of control, if and to the extent an outstanding award is not converted, assumed, substituted for or replaced by the successor company, then such award will terminate upon effectiveness of the change of control. Prior to the change of control, the plan administrator may approve accelerated vesting and/or lapse of forfeiture or repurchase restrictions with respect to all or a portion of the unvested portions of such awards, any such determinations to be made by the plan administrator in its sole discretion. A change in control includes: ● certain acquisitions of beneficial ownership of more than 50% of our total voting power; ● a change in the composition of the board of directors during any two-year period such that the individuals who, as of the beginning of such two-year period, constitute the board of directors cease for any reason to constitute at least a majority of the board, as defined in the 2022 Plan; and ● the consummation of a company transaction, as defined in the 2022 Plan. The Board of Directors may amend, suspend or terminate the 2022 Plan or a portion of it at any time; however, to the extent required by applicable law, regulation or stock exchange rule, stockholder approval shall be required for any amendment to the 2022 Plan. The 2022 Plan is scheduled to terminate automatically in ten (10) years following the earlier of (a) the date the Board of Directors adopted the 2022 Plan and (b) the date the stockholders approved the 2022 Plan. COMMON STOCK OPTIONS During the years ended March 31, 2023 and 2022 the Company issued the following stock options: Fiscal 2023: During the fiscal year ended March 31, 2023, the Company issued 667 4,000 1,334 2.35 8.11 7.40 During the fiscal year ended March 31, 2023 the Company issued 33,334 3,667 4.00 8.65 On June 28, 2022 and August 16, 2022, the Company issued 61,750 3,000 8.11 8.65 Fiscal 2022: On August 23, 2021, the Company issued 1,334 8.70 On December 1, 2021, the Company issued 667 8.10 On December 22, 2021 the Company issued 1,667 8.10 THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022 The fair value of each option grant was estimated on the date of the grant using the Black-Scholes option-pricing model with the assumptions outlined below. The expected volatility is based upon historical volatility of our stock and other contributing factors. The expected term is based upon observation of actual time elapsed between date of grant and exercise of options for all employees. The following inputs were used to value each option grant: ● For the fiscal year ended March 31, 2023: expected dividend yield of 0 2.63 3.21 166.1 196.3 three years ● For the fiscal year ended March 31, 2022: expected dividend yield of 0 0.43 0.96 149.5 157.0 three years A summary of stock option activity for each of the years presented is summarized below. SUMMARY OF STOCK OPTION ACTIVITY Fiscal 2023 Fiscal 2022 Number of Options Weighted Average Exercise Price Weighted Average Contractual Life Number of Options Weighted Average Exercise Price Weighted Average Contractual Life Stock Options: Balance at beginning of year 56,343 $ 9.90 4.1 56,010 $ 9.60 5.4 Granted 107,752 $ 6.83 - 3,667 $ 7.80 Exercised - $ - - (2,667 ) $ 5.40 Forfeited (2,668 ) $ 5.63 - (667 ) $ 3.60 Balance at end of year * 161,427 $ 7.90 6.6 56,343 $ 9.90 4.1 Options exercisable at end of year 53,675 $ 9.90 52,667 $ 9.90 The following table summarizes information about employee stock options outstanding at March 31, 2023: SCHEDULE OF EMPLOYEE STOCK OPTIONS OUTSTANDING Range of Exercise Price Number Outstanding at March 31, 2023 Weighted Average Remaining Contractual Life Weighted Average Exercise Price Number Exercisable at March 31, 2023 Weighted Average Exercise Price $ 2.35 7.20 58,669 3.9 $ 5.00 23,334 $ 6.38 $ 8.10 9.60 81,086 8.7 $ 8.25 8,669 $ 9.00 $ 11.40 16.50 21,672 4.0 $ 14.42 21,672 $ 14.42 * 161,427 53,675 * Total number of options outstanding as of March 31, 2023 includes 23,343 73,334 64,750 As of March 31, 2023, there was unrecognized expense of approximately $ 380,000 The vested options as of March 31, 2023 had no 125,581 THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022 WARRANTS As per private placement and public offering as disclosed in Note 10 and Note 11, common warrants and pre-funded warrants issued and outstanding as of March 31, 2023 are as follows: SCHEDULE OF COMMON STOCK WARRANTS ISSUED AND OUTSTANDING Number of Common Warrants Weighted Average Exercise Price Number of Pre-Funded Warrants Weighted Average Exercise Price Warrants: Warrants outstanding at April 1, 2022 1,155,557 $ 2.80 561,113 $ 0.30 Warrants issued 100,000 $ 5.00 - - Warrants exercised (353,444 ) $ 2.80 (561,113 ) $ 0.30 Warrants outstanding at March 31, 2023 902,113 $ 3.04 - N/A Warrants exercisable at March 31, 2023 902,113 $ 3.04 - N/A As of March 31, 2023, the Company’s warrants by expiration date were as follows: SCHEDULE OF WARRANTS EXPIRATION Number of CommonWarrants Exercise Price Expiration Date 802,113 $ 2.80 September 15, 2026 100,000 $ 5.00 May 23, 2027 902,113 * Effective with the opening of trading on the Nasdaq Stock Market on May 24, 2022, the exercise price of certain warrants issued by the Company pursuant to the terms of that certain Securities Purchase Agreement dated August 5, 2021, was adjusted so that the exercise price is $ 2.80 COMMON STOCK ISSUANCES During the years ended March 31, 2023 and 2022 the Company issued the following common stock shares: Fiscal 2023: On June 28, 2022 the Company issued 2,468 8.11 On August 19, 2022 the Company issued 10,000 9.37 On August 19, 2022 the Company issued 3,335 9.37 Fiscal 2022: On May 17, 2021 the Company issued 667 7.20 On August 20, 2021 the Company issued 575 8.70 On December 31, 2021 the Company issued 2,000 4.50

AUGUST 2021 STOCK REDEMPTION

AUGUST 2021 STOCK REDEMPTION	12 Months Ended
	Mar. 31, 2023
August 2021 Stock Redemption
AUGUST 2021 STOCK REDEMPTION	NOTE 9 – AUGUST 2021 STOCK REDEMPTION On August 5, 2021, the Company entered into the Redemption Agreement with koncepts and Treasure Green, pursuant to which the Company redeemed 654,105 7.2 Pursuant to the Redemption Agreement, neither koncepts nor Treasure Green remained stockholders of the Company. THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022

AUGUST 2021 PRIVATE PLACEMENT

AUGUST 2021 PRIVATE PLACEMENT	12 Months Ended
	Mar. 31, 2023
August 2021 Private Placement
AUGUST 2021 PRIVATE PLACEMENT	NOTE 10 – AUGUST 2021 PRIVATE PLACEMENT On August 5, 2021, the Company entered into a securities purchase agreement (the “Purchase Agreement”) with large institutional investors and the strategic investor for private placement of (i) 550,000 550,000 10.50 561,111 0.01 561,111 10.50 The Common Warrants and Pre-Funded Warrants are collectively referred to as (the “Warrants”). The Warrants are exercisable at any time at the option of the holder, have a term of 5 years from the issuance date and provide for cashless exercise under certain conditions. The Company determined that the Warrants meet the conditions for equity classification. Shares issuable upon exercise of the Warrants are hereinafter referred to as the “Warrant Shares”. The exercise price and number of the Warrant Shares are subject to anti-dilution and other adjustments for certain stock dividends, stock splits, subsequent rights offerings, pro rata distributions or certain equity structure changes. Pursuant to the terms of the Purchase Agreement, on September 3, 2021, the Company filed a registration statement providing for the resale by the purchasers of the Shares and Warrant Shares sold in the Private Placement, which registration statement became effective on September 15, 2021. Additionally, under the terms of the Purchase Agreement, the Company was obligated to use its reasonable best efforts to submit an application to have the Company’s common stock listed on a national exchange by December 31, 2021, and to use its reasonable best efforts to have the Shares and Warrant Shares listed on such national exchange as soon as practicable following the submission of such application. As indicated, the Common Stock was approved to list on the Nasdaq Capital Market under the symbol “MICS” and began trading on the Nasdaq Capital Market on May 24, 2022. The closing of the Private Placement took place on August 10, 2021, when the Shares and Warrants were delivered to the purchasers and funds, in the amount of approximately $ 9.8 7.2 Stingray Group Inc. (“Stingray” or the “strategic investor”), a leading music, media and technology is part of the group of investors who participated in the Private Placement and have acquired a minority interest in the Company. Stingray is a long-standing business partner with the Company that provides our customers with music content from their extensive library of expertly produced and licensed karaoke content and is now a related party (see Note 15- Related Party Transactions). In connection with the Private Placement, on July 6, 2021, the Company entered into a Placement Agency Agreement with A.G.P./Alliance Global Partners (“AGP”), which provided for AGP to serve as the exclusive placement agent, advisor or underwriter (the “placement agent services”). Pursuant to the Placement Agency Agreement, upon closing of the Private Placement, the Company paid AGP placement fees of $ 0.6 (representing 7% of the gross proceeds raised in the Private Placement excluding proceeds raised from the strategic investor, plus 3.5% of the aggregate gross proceeds raised from the strategic investor), 44,445 5 10.50 0.4 9.90 2.5 168 0 2.65 In addition to the placement fees paid to AGP, the Company incurred additional offering costs for direct incremental legal, consulting, accounting and filing fees related to the Private Placement of approximately $ 0.4 1,905 0.2 0.1 0.8

PUBLIC OFFERING AND NASDAQ UPLI

PUBLIC OFFERING AND NASDAQ UPLISTING	12 Months Ended
	Mar. 31, 2023
Public Offering And Nasdaq Uplisting
PUBLIC OFFERING AND NASDAQ UPLISTING	NOTE 11 – PUBLIC OFFERING AND NASDAQ UPLISTING On May 23, 2022, the Company entered into the Underwriting Agreement with Aegis Capital Corp., who acted as the sole Underwriter, in a firm commitment underwritten public offering pursuant to which the Company sold to the Underwriter 1,000,000 0.01 4.0 0.6 4.00 3.4 THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022 Pursuant to the terms of the Underwriting Agreement, the Company agreed to issue to the Underwriter warrants to purchase up to 100,000 10.0 5.00 five years 244,000 2.90 3 176 0 2.63 On May 24, 2022, the Company’s common stock was approved to list on the Nasdaq Capital Market under the symbol “MICS” and began trading on the Nasdaq Capital Market on May 24, 2022.

AT-THE MARKET PUBLIC OFFERING

AT-THE MARKET PUBLIC OFFERING	12 Months Ended
	Mar. 31, 2023
At-the Market Public Offering
AT-THE MARKET PUBLIC OFFERING	NOTE 12 – AT-THE MARKET PUBLIC OFFERING On February 15, 2023, we entered into an At-The-Market Issuance Sales Agreement (the “Sales Agreement”) with Aegis Capital Corp, as sales agent (the “Agent”), pursuant to which we could offer and sell, from time to time, through the Agent (the “ATM Offering”), up to approximately $ 1.8 36,000 14,230 2.56 1.7 1,052,770 1.64

INCOME TAXES

INCOME TAXES	12 Months Ended
	Mar. 31, 2023
Income Tax Disclosure [Abstract]
INCOME TAXES	NOTE 13 - INCOME TAXES The Company files separate tax returns in the United States and in Macau. The Macau Subsidiary has received approval from the Macau government to operate its business as a Macau Offshore Company (MOC), and was exempt from the Macau income tax for the fiscal year ended March 31, 2022. For the fiscal years ended March 31, 2023 and 2022, the Macau Subsidiary recorded a tax provision of approximately $ 34,000 0 The U.S. Federal net operating loss carryforward is subject to an IRS Section 382 limitation. As of March 31, 2023 and 2022, the Company had net deferred assets of $ 0.0 0.9 28.6 1.0 2.1 For the fiscal year ended March 31, 2022, the Company determined its effective tax rate to be approximately 20.0 0.1 78,000 13,000 The income tax provision (benefit) for federal, foreign, and state income taxes in the consolidated statements of operations consisted of the following components for 2023 and 2022: SCHEDULE OF PROVISION FOR INCOME TAXES 2023 2022 Income tax (benefit) provision: Current: Federal $ 108,756 $ 62,699 State - - Other (5,231 ) Macau 34,390 - Total current Federal and State tax $ 137,915 $ 62,699 Deferred: Federal $ 686,357 $ (59,434 ) State 206,202 54,039 Total Deferred Federal and State 892,559 (5,395 ) Total income tax provision $ 1,030,474 $ 57,304 THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022 The United States and foreign components of income (loss) before income taxes are as follows: SCHEDULE OF INCOME LOSS BEFORE INCOME TAX 2023 2022 United States $ (3,526,258 ) $ (260,911 ) Foreign (81,730 ) 548,686 Total $ (3,607,988 ) $ 287,775 The actual tax provision differs from the “expected” tax for the years ended March 31, 2023 and 2022 (computed by applying the U.S. Federal Corporate tax rate of 21 percent to income before taxes) as follows: SCHEDULE OF TAX PROVISION 2023 2022 Expected tax (benefit) provision $ (757,640 ) $ 60,324 State income taxes, net of Federal income tax provision (174,179 ) 13,816 Permanent differences 13,445 10,290 Permanent difference in ERC income (98,814 ) - Tax rate differential on foreign earnings 21,109 (83,954 ) Change in valuation allowance 2,026,133 55,375 Other 420 1,453 Tax provision $ 1,030,474 $ 57,304 The tax effects of temporary differences that give rise to significant portions of deferred tax assets and (liabilities) are as follows: SCHEDULE OF DEFERRED TAX ASSETS AND LIABILITIES 2023 2022 NOL Federal Carryforward $ 867,443 $ 238,955 State NOL Carryforward 341,237 181,943 Inventory differences to Inventory valuation 623,021 415,404 Stock option compensation expense 183,732 117,159 Right of use liabilty 118,227 - Business interest limitation 138,335 62,801 Allowance for doubtful accounts 42,871 31,619 Reserve for estimated returns 89,070 79,109 Accrued vacation 13,786 10,143 Total 2,417,722 1,137,133 Less: valuation allowance (2,104,157 ) (78,024 ) Net deferred tax asset 313,565 1,059,109 Depreciable and amortizable assets (133,630 ) (117,595 ) Right of use asset (111,216 ) Prepaid expenses (68,719 ) (48,955 ) Net deferred tax liability (313,565 ) (166,550 ) Total $ - $ 892,559 The Company performed an analysis in accordance with the provisions of ASC 740, which requires an assessment of both positive and negative evidence when determining whether it is more likely than not that deferred tax assets are recoverable. The analysis performed to assess the realizability of the deferred tax assets included an evaluation of the pattern and timing of the reversals of temporary differences and the length of carryback and carryforward periods available under the applicable federal and state laws; and the amount and timing of future taxable income. On March 31, 2023, the Company evaluated the realizability of its deferred tax assets in accordance with accounting principles generally accepted in the United States of America and concluded that a valuation allowance of approximately $ 2.1 THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022 At March 31, 2022, the Company has federal tax net operating loss carryforwards in the amount of approximately $ 1.1 0.15 3.4

SEGMENT INFORMATION

SEGMENT INFORMATION	12 Months Ended
	Mar. 31, 2023
Segment Reporting [Abstract]
SEGMENT INFORMATION	NOTE 14 - SEGMENT INFORMATION The Company operates in one SCHEDULE OF REVENUE BY GEOGRAPHICAL REGION March 31, 2023 March 31, 2022 FOR THE FISCAL YEARS ENDED March 31, 2023 March 31, 2022 North America $ 38,300,000 $ 46,400,000 Australia 700,000 700,000 United Kingdom 300,000 200,000 Europe - 100,000 Others - 100,000 Net sales $ 39,300,000 $ 47,500,000 The geographic area of sales is based primarily on where the product was delivered.

EMPLOYEE BENEFIT PLANS

EMPLOYEE BENEFIT PLANS	12 Months Ended
	Mar. 31, 2023
Retirement Benefits [Abstract]
EMPLOYEE BENEFIT PLANS	NOTE 15 - EMPLOYEE BENEFIT PLANS The Company has a 401(k) plan for its employees to which the Company makes contributions at rates dependent on the level of each employee’s contributions. Contributions made by the Company are limited to the maximum allowable for federal income tax purposes. The amounts charged to operations for contributions to this plan and administrative costs during the fiscal years ended March 31, 2023 and 2022 totaled approximately $ 74,000 70,000

CONCENTRATIONS OF CREDIT RISK,

CONCENTRATIONS OF CREDIT RISK, CUSTOMERS, AND SUPPLIERS	12 Months Ended
	Mar. 31, 2023
Risks and Uncertainties [Abstract]
CONCENTRATIONS OF CREDIT RISK, CUSTOMERS, AND SUPPLIERS	NOTE 16 - CONCENTRATIONS OF CREDIT RISK, CUSTOMERS, AND SUPPLIERS The Company derives a majority of its revenues from retailers in the United States. The Company’s allowance for doubtful accounts is based upon management’s estimates and historical experience and reflects the fact that accounts receivable are concentrated with several large customers. At March 31, 2023, 79 10 53 10 Revenues derived from our top three customers in 2023 and 2022 were 69 72 10 48 21 37 18 17 The Macau and Hong Kong subsidiaries recorded net sales of approximately $ 1.0 3.4 The Company is dependent upon foreign companies for the manufacture of all its electronic products. The Company’s arrangements with manufacturers are subject to the risk of doing business abroad, such as import duties, trade restrictions, work stoppages, foreign currency fluctuations, political instability, and other factors, which could have an adverse impact on its business. The Company believes that the loss of any one or more of their suppliers would not have a long-term material adverse effect because other manufacturers with whom the Company does business would be able to increase production to fulfill their requirements. However, the loss of certain suppliers in the short-term could adversely affect business until alternative supply arrangements are secured. THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022 During fiscal years 2023 and 2022, manufacturers in the People’s Republic of China accounted for 100 the U.S. government-imposed tariffs of up to 25% on certain goods imported from China. All of our products are manufactured and imported from China however, only our microphones are currently subject to a 7.5% tariff currently in place

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	12 Months Ended
	Mar. 31, 2023
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	NOTE 17 – RELATED PARTY TRANSACTIONS DUE TO/FROM RELATED PARTIES During our fiscal year ended March 31, 2023 and 2022, the Company did business with Stingray who is part of a group of investors who participated in the Private Placement and have acquired a minority interest in the Company (see Note 10 – August 2021 Private Placement). On both March 31, 2023 and 2022, the Company had approximately $ 0.2 TRADE The Company has a music subscription sharing agreement with Stingray. For the fiscal years ended March 31, 2023 and 2022 the Company received music subscription revenue of approximately $ 0.7 0.5

RESERVE FOR SALES RETURNS

RESERVE FOR SALES RETURNS	12 Months Ended
	Mar. 31, 2023
Reserve For Sales Returns
RESERVE FOR SALES RETURNS	NOTE 18 – RESERVE FOR SALES RETURNS A return program for defective goods is negotiated with each of our wholesale customers on a year-to-year basis. Customers are either allowed to return defective goods within a specified period of time after shipment (between 6 and 9 months) or granted a “defective allowance” consisting of a fixed percentage (between 1% and 5%) off of invoice price in lieu of returning defective products. The Company does make exceptions to this return policy and accordingly records a sales return reserve based on historic return amounts, specific exceptions as identified and management estimates. The Company records a sales reserve for its return goods programs at the time of sale for estimated sales returns that may occur. The liability for defective goods is included in the reserve for sales returns on the consolidated balance sheets. Changes in the Company’s reserve for sales returns are presented in the following table: SCHEDULE OF RESERVE FOR SALES RETURNS Fiscal Year Ended March 31, 2023 March 31, 2022 Reserve for sales returns at beginning of the fiscal year $ 990,000 $ 960,000 Provision for estimated sales returns 5,147,000 3,643,000 Sales returns received (5,237,000 ) (3,613,000 ) Reserve for sales returns at end of the year $ 900,000 $ 990,000

DAMAGED GOODS INCIDENT RECOVERY

DAMAGED GOODS INCIDENT RECOVERY	12 Months Ended
	Mar. 31, 2023
Environmental Remediation Obligations [Abstract]
DAMAGED GOODS INCIDENT RECOVERY	NOTE 19 – DAMAGED GOODS INCIDENT RECOVERY For the fiscal years ended March 31, 2023 and 2022 we recognized a gain of approximately $ 49,000 339,000

RESERVES

RESERVES	12 Months Ended
	Mar. 31, 2023
Reserves
RESERVES	NOTE 20 – RESERVES Asset reserves and allowances for years ended March 31, 2023 and 2022 are presented in the following table: SCHEDULE OF VALUATION AND QUALIFYING ACCOUNTS Balance at Charged to Reduction to Credited to Balance at Beginning of Costs and Allowance for Costs and End of Description Year Expenses Write off Expenses Year Year ended March 31, 2023 Reserves deducted from assets to which they apply: Allowance for doubtful accounts $ 122,550 $ 160,268 $ (116,832 ) $ - $ 165,986 Inventory reserve $ 364,447 $ 1,630,553 $ (1,095,000 ) $ - $ 900,000 Year ended March 31, 2022 Reserves deducted from assets to which they apply: Allowance for doubtful accounts $ 138,580 $ (5,086 ) $ (10,944 ) $ - $ 122,550 Inventory reserve $ 636,339 $ 351,661 $ (623,553 ) $ - $ 364,447

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Mar. 31, 2023
Accounting Policies [Abstract]
PRINCIPLES OF CONSOLIDATION	PRINCIPLES OF CONSOLIDATION The accompanying consolidated financial statements include the accounts of the Company, its Macau and Hong Kong subsidiaries, SMCL, and SMCM. All inter-company accounts and transactions have been eliminated in consolidation for all periods presented.
USE OF ESTIMATES	USE OF ESTIMATES The Singing Machine makes estimates and assumptions in the ordinary course of business relating to sales returns and allowances, warranty reserves, inventory reserves and reserves for promotional incentives that affect the reported amounts of assets and liabilities and of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Future events and their effects cannot be determined with absolute certainty; therefore, the determination of estimates requires the exercise of judgment. Historically, past changes to these estimates have not had a material impact on the Company’s financial statements. However, circumstances could change which may alter future expectations.
COLLECTIBILITY OF ACCOUNTS RECEIVABLE	COLLECTIBILITY OF ACCOUNTS RECEIVABLE The Singing Machine’s allowance for doubtful accounts is based on management’s estimates of the creditworthiness of its customers, current economic conditions and historical information, and, in the opinion of management, is believed to be in an amount sufficient to respond to normal business conditions. Management sets 100%
FOREIGN CURRENCY TRANSLATION	FOREIGN CURRENCY TRANSLATION The functional currency of the Macau and Hong Kong subsidiaries is the Hong Kong dollar. The financial statements of the subsidiary are translated to U.S. dollars using period-end rates of exchange for assets and liabilities, and average rates of exchange for the period for revenues, costs, and expenses. Net gains and losses resulting from foreign exchange transactions are recorded in the statements of operations and translations would be recorded in a separate component of shareholders’ equity. Any such amounts were not material during the periods presented.
Concentration of Credit Risk	Concentration of Credit Risk At times, the Company maintains cash in United States bank accounts that are in excess of the Federal Deposit Insurance Corporation insured amounts. The Company maintains cash balances in foreign financial institutions. The amounts at foreign financial institutions at March 31, 2023 and 2022 were approximately $ 0.2 0.1 Financial instruments, which potentially subject the Company to concentrations of credit risk, consist of accounts receivable.
INVENTORY	INVENTORY Inventories are comprised primarily of electronic karaoke equipment, microphones and accessories, and are stated at the lower of cost or net realizable value, as determined using the first in, first out method. Inventories also include an estimate for the net realizable value of expected future inventory returns due to warranty and allowance programs. As of both March 31, 2023 and 2022 the estimated amounts for these future inventory returns were approximately $ 0.6 0.9 0.4
LONG-LIVED ASSETS	LONG-LIVED ASSETS The Company reviews long-lived assets for impairment whenever circumstances and situations change such that there is an indication that the carrying amounts may not be recoverable. If the undiscounted future cash flows attributable to the related assets are less than the carrying amount, the carrying amounts are reduced to fair value and an impairment loss is recognized in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 360-10-05, “Accounting for the Impairment or Disposal of Long-Lived Assets.” THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022
PROPERTY AND EQUIPMENT	PROPERTY AND EQUIPMENT Property and equipment are stated at cost, less accumulated depreciation. Expenditures for repairs and maintenance are charged to expense as incurred. Depreciation is provided for in amounts sufficient to relate the cost of depreciable assets to their estimated useful lives using accelerated and straight-line methods.
FAIR VALUE OF FINANCIAL INSTRUMENTS	FAIR VALUE OF FINANCIAL INSTRUMENTS We follow FASB ASC 825, “Financial Instruments”, which requires disclosures of information about the fair value of certain financial instruments for which it is practicable to estimate that value. For purposes of this disclosure, the fair value of a financial instrument is the amount at which the instrument could be exchanged in a current transaction between willing parties, other than in a forced sale or liquidation. The carrying amounts of the Company’s short-term financial instruments, including accounts receivable, accounts payable, accrued expenses, customer deposits, refunds due to customers, and due to related parties approximates fair value due to the relatively short period to maturity for these instruments. The carrying amounts on the notes payable, finance leases and installment notes approximate fair value either due to the relatively short period to maturity or the related interest is accrued at a rate similar to market rates. The carrying amounts on the revolving line of credit approximates fair value due the relatively short period to maturity and related interest accrued at market rates.
REVENUE RECOGNITION AND RESERVE FOR SALES RETURNS	REVENUE RECOGNITION AND RESERVE FOR SALES RETURNS The Company recognizes revenue in accordance with FASB ASC 606, “Revenue from Contracts with Customers”. All revenue is generated from contracts with customers. The Company recognizes revenue when the control of the goods sold is transferred to the customer, in an amount, referred to as the transaction price, that reflects the consideration to which the Company is expected to be entitled in exchange for those goods. The Company determines revenue recognition utilizing the following five steps: (1) identification of the contract with a customer, (2) identification of the performance obligations in the contract (promised goods or services that are distinct), (3) determination of the transaction price, (4) allocation of the transaction price to the performance obligations, and (5) recognition of revenue when, or as, the Company transfers control of the product or service for each performance obligation. The Company selectively participates in a retailer’s co-op promotion incentives to maximize sales of the Company’s products on the retail floor or to assist in developing consumer awareness of new product launches, by providing marketing fund allowances to our customers. As these co-op promotion initiatives are not a distinct good or service and the Company cannot reasonably estimate the fair value of the benefit it receives from these arrangements, the cost of these allowances at the time they are offered to the customers are recorded as a reduction to net sales. Co-op promotion incentives were approximately $ 2.3 2.0 The Company’s contracts with customers consist of one performance obligation (the sale of the Company’s products). The Company’s contracts have no financing elements, payment terms are less than 120 days and have no further contract asset or liability obligations once control of goods is transferred to the customer. Revenue is recorded in the amount of consideration the Company expects to receive for the sale of these goods. Costs incurred in fulfilling contracts with customers include administrative costs associated with the procurement of goods are included in general and administrative expenses, in-bound freight costs are included in the cost of goods sold and accrued sales representative commissions are included in selling expenses in the accompanying consolidated statements of operations as our underlying customer agreements are less than one year. While the Company has no overstock return privileges in its vendor agreements with its customers, the Company does provide for variable consideration contingent upon the occurrence of uncertain future events. Variable consideration is estimated at the expected value or at the most likely amount depending on the type of consideration. Estimated amounts are included in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is resolved. The Company estimates variable consideration under our return allowance programs for goods returned from the customer for various reasons, whereby a sales return reserve is recorded based on historic return amounts, specific events as identified and management estimates. The Company’s reserve for sales returns were approximately $ 0.9 1.0 The Company disaggregates revenues by product line and major geographic region as most of its revenue is generated by the sales of karaoke hardware and the Company has no other material business segments (See NOTE 14 – SEGMENT INFORMATION). THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022 During fiscal 2023 and 2022 revenue was derived from five different major product lines. Disaggregated approximate revenue from these product lines consisted of the following: SCHEDULE OF DISAGGREGATION OF REVENUE Product Line March 31, 2023 March 31, 2022 Revenue by Product Line Fiscal Years Ended Product Line March 31, 2023 March 31, 2022 Karaoke Machines $ 28,800,000 $ 38,900,000 Microphones and Accessories 7,800,000 4,200,000 SMC Kids Toys 1,900,000 2,300,000 Licensed Products 100,000 1,600,000 Music Subscriptions 700,000 500,000 Total Net Sales $ 39,300,000 $ 47,500,000
SHIPPING AND HANDLING COSTS	SHIPPING AND HANDLING COSTS Shipping and handling activities are performed before the customer obtains control of the goods sold to them and are considered activities to fulfill the Company’s promise to transfer the goods. For Fiscal 2023 and 2022 shipping and handling expenses were approximately $ 0.5 0.9
STOCK-BASED COMPENSATION	STOCK-BASED COMPENSATION The Company follows the provisions of FASB ASC 718-20, “Compensation – Stock Compensation Awards Classified as Equity”. ASC 718-20 requires all share-based payments to employees including grants of employee stock options, be measured at fair value and expensed in the consolidated statements of operations over the service period (generally the vesting period). The Company uses the Black-Scholes option valuation model to value stock options. Employee stock option compensation expense in fiscal years ended March 31, 2023 and 2022 includes the estimated fair value of options granted, amortized on a straight-line basis over the requisite service period for the entire portion of the award. For the fiscal years ended March 31, 2023 and 2022, the stock option expense was approximately $ 237,000 22,000 The fair value of each option grant was estimated on the date of the grant using the Black-Scholes option-pricing model with the assumptions outlined below. The expected volatility is based upon historical volatility of our stock and other contributing factors. The expected term is based upon observation of actual time elapsed between date of grant and exercise of options for all employees. ● For the year ended March 31, 2023: expected dividend yield of 0% 2.63% 3.21% 166.1% 196.3% three years ● For the year ended March 31, 2022: expected dividend yield of 0% 0.43% 0.96% 149.5% 157.0% three years The Company’s directors were issued shares of stock as compensation for their service. For the years ended March 31, 2023 and 2022, the stock compensation expense to directors was $ 20,000 5,000
RESEARCH AND DEVELOPMENT COSTS	RESEARCH AND DEVELOPMENT COSTS All research and development costs are charged to results of operations as incurred. These expenses are shown as a component of general and administrative expenses in the consolidated statements of operations. For both years ended March 31, 2023 and 2022, these amounts totaled approximately $ 0.1
INCOME TAXES	INCOME TAXES The Company follows the provisions of FASB ASC 740 “Accounting for Income Taxes.” Under the asset and liability method of ASC 740, deferred tax assets and liabilities are recognized for the future tax consequences attributed to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax base. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Under ASC 740, the 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. If it is more likely than not that some portion of a deferred tax asset will not be realized, a valuation allowance is recognized. During Fiscal 2023, the Company was eligible to receive payroll tax refunds from the Employee Retention Credit program (“ECR”). The ECR program was established under the Consolidated Appropriations (CARES) Act in 2021 to assist employers who suffered financial losses during the COVID pandemic but kept employees on their payrolls during 2020 and 2021. The Company received approximately $ 0.7 0.1 91,000 THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2023 and 2022 The Company recognizes a liability for uncertain tax positions. An uncertain tax position is defined as a position in a previously filed tax return or a position expected to be taken in a future tax return that is not based on clear and unambiguous tax law and which is reflected in measuring current or deferred income tax assets and liabilities for interim or annual periods. The Company may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The Company measures the tax benefits recognized based on the largest benefit that has a greater than 50% being realized upon ultimate resolution. As of March 31, 2023 and 2022 there were no uncertain tax positions that resulted in any adjustment to the Company’s provision for income taxes. The Company recognizes interest and penalties related to unrecognized tax benefits in its provision for income taxes. The Company currently has no liabilities recorded for accrued interest or penalties related to uncertain tax provisions.
COMPUTATION OF EARNINGS (LOSS) PER SHARE	COMPUTATION OF EARNINGS (LOSS) PER SHARE Computation of dilutive shares for fiscal years ended March 31, 2023 and 2022 are as follows: SCHEDULE OF ANTIDILUTIVE SECURITIES EXCLUDED FROM COMPUTATION OF EARNING PER SHARE Fiscal year ended March 31, 2023 Fiscal year ended March 31, 2022 Basic weighted average common shares outstanding 2,811,872 1,614,506 Effect of dilutive stock options - 8,891 Diluted weighted average of common shares outstanding 2,811,872 1,623,397 Basic net income per share is based on the weighted average number of shares of common stock outstanding during the period. Diluted net income (loss) per share reflects the potential dilution assuming shares of common stock were issued upon the exercise of outstanding in-the-money options and the proceeds thereof were used to purchase shares of the Company’s common stock at the average market price during the period using the treasury stock method. For the fiscal year ended March 31, 2023, options to purchase 53,675 902,113 For the fiscal year ended March 31, 2022, pre-funded warrants to purchase 561,111 8,891 56,000
RECENT ACCOUNTING PRONOUNCEMENTS	RECENT ACCOUNTING PRONOUNCEMENTS In June 2016, the FASB issued ASU 2016-13, “Financial Instruments—Credit Losses” (Topic 326) The amendments in ASU 2016-03 for smaller reporting companies are effective for the Company beginning April 1, 2023, including interim periods within that fiscal year. The Company adopted ASU 2016-13 on April 1, 2023. The adoption of ASU 2016-13 did not result in any material effects to the consolidated financial statements or related disclosures.

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	12 Months Ended
	Mar. 31, 2023
Accounting Policies [Abstract]
SCHEDULE OF DISAGGREGATION OF REVENUE	During fiscal 2023 and 2022 revenue was derived from five different major product lines. Disaggregated approximate revenue from these product lines consisted of the following: SCHEDULE OF DISAGGREGATION OF REVENUE Product Line March 31, 2023 March 31, 2022 Revenue by Product Line Fiscal Years Ended Product Line March 31, 2023 March 31, 2022 Karaoke Machines $ 28,800,000 $ 38,900,000 Microphones and Accessories 7,800,000 4,200,000 SMC Kids Toys 1,900,000 2,300,000 Licensed Products 100,000 1,600,000 Music Subscriptions 700,000 500,000 Total Net Sales $ 39,300,000 $ 47,500,000
SCHEDULE OF ANTIDILUTIVE SECURITIES EXCLUDED FROM COMPUTATION OF EARNING PER SHARE	Computation of dilutive shares for fiscal years ended March 31, 2023 and 2022 are as follows: SCHEDULE OF ANTIDILUTIVE SECURITIES EXCLUDED FROM COMPUTATION OF EARNING PER SHARE Fiscal year ended March 31, 2023 Fiscal year ended March 31, 2022 Basic weighted average common shares outstanding 2,811,872 1,614,506 Effect of dilutive stock options - 8,891 Diluted weighted average of common shares outstanding 2,811,872 1,623,397

INVENTORIES, NET (Tables)

INVENTORIES, NET (Tables)	12 Months Ended
	Mar. 31, 2023
Inventory Disclosure [Abstract]
SCHEDULE OF INVENTORY	Inventories are comprised of the following components: SCHEDULE OF INVENTORY March 31, 2023 March 31, 2022 Finished Goods $ 9,400,000 $ 10,600,000 Inventory in Transit 600,000 3,300,000 Estimated Amount of Future Returns 500,000 700,000 Subtotal 10,500,000 14,600,000 Less: Inventory Reserve 900,000 400,000 Total Inventories $ 9,600,000 $ 14,200,000

PROPERTY AND EQUIPMENT (Tables)

PROPERTY AND EQUIPMENT (Tables)	12 Months Ended
	Mar. 31, 2023
Property, Plant and Equipment [Abstract]
SUMMARY OF PROPERTY AND EQUIPMENT	A summary of property and equipment is as follows: SUMMARY OF PROPERTY AND EQUIPMENT USEFUL LIFE MARCH 31, 2023 MARCH 31, 2022 Computer and office equipment 5 7 $ 500,000 $ 400,000 Furniture and fixtures 7 100,000 100,000 Warehouse equipment 7 200,000 200,000 Molds and tooling 3 5 2,200,000 2,000,000 3,000,000 2,700,000 Less: Accumulated depreciation 2,400,000 2,100,000 $ 600,000 $ 600,000

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	12 Months Ended
	Mar. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
SCHEDULE OF SUPPLEMENTAL INFORMATION RELATED TO LEASES	Supplemental balance sheet information related to leases as of March 31, 2023 is as follows: SCHEDULE OF SUPPLEMENTAL INFORMATION RELATED TO LEASES Assets: Operating lease - right-of-use assets $ 561,185 Finance leases as a component of property and equipment, net of accumulated depreciation of $ 8,798 75,306 Liabilities Current Current portion of operating leases $ 508,515 Current portion of finance leases 18,162 Noncurrent Operating lease liabilities, net of current portion $ 87,988 Finance leases, net of current portion 46,142
SCHEDULE OF LEASE TERM AND DISCOUNT RATE	Supplemental statement of operations information related to leases for the fiscal year ended March 31, 2023 is as follows: SCHEDULE OF LEASE TERM AND DISCOUNT RATE Fiscal Year Ended March 31, 2023 Operating lease expense as a component of general and administrative expenses $ 1,057,798 Finance lease cost Depreciation of leased assets as a component of depreciation $ 8,798 Interest on finance lease liabilities as a component of interest expense $ 2,055
SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION	Supplemental cash flow information related to leases for the fiscal year ended March 31, 2023 is as follows: SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION Cash paid for amounts included in the measurement of lease liabilities: Operating cash flow paid for operating leases $ 959,790 Financing cash flow paid for finance leases $ 9,165 Lease term and Discount Rate Weighted average remaining lease term (months) Operating leases 12.4 Finance leases 31.8 Weighted average discount rate Operating leases 6.50 % Finance leases 9.86 %
SCHEDULE OF FUTURE MINIMUM RENTAL PAYMENTS FOR OPERATING AND FINANCE LEASES	Scheduled maturities of operating and finance lease liabilities outstanding as of March 31, 2023 are as follows: SCHEDULE OF FUTURE MINIMUM RENTAL PAYMENTS FOR OPERATING AND FINANCE LEASES Year Operating Leases Finance Leases 2023 $ 480,709 $ 16,476 2024 89,268 17,434 2025 48,774 12,902 2026 - 12,902 2027 and beyond - 13,978 Total Minimum Future Payments 618,751 73,692 Less: Imputed Interest 22,248 9,388 Present Value of Lease Liabilities $ 596,503 $ 64,304

SHAREHOLDERS_ EQUITY (Tables)

SHAREHOLDERS’ EQUITY (Tables)	12 Months Ended
	Mar. 31, 2023
Share-Based Payment Arrangement [Abstract]
SUMMARY OF STOCK OPTION ACTIVITY	A summary of stock option activity for each of the years presented is summarized below. SUMMARY OF STOCK OPTION ACTIVITY Fiscal 2023 Fiscal 2022 Number of Options Weighted Average Exercise Price Weighted Average Contractual Life Number of Options Weighted Average Exercise Price Weighted Average Contractual Life Stock Options: Balance at beginning of year 56,343 $ 9.90 4.1 56,010 $ 9.60 5.4 Granted 107,752 $ 6.83 - 3,667 $ 7.80 Exercised - $ - - (2,667 ) $ 5.40 Forfeited (2,668 ) $ 5.63 - (667 ) $ 3.60 Balance at end of year * 161,427 $ 7.90 6.6 56,343 $ 9.90 4.1 Options exercisable at end of year 53,675 $ 9.90 52,667 $ 9.90
SCHEDULE OF EMPLOYEE STOCK OPTIONS OUTSTANDING	The following table summarizes information about employee stock options outstanding at March 31, 2023: SCHEDULE OF EMPLOYEE STOCK OPTIONS OUTSTANDING Range of Exercise Price Number Outstanding at March 31, 2023 Weighted Average Remaining Contractual Life Weighted Average Exercise Price Number Exercisable at March 31, 2023 Weighted Average Exercise Price $ 2.35 7.20 58,669 3.9 $ 5.00 23,334 $ 6.38 $ 8.10 9.60 81,086 8.7 $ 8.25 8,669 $ 9.00 $ 11.40 16.50 21,672 4.0 $ 14.42 21,672 $ 14.42 * 161,427 53,675
SCHEDULE OF COMMON STOCK WARRANTS ISSUED AND OUTSTANDING	As per private placement and public offering as disclosed in Note 10 and Note 11, common warrants and pre-funded warrants issued and outstanding as of March 31, 2023 are as follows: SCHEDULE OF COMMON STOCK WARRANTS ISSUED AND OUTSTANDING Number of Common Warrants Weighted Average Exercise Price Number of Pre-Funded Warrants Weighted Average Exercise Price Warrants: Warrants outstanding at April 1, 2022 1,155,557 $ 2.80 561,113 $ 0.30 Warrants issued 100,000 $ 5.00 - - Warrants exercised (353,444 ) $ 2.80 (561,113 ) $ 0.30 Warrants outstanding at March 31, 2023 902,113 $ 3.04 - N/A Warrants exercisable at March 31, 2023 902,113 $ 3.04 - N/A
SCHEDULE OF WARRANTS EXPIRATION	As of March 31, 2023, the Company’s warrants by expiration date were as follows: SCHEDULE OF WARRANTS EXPIRATION Number of CommonWarrants Exercise Price Expiration Date 802,113 $ 2.80 September 15, 2026 100,000 $ 5.00 May 23, 2027 902,113 * Effective with the opening of trading on the Nasdaq Stock Market on May 24, 2022, the exercise price of certain warrants issued by the Company pursuant to the terms of that certain Securities Purchase Agreement dated August 5, 2021, was adjusted so that the exercise price is $ 2.80

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Mar. 31, 2023
Income Tax Disclosure [Abstract]
SCHEDULE OF PROVISION FOR INCOME TAXES	The income tax provision (benefit) for federal, foreign, and state income taxes in the consolidated statements of operations consisted of the following components for 2023 and 2022: SCHEDULE OF PROVISION FOR INCOME TAXES 2023 2022 Income tax (benefit) provision: Current: Federal $ 108,756 $ 62,699 State - - Other (5,231 ) Macau 34,390 - Total current Federal and State tax $ 137,915 $ 62,699 Deferred: Federal $ 686,357 $ (59,434 ) State 206,202 54,039 Total Deferred Federal and State 892,559 (5,395 ) Total income tax provision $ 1,030,474 $ 57,304
SCHEDULE OF INCOME LOSS BEFORE INCOME TAX	The United States and foreign components of income (loss) before income taxes are as follows: SCHEDULE OF INCOME LOSS BEFORE INCOME TAX 2023 2022 United States $ (3,526,258 ) $ (260,911 ) Foreign (81,730 ) 548,686 Total $ (3,607,988 ) $ 287,775
SCHEDULE OF TAX PROVISION	The actual tax provision differs from the “expected” tax for the years ended March 31, 2023 and 2022 (computed by applying the U.S. Federal Corporate tax rate of 21 percent to income before taxes) as follows: SCHEDULE OF TAX PROVISION 2023 2022 Expected tax (benefit) provision $ (757,640 ) $ 60,324 State income taxes, net of Federal income tax provision (174,179 ) 13,816 Permanent differences 13,445 10,290 Permanent difference in ERC income (98,814 ) - Tax rate differential on foreign earnings 21,109 (83,954 ) Change in valuation allowance 2,026,133 55,375 Other 420 1,453 Tax provision $ 1,030,474 $ 57,304
SCHEDULE OF DEFERRED TAX ASSETS AND LIABILITIES	The tax effects of temporary differences that give rise to significant portions of deferred tax assets and (liabilities) are as follows: SCHEDULE OF DEFERRED TAX ASSETS AND LIABILITIES 2023 2022 NOL Federal Carryforward $ 867,443 $ 238,955 State NOL Carryforward 341,237 181,943 Inventory differences to Inventory valuation 623,021 415,404 Stock option compensation expense 183,732 117,159 Right of use liabilty 118,227 - Business interest limitation 138,335 62,801 Allowance for doubtful accounts 42,871 31,619 Reserve for estimated returns 89,070 79,109 Accrued vacation 13,786 10,143 Total 2,417,722 1,137,133 Less: valuation allowance (2,104,157 ) (78,024 ) Net deferred tax asset 313,565 1,059,109 Depreciable and amortizable assets (133,630 ) (117,595 ) Right of use asset (111,216 ) Prepaid expenses (68,719 ) (48,955 ) Net deferred tax liability (313,565 ) (166,550 ) Total $ - $ 892,559

SEGMENT INFORMATION (Tables)

SEGMENT INFORMATION (Tables)	12 Months Ended
	Mar. 31, 2023
Segment Reporting [Abstract]
SCHEDULE OF REVENUE BY GEOGRAPHICAL REGION	The Company operates in one SCHEDULE OF REVENUE BY GEOGRAPHICAL REGION March 31, 2023 March 31, 2022 FOR THE FISCAL YEARS ENDED March 31, 2023 March 31, 2022 North America $ 38,300,000 $ 46,400,000 Australia 700,000 700,000 United Kingdom 300,000 200,000 Europe - 100,000 Others - 100,000 Net sales $ 39,300,000 $ 47,500,000 The geographic area of sales is based primarily on where the product was delivered.

RESERVE FOR SALES RETURNS (Tabl

RESERVE FOR SALES RETURNS (Tables)	12 Months Ended
	Mar. 31, 2023
Reserve For Sales Returns
SCHEDULE OF RESERVE FOR SALES RETURNS	Changes in the Company’s reserve for sales returns are presented in the following table: SCHEDULE OF RESERVE FOR SALES RETURNS Fiscal Year Ended March 31, 2023 March 31, 2022 Reserve for sales returns at beginning of the fiscal year $ 990,000 $ 960,000 Provision for estimated sales returns 5,147,000 3,643,000 Sales returns received (5,237,000 ) (3,613,000 ) Reserve for sales returns at end of the year $ 900,000 $ 990,000

RESERVES (Tables)

RESERVES (Tables)	12 Months Ended
	Mar. 31, 2023
Reserves
SCHEDULE OF VALUATION AND QUALIFYING ACCOUNTS	Asset reserves and allowances for years ended March 31, 2023 and 2022 are presented in the following table: SCHEDULE OF VALUATION AND QUALIFYING ACCOUNTS Balance at Charged to Reduction to Credited to Balance at Beginning of Costs and Allowance for Costs and End of Description Year Expenses Write off Expenses Year Year ended March 31, 2023 Reserves deducted from assets to which they apply: Allowance for doubtful accounts $ 122,550 $ 160,268 $ (116,832 ) $ - $ 165,986 Inventory reserve $ 364,447 $ 1,630,553 $ (1,095,000 ) $ - $ 900,000 Year ended March 31, 2022 Reserves deducted from assets to which they apply: Allowance for doubtful accounts $ 138,580 $ (5,086 ) $ (10,944 ) $ - $ 122,550 Inventory reserve $ 636,339 $ 351,661 $ (623,553 ) $ - $ 364,447

BASIS OF PRESENTATION (Details

BASIS OF PRESENTATION (Details Narrative) - USD ($)		1 Months Ended	12 Months Ended
	Feb. 15, 2023	May 12, 2023	Mar. 31, 2023	Mar. 31, 2022	Jul. 06, 2021
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total net proceeds, shares			125,581
Total net proceeds, per share price					$ 10.50
Common Stock [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total net proceeds, shares			1,000,000	550,000
At the Market [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Commission rate	3%
Total net proceeds			$ 36,000
At the Market [Member] | Subsequent Event [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total net proceeds		$ 1,700,000
At the Market [Member] | Common Stock [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Sale of stock consideration received per transaction	$ 1,800,000
Total net proceeds			$ 36,000
Total net proceeds, shares			14,230
Total net proceeds, per share price			$ 2.56
At the Market [Member] | Common Stock [Member] | Subsequent Event [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total net proceeds		$ 1,700,000
Total net proceeds, shares		1,052,770
Total net proceeds, per share price		$ 1.64

LIQUIDITY (Details Narrative)

LIQUIDITY (Details Narrative) - USD ($)	1 Months Ended	12 Months Ended
	May 12, 2023	Mar. 31, 2023	Mar. 31, 2022	May 19, 2023	Jul. 06, 2021
Net income (loss)		$ 4,638,462	$ (230,471)
Cash used in (provided by) operating activities		$ 330,272	2,011,930
Total net proceeds, shares		125,581
Total net proceeds, per share price					$ 10.50
Cash in hand		$ 1,600,000
Availability of credit facility		1,800,000
Common Stock [Member]
Net income (loss)
Total net proceeds, shares		1,000,000	550,000
At the Market [Member]
Total net proceeds		$ 36,000
At the Market [Member] | Common Stock [Member]
Total net proceeds		$ 36,000
Total net proceeds, shares		14,230
Total net proceeds, per share price		$ 2.56
Subsequent Event [Member] | At the Market [Member]
Total net proceeds	$ 1,700,000
Subsequent Event [Member] | At the Market [Member] | Common Stock [Member]
Total net proceeds	$ 1,700,000
Total net proceeds, shares	1,052,770
Total net proceeds, per share price	$ 1.64
February and July [Member] | Subsequent Event [Member]
Excess loan availability plus cash on hand				$ 2,500,000
September and June [Member] | Subsequent Event [Member]
Excess loan availability plus cash on hand				$ 4,000,000
Maximum [Member]
Debt instrument aggregate principal amount		$ 15,000,000
Minimum [Member]
Debt instrument aggregate principal amount		$ 7,500,000

SCHEDULE OF DISAGGREGATION OF R

SCHEDULE OF DISAGGREGATION OF REVENUE (Details) - USD ($)	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Product Information [Line Items]
Total Net Sales	$ 39,300,000	$ 47,500,000
Classic Karaoke Machines [Member]
Product Information [Line Items]
Total Net Sales	28,800,000	38,900,000
Microphones and Accessories [Member]
Product Information [Line Items]
Total Net Sales	7,800,000	4,200,000
SMC Kids Toys [Member]
Product Information [Line Items]
Total Net Sales	1,900,000	2,300,000
License [Member]
Product Information [Line Items]
Total Net Sales	100,000	1,600,000
Music Subscription [Member]
Product Information [Line Items]
Total Net Sales	$ 700,000	$ 500,000

SCHEDULE OF ANTIDILUTIVE SECURI

SCHEDULE OF ANTIDILUTIVE SECURITIES EXCLUDED FROM COMPUTATION OF EARNING PER SHARE (Details) - shares	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Accounting Policies [Abstract]
Basic weighted average common shares outstanding	2,811,872	1,614,506
Effect of dilutive stock options		8,891
Diluted weighted average of common shares outstanding	2,811,872	1,623,397

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)		12 Months Ended
	Jul. 06, 2021	Mar. 31, 2023	Mar. 31, 2022
Property, Plant and Equipment [Line Items]
Percentage of reserves for customers		100%
Foreign financial institutions actual deposits		$ 200,000	$ 100,000
Future inventory returns		600,000	600,000
Inventory reserves		900,000	400,000
Co-op promotion incentives		2,300,000	2,000,000
Reserve for sales returns		900,000	1,000,000
Shipping and handling expenses		500,000	900,000
Stock option expense		$ 237,000	$ 22,000
Stock option, expected dividend yield	0%	0%	0%
Stock option, risk free interest rate	2.65%
Stock option, volatility	168%
Stock option, expected term		3 years	3 years
Stock compensation expense		$ 20,000	$ 5,000
Research and development costs		100,000	$ 100,000
Payroll tax refund		700,000
Payroll tax refund processing fees		100,000
Income tax payable		$ 91,000
Percentage of tax benefits recognized likelihood of being realized		greater than 50%
Share-Based Payment Arrangement, Option [Member]
Property, Plant and Equipment [Line Items]
Potentially dilutive securities		53,675	8,891
Share-Based Payment Arrangement, Option [Member] | Warrant [Member]
Property, Plant and Equipment [Line Items]
Potentially dilutive securities		902,113	56,000
Share-Based Payment Arrangement, Option [Member] | Pre-Funded Warrants [Member]
Property, Plant and Equipment [Line Items]
Potentially dilutive securities			561,111
Minimum [Member]
Property, Plant and Equipment [Line Items]
Stock option, risk free interest rate		2.63%	0.43%
Stock option, volatility		166.10%	149.50%
Maximum [Member]
Property, Plant and Equipment [Line Items]
Stock option, risk free interest rate		3.21%	0.96%
Stock option, volatility		196.30%	157%

SCHEDULE OF INVENTORY (Details)

SCHEDULE OF INVENTORY (Details) - USD ($)	Mar. 31, 2023	Mar. 31, 2022
Inventory Disclosure [Abstract]
Finished Goods	$ 9,400,000	$ 10,600,000
Inventory in Transit	600,000	3,300,000
Estimated Amount of Future Returns	500,000	700,000
Subtotal	10,500,000	14,600,000
Less: Inventory Reserve	900,000	400,000
Inventories, net	$ 9,639,992	$ 14,161,636

SUMMARY OF PROPERTY AND EQUIPME

SUMMARY OF PROPERTY AND EQUIPMENT (Details) - USD ($)	Mar. 31, 2023	Mar. 31, 2022
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 3,000,000	$ 2,700,000
Less: Accumulated depreciation	2,400,000	2,100,000
Property and equipment, net	633,207	565,094
Computer and Office Equipment [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 500,000	400,000
Computer and Office Equipment [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Average useful life (in years)	5 years
Computer and Office Equipment [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Average useful life (in years)	7 years
Furniture and Fixtures [Member]
Property, Plant and Equipment [Line Items]
Average useful life (in years)	7 years
Property and equipment, gross	$ 100,000	100,000
Warehouse Equipment [Member]
Property, Plant and Equipment [Line Items]
Average useful life (in years)	7 years
Property and equipment, gross	$ 200,000	200,000
Molds and tooling [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 2,200,000	$ 2,000,000
Molds and tooling [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Average useful life (in years)	3 years
Molds and tooling [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Average useful life (in years)	5 years

PROPERTY AND EQUIPMENT (Details

PROPERTY AND EQUIPMENT (Details Narrative) - USD ($) $ in Millions	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Property, Plant and Equipment [Abstract]
Depreciation expense	$ 0.2	$ 0.2

FINANCING (Details Narrative)

FINANCING (Details Narrative) - USD ($)					12 Months Ended
	Oct. 14, 2022	Jun. 01, 2020	May 05, 2020	Jun. 18, 2019	Mar. 31, 2023	Mar. 31, 2022	May 19, 2023	Jun. 16, 2020
Debt Instrument [Line Items]
Amortization expense					$ 39,000	$ 0
Interest expense, related party					33,000	0
Loss from extinguishment of debt					(183,333)
February and July [Member] | Subsequent Event [Member]
Debt Instrument [Line Items]
Excess loan availability plus cash on hand							$ 2,500,000
September and June [Member] | Subsequent Event [Member]
Debt Instrument [Line Items]
Excess loan availability plus cash on hand							$ 4,000,000
Crestmark Bank [Member] | Paycheck Protection Program [Member]
Debt Instrument [Line Items]
Proceeds from loan			$ 444,000
Debt forgiveness					0	448,000
Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Loss from extinguishment of debt					200,000
Credit Agreement [Member]
Debt Instrument [Line Items]
Debt instrument maturity date	Oct. 14, 2025
Deferred cost	$ 254,000
Credit agreement borrowings					700,000
Additional borrowing capacity					1,800,000
Revolving Credit Facility [Member] | Crestmark Bank [Member]
Debt Instrument [Line Items]
SOFR rate plus	0.50%
Unused line fee	0.35%
Revolving Credit Facility [Member] | Crestmark Bank [Member] | Prime Rate [Member]
Debt Instrument [Line Items]
SOFR rate plus	0.50%
Revolving Credit Facility [Member] | Crestmark Bank [Member] | SOFR Rate [Member]
Debt Instrument [Line Items]
SOFR rate plus	3%
Two Year Credit and Security Agreement [Member] | Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing amount								$ 2,500,000
Two-Year Loan and Security Agreement [Member] | Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing amount								$ 10,000,000
Credit and Security Agreements [Member]
Debt Instrument [Line Items]
Amortization expense					8,000	45,000
Interest expense, related party					400,000	500,000
Financing Agreement [Member] | Dimension Funding LLC [Member]
Debt Instrument [Line Items]
Debt face amount				$ 365,000
Interest expense, related party					15,000	21,000
Debt instrument, term				60 months
Debt monthly payments					7,459
Notes payable					100,000	200,000
Financing Agreement [Member] | Installment Note One [Member] | Dimension Funding LLC [Member]
Debt Instrument [Line Items]
Debt instrument, interest rate				7.58%
Financing Agreement [Member] | Installment Note Two [Member] | Dimension Funding LLC [Member]
Debt Instrument [Line Items]
Debt instrument, interest rate				8.55%
Financing Agreement [Member] | Installment Note Three [Member] | Dimension Funding LLC [Member]
Debt Instrument [Line Items]
Debt instrument, interest rate				9.25%
Subordination Agreement [Member] | Starlight Marketing Development, Ltd [Member]
Debt Instrument [Line Items]
Interest expense, related party					17,000	17,000
Notes payable					0	$ 353,000
Conversion of debt		$ 803,000
Conversion of debt percentage		6%
Subordination Agreement [Member] | Subordinated Notes Payable [Member]
Debt Instrument [Line Items]
Conversion of debt percentage		6%
Maximum [Member]
Debt Instrument [Line Items]
Debt face amount					15,000,000
Maximum [Member] | Credit Agreement [Member]
Debt Instrument [Line Items]
Debt face amount	$ 15,000,000
Minimum [Member]
Debt Instrument [Line Items]
Debt face amount					$ 7,500,000
Minimum [Member] | Credit Agreement [Member]
Debt Instrument [Line Items]
Debt face amount	$ 7,500,000

SCHEDULE OF SUPPLEMENTAL INFORM

SCHEDULE OF SUPPLEMENTAL INFORMATION RELATED TO LEASES (Details) - USD ($)	Mar. 31, 2023	Mar. 31, 2022
Commitments and Contingencies Disclosure [Abstract]
Operating lease - right-of-use assets	$ 561,185	$ 1,279,347
Finance leases as a component of property and equipment, net of accumulated depreciation of $8,798	75,306
Current portion of operating leases	508,515	876,259
Current portion of finance leases	18,162	7,605
Operating lease liabilities, net of current portion	87,988	457,750
Finance leases, net of current portion	$ 46,142	$ 10,620

SCHEDULE OF SUPPLEMENTAL INFO_2

SCHEDULE OF SUPPLEMENTAL INFORMATION RELATED TO LEASES (Details) (Parenthetical)	Mar. 31, 2023 USD ($)
Commitments and Contingencies Disclosure [Abstract]
Property, plant and equipment and finance lease right-of-use asset	$ 8,798

SCHEDULE OF LEASE TERM AND DISC

SCHEDULE OF LEASE TERM AND DISCOUNT RATE (Details)	12 Months Ended
	Mar. 31, 2023 USD ($)
Commitments and Contingencies Disclosure [Abstract]
Operating lease expense as a component of general and administrative expenses	$ 1,057,798
Depreciation of leased assets as a component of depreciation	8,798
Interest on finance lease liabilities as a component of interest expense	$ 2,055

SCHEDULE OF SUPPLEMENTAL CASH F

SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION (Details)	12 Months Ended
	Mar. 31, 2023 USD ($)
Commitments and Contingencies Disclosure [Abstract]
Operating cash flow paid for operating leases	$ 959,790
Financing cash flow paid for finance leases	$ 9,165
Operating lease term	12 months 12 days
Finance lease term	31 months 24 days
Operating lease discount rate	6.50%
Finance lease discount rate	9.86%

SCHEDULE OF FUTURE MINIMUM RENT

SCHEDULE OF FUTURE MINIMUM RENTAL PAYMENTS FOR OPERATING AND FINANCE LEASES (Details)	Mar. 31, 2023 USD ($)
Commitments and Contingencies Disclosure [Abstract]
Operating Leases 2023	$ 480,709
Finance Leases 2023	16,476
Operating Leases 2024	89,268
Finance Leases 2024	17,434
Operating Leases 2025	48,774
Finance Leases 2025	12,902
Operating Leases 2026
Finance Leases 2026	12,902
Operating Leases 2027 and beyond
Finance Leases 2027 and beyond	13,978
Operating Leases Total Minimum Future Payments	618,751
Finance Leases Total Minimum Future Payments	73,692
Operating Leases Less: Imputed Interest	22,248
Finance Leases Less: Imputed Interest	9,388
Operating Leases Present Value of Lease Liabilities	596,503
Finance Leases Present Value of Lease Liabilities	$ 64,304

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES (Details Narrative)					1 Months Ended	12 Months Ended
	Oct. 15, 2022 USD ($) ft²	Jul. 02, 2021 USD ($)	Jun. 15, 2020 USD ($)	Oct. 01, 2017 USD ($) ft²	Feb. 28, 2023 USD ($)	Mar. 31, 2023 USD ($)	Mar. 31, 2022 USD ($)	Jun. 01, 2013 ft²
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Finance lease interest expense						$ 64,304
Lease term						31 months 24 days
Interest expense						$ 2,055
Operating Lease Agreement [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Rent expense | ft²	1,890			6,500				86,000
Lease expiration date	Oct. 14, 2025			Mar. 31, 2024
Rent expense	$ 4,900		$ 69,300	$ 9,950
Lease extend term			we executed a three-year lease extension which will expire on August 31, 2023. The Company does not intend to renew the lease agreement and has signed a service agreement with a third-party logistics company to provide domestic and Canadian warehousing services effective September 1, 2023. The base rent payment is approximately $69,300 per month for the remaining term of the lease.
Financing Leasing Arrangement [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Finance lease interest expense					$ 55,000
Finance lease monthly payments					$ 1,075
Lease term					60 months
Effective nterest rate					6.50%
Remaining capital lease arrangements						53,000	$ 0
Long Term Capital Leasing Arrangement [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Finance lease interest expense		$ 24,000
Finance lease monthly payments		$ 755
Lease term		36 months
Effective nterest rate		9.90%
Remaining capital lease arrangements						11,000	18,000
Interest expense						$ 2,055	$ 1,160

SUMMARY OF STOCK OPTION ACTIVIT

SUMMARY OF STOCK OPTION ACTIVITY (Details) - Equity Option [Member] - $ / shares	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Mar. 31, 2021
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items]
Number of Options, Balance at end of period	56,343	56,010
Weighted Average Exercise Price, Balance at beginning of period	$ 9.90	$ 9.60
Weighted Average contractual life	6 years 7 months 6 days	4 years 1 month 6 days	5 years 4 months 24 days
Number of Options, Granted	107,752	3,667
Weighted Average Exercise Price, Granted	$ 6.83	$ 7.80
Number of Options, Exercised		(2,667)
Weighted Average Exercise Price, Exercised		$ 5.40
Number of Options, Forfeited	(2,668)	(667)
Weighted Average Exercise Price, Forfeited	$ 5.63	$ 3.60
Number of Options, Balance at end of period	161,427	56,343	56,010
Weighted Average Exercise Price, Balance at end of period	$ 7.90	$ 9.90	$ 9.60
Number of Options, exercisable at end of period	53,675	52,667
Weighted Average Exercise Price, Options exercisable at end of period	$ 9.90	$ 9.90

SCHEDULE OF EMPLOYEE STOCK OPTI

SCHEDULE OF EMPLOYEE STOCK OPTIONS OUTSTANDING (Details)	12 Months Ended
	Mar. 31, 2023 $ / shares shares
Share-Based Payment Arrangement, Option, Exercise Price Range [Line Items]
Stock Options Number Outstanding | shares	161,427	[1]
Stock Option Number Exercisable | shares	53,675	[1]
Exercise Price Range One [Member]
Share-Based Payment Arrangement, Option, Exercise Price Range [Line Items]
Stock Options Outstanding Exercise Price	$ 2.35
Stock Options Outstanding Exercise Price	$ 7.20
Stock Options Number Outstanding | shares	58,669
Stock Option Outstanding Weighted Average Remaining Contractual Life	3 years 10 months 24 days
Stock Option Outstanding Weighted Average Exercise Price	$ 5
Stock Option Number Exercisable | shares	23,334
Stock Option Exercisable Weighted Average Exercise Price	$ 6.38
Exercise Price Range Two [Member]
Share-Based Payment Arrangement, Option, Exercise Price Range [Line Items]
Stock Options Outstanding Exercise Price	8.10
Stock Options Outstanding Exercise Price	$ 9.60
Stock Options Number Outstanding | shares	81,086
Stock Option Outstanding Weighted Average Remaining Contractual Life	8 years 8 months 12 days
Stock Option Outstanding Weighted Average Exercise Price	$ 8.25
Stock Option Number Exercisable | shares	8,669
Stock Option Exercisable Weighted Average Exercise Price	$ 9
Exercise Price Range Three [Member]
Share-Based Payment Arrangement, Option, Exercise Price Range [Line Items]
Stock Options Outstanding Exercise Price	11.40
Stock Options Outstanding Exercise Price	$ 16.50
Stock Options Number Outstanding | shares	21,672
Stock Option Outstanding Weighted Average Remaining Contractual Life	4 years
Stock Option Outstanding Weighted Average Exercise Price	$ 14.42
Stock Option Number Exercisable | shares	21,672
Stock Option Exercisable Weighted Average Exercise Price	$ 14.42
[1]Total number of options outstanding as of March 31, 2023 includes 23,343 73,334 64,750

SCHEDULE OF EMPLOYEE STOCK OP_2

SCHEDULE OF EMPLOYEE STOCK OPTIONS OUTSTANDING (Details) (Parenthetical)	Mar. 31, 2023 shares
Three Current and Four Former Directors [Member]
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items]
Option issued	23,343
Officer [Member]
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items]
Option issued	73,334
Employees [Member]
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items]
Option issued	64,750

SCHEDULE OF COMMON STOCK WARRAN

SCHEDULE OF COMMON STOCK WARRANTS ISSUED AND OUTSTANDING (Details)	12 Months Ended
	Mar. 31, 2023 $ / shares shares
Share-Based Payment Arrangement [Abstract]
Number of common warrants outstanding beginning balance	1,155,557
Weighted average exercise price outstanding beginning balance | $ / shares	$ 2.80
Number of pre-funded warrants outstanding beginning	561,113
Weighted average exercise price outstanding beginning balance | $ / shares	$ 0.30
Number of common warrants issued	100,000
Weighted average exercise price warrants issued | $ / shares	$ 5
Number of pre-funded warrants issued
Weighted average exercise price warrants issued | $ / shares
Number of common warrants exercised	(353,444)
Weighted average exercise price warrants exercised | $ / shares	$ 2.80
Number of pre-funded warrants outstanding exercised	(561,113)
Weighted average exercise price warrants exercised | $ / shares	$ 0.30
Number of common warrants outstanding ending balance	902,113
Weighted average exercise price outstanding ending balance | $ / shares	$ 3.04
Number of pre-funded warrants outstanding ending
Number of common warrants exercisable	902,113
Weighted average exercise price warrants exercisable | $ / shares	$ 3.04
Number of pre-funded warrants exercisable

SCHEDULE OF WARRANTS EXPIRATION

SCHEDULE OF WARRANTS EXPIRATION (Details)	12 Months Ended
	Mar. 31, 2023 $ / shares shares
Share-Based Payment Arrangement, Option, Exercise Price Range [Line Items]
Number of common warrants | shares	902,113
Warrant Exercise Price | $ / shares	$ 2.80
Exercise Price Range One [Member]
Share-Based Payment Arrangement, Option, Exercise Price Range [Line Items]
Number of common warrants | shares	802,113
Warrant Exercise Price | $ / shares	$ 2.80
Expiration Date	Sep. 15, 2026
Exercise Price Range Two [Member]
Share-Based Payment Arrangement, Option, Exercise Price Range [Line Items]
Number of common warrants | shares	100,000
Warrant Exercise Price | $ / shares	$ 5
Expiration Date	May 23, 2027

SCHEDULE OF WARRANTS EXPIRATI_2

SCHEDULE OF WARRANTS EXPIRATION (Details) (Parenthetical)	12 Months Ended
	Mar. 31, 2023 $ / shares
Share-Based Payment Arrangement [Abstract]
Warrant Exercise Price	$ 2.80

SHAREHOLDERS_ EQUITY (Details N

SHAREHOLDERS’ EQUITY (Details Narrative) - USD ($)

12 Months Ended

Dec. 01, 2022

Aug. 19, 2022

Aug. 19, 2022

Aug. 16, 2022

Jun. 28, 2022

Dec. 31, 2021

Dec. 22, 2021

Aug. 23, 2021

Aug. 20, 2021

Jul. 06, 2021

May 17, 2021

Mar. 31, 2023

Mar. 31, 2022

Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]

Stock option, expected dividend yield

0%

0%

0%

Stock option, risk free interest rate

2.65%

Stock option, volatility

168%

Stock option, expected term

3 years

3 years

Unrecognised expense

$ 380,000

Unrecognised expense

$ 0

Member of shares issued

125,581

Member of shares issued

$ 10.50

Minimum [Member]

Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]

Stock option, risk free interest rate

2.63%

0.43%

Stock option, volatility

166.10%

149.50%

Maximum [Member]

Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]

Stock option, risk free interest rate

3.21%

0.96%

Stock option, volatility

196.30%

157%

Officers [Member]

Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]

Member of shares issued

3,335

Member of shares issued

$ 9.37

$ 9.37

Two Director [Member]

Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]

Number of stock option issued during period

1,334

Stock option of exercise price

$ 8.70

New Director [Member]

Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]

Number of stock option issued during period

667

Stock option of exercise price

$ 8.10

Chief Revenue Officer [Member]

Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]

Number of stock option issued during period

1,667

Stock option of exercise price

$ 8.10

Board of Directors [Member]

Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]

Member of shares issued

2,468

2,000

575

667

Member of shares issued

$ 8.11

$ 4.50

$ 8.70

$ 7.20

Investor [Member]

Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]

Member of shares issued

10,000

Member of shares issued

$ 9.37

$ 9.37

2022 Plan [Member]

Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]

Sale of stock description

The maximum number of shares of common stock initially available for issuance under the 2022 Plan is 233,334 shares of common stock and thereafter an annual increase shall be added as of the first day of the Company’s fiscal year beginning in 2023, equal to the least of (i) 5% of the outstanding common stock on a fully diluted basis as of the end of the Company’s immediately preceding fiscal year, (ii) 33,334 shares, and (iii) a lesser amount as determined by the Board of Directors. The shares of common stock subject to stock awards granted under the 2022 Plan that lapse, terminate, expire prior to exercise, are canceled or are forfeited, shall again become available for issuance under the 2022 Plan. Shares subject to a stock award under the 2022 Plan shall not again be made available for issuance or delivery under the 2022 Plan if such shares are (i) shares tendered by a participant or retained by the Company as full or partial payment to the Company for the exercise or purchase price of an award or (ii) shares used to satisfy tax withholding obligations in connection with an award.

2022 Plan [Member] | Director [Member] | Stock Option One [Member]

Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]

Number of stock option issued during period

667

Stock option of exercise price

$ 2.35

2022 Plan [Member] | Director [Member] | Stock Option Two [Member]

Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]

Number of stock option issued during period

4,000

Stock option of exercise price

$ 8.11

2022 Plan [Member] | Director [Member] | Stock Option Three [Member]

Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]

Number of stock option issued during period

1,334

Stock option of exercise price

$ 7.40

2022 Plan [Member] | Officers [Member] | Stock Option One [Member]

Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]

Number of stock option issued during period

33,334

Stock option of exercise price

$ 4

2022 Plan [Member] | Officers [Member] | Stock Option Two [Member]

Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]

Number of stock option issued during period

3,667

Stock option of exercise price

$ 8.65

2022 Plan [Member] | Employee [Member] | Share-Based Payment Arrangement, Option [Member]

Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]

Number of stock option issued during period

3,000

61,750

Stock option of exercise price

$ 8.65

$ 8.11

AUGUST 2021 STOCK REDEMPTION (D

AUGUST 2021 STOCK REDEMPTION (Details Narrative) - Redemption Agreement [Member] - Koncepts and Treasure Green [Member] - USD ($) $ in Millions	Aug. 10, 2021	Aug. 05, 2021
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Shares redeemed		654,105
Conversion of stock, amount issued	$ 7.2	$ 7.2

AUGUST 2021 PRIVATE PLACEMENT (

AUGUST 2021 PRIVATE PLACEMENT (Details Narrative) - USD ($)				12 Months Ended
	Aug. 10, 2021	Aug. 05, 2021	Jul. 06, 2021	Mar. 31, 2023	Mar. 31, 2022
Common stock, shares, issued				3,184,439	1,221,209
Proceeds from Warrant Exercises	$ 9,800,000			$ 168,334
Derivative, description of terms			(representing 7% of the gross proceeds raised in the Private Placement excluding proceeds raised from the strategic investor, plus 3.5% of the aggregate gross proceeds raised from the strategic investor),
Aggregate number of shares			5%
Exercise price			$ 10.50
Equity fair value disclosure			$ 400,000
Common stock price			$ 9.90
Expected life of the warrants			2 years 6 months
Stock option, volatility			168%
Expected dividend rate			0%	0%	0%
Stock option, risk free interest rate			2.65%
Stock issued for restricted shares, value				$ 200,000
Cash payment for stock				100,000
Offering costs				800,000
AGP Warrants [Member]
Proceeds from issuance of private placement			44,445
Private Placement [Member]
Proceeds from issuance of private placement		561,111
Exercise price of warrants		$ 10.50
Payments for repurchase of private placement			$ 600,000
Legal fees				$ 400,000
Stock issued for restricted shares				1,905
Pre-Funded Warrants [Member]
Exercise price of warrants		$ 0.01
Class of Warrant or Right, Number of Securities Called by Each Warrant or Right		561,111
Purchase Agreement [Member]
Common stock, shares, issued		550,000
Proceeds from issuance of private placement		550,000
Exercise price of warrants		$ 10.50
Redemption Agreement [Member] | Koncepts and Treasure Green [Member]
Conversion of stock, amount issued	$ 7,200,000	$ 7,200,000

PUBLIC OFFERING AND NASDAQ UP_2

PUBLIC OFFERING AND NASDAQ UPLISTING (Details Narrative)		12 Months Ended
	May 23, 2022 USD ($) $ / shares shares	Mar. 31, 2023 USD ($) $ / shares	Mar. 31, 2022 USD ($) $ / shares	Jul. 06, 2021
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Common stock, par value | $ / shares		$ 0.01	$ 0.01
Gross proceeds from issuance of stock		$ 3,362,750	$ 9,000,579
Warrant term				2 years 6 months
Underwriting Agreement [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Sale of stock, number of shares issued in transaction | shares	1,000,000
Common stock, par value | $ / shares	$ 0.01
Gross proceeds from issuance of stock	$ 4,000,000
Underwriting discounts and commissions and other estimated offering expenses	$ 600,000
Sale of stock, price per share | $ / shares	$ 4
Net proceeds from issuance of stock	$ 3,400,000
Underwriter warrants to purchase | shares	100,000
Sale of stock, percentage	10%
Exercise price per share | $ / shares	$ 5
Warrant term	5 years
Fair value adjustment of warrants	$ 244,000
Underwriting Agreement [Member] | Measurement Input, Exercise Price [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Warrant measurement input	2.90
Underwriting Agreement [Member] | Measurement Input, Expected Term [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Warrant term	3 years
Underwriting Agreement [Member] | Measurement Input, Price Volatility [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Warrant measurement input	176
Underwriting Agreement [Member] | Measurement Input, Expected Dividend Rate [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Warrant measurement input	0
Underwriting Agreement [Member] | Measurement Input, Risk Free Interest Rate [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Warrant measurement input	2.63

AT-THE MARKET PUBLIC OFFERING (

AT-THE MARKET PUBLIC OFFERING (Details Narrative) - USD ($)		1 Months Ended	12 Months Ended
	Feb. 15, 2023	May 12, 2023	Mar. 31, 2023	Mar. 31, 2022	Jul. 06, 2021
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total net proceeds, shares			125,581
Total net proceeds, per share price					$ 10.50
Common Stock [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total net proceeds, shares			1,000,000	550,000
At the Market [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total net proceeds			$ 36,000
At the Market [Member] | Subsequent Event [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total net proceeds		$ 1,700,000
At the Market [Member] | Common Stock [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Sale of stock consideration received per transaction	$ 1,800,000
Total net proceeds			$ 36,000
Total net proceeds, shares			14,230
Total net proceeds, per share price			$ 2.56
At the Market [Member] | Common Stock [Member] | Subsequent Event [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Total net proceeds		$ 1,700,000
Total net proceeds, shares		1,052,770
Total net proceeds, per share price		$ 1.64

SCHEDULE OF PROVISION FOR INCOM

SCHEDULE OF PROVISION FOR INCOME TAXES (Details) - USD ($)	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Income Tax Disclosure [Abstract]
Federal	$ 108,756	$ 62,699
State
Other	(5,231)
Macau	34,390
Total current Federal and State tax	137,915	62,699
Federal	686,357	(59,434)
State	206,202	54,039
Total Deferred Federal and State	892,559	(5,395)
Total income tax provision	$ 1,030,474	$ 57,304

SCHEDULE OF INCOME LOSS BEFORE

SCHEDULE OF INCOME LOSS BEFORE INCOME TAX (Details) - USD ($)	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Income Tax Disclosure [Abstract]
United States	$ (3,526,258)	$ (260,911)
Foreign	(81,730)	548,686
Total	$ (3,607,988)	$ 287,775

SCHEDULE OF TAX PROVISION (Deta

SCHEDULE OF TAX PROVISION (Details) - USD ($)	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Income Tax Disclosure [Abstract]
Expected tax (benefit) provision	$ (757,640)	$ 60,324
State income taxes, net of Federal income tax provision	(174,179)	13,816
Permanent differences	13,445	10,290
Permanent difference in ERC income	(98,814)
Tax rate differential on foreign earnings	21,109	(83,954)
Change in valuation allowance	2,026,133	55,375
Other	420	1,453
Total income tax provision	$ 1,030,474	$ 57,304

SCHEDULE OF DEFERRED TAX ASSETS

SCHEDULE OF DEFERRED TAX ASSETS AND LIABILITIES (Details) - USD ($)	Mar. 31, 2023	Mar. 31, 2022
Income Tax Disclosure [Abstract]
NOL Federal Carryforward	$ 867,443	$ 238,955
State NOL Carryforward	341,237	181,943
Inventory differences to Inventory valuation	623,021	415,404
Stock option compensation expense	183,732	117,159
Right of use liabilty	118,227
Business interest limitation	138,335	62,801
Allowance for doubtful accounts	42,871	31,619
Reserve for estimated returns	89,070	79,109
Accrued vacation	13,786	10,143
Total	2,417,722	1,137,133
Less: valuation allowance	(2,104,157)	(78,024)
Net deferred tax asset	313,565	1,059,109
Depreciable and amortizable assets	(133,630)	(117,595)
Right of use asset	(111,216)
Prepaid expenses	(68,719)	(48,955)
Net deferred tax liability	(313,565)	(166,550)
Total		$ 892,559

INCOME TAXES (Details Narrative

INCOME TAXES (Details Narrative) - USD ($)	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Operating Loss Carryforwards [Line Items]
Income tax provision	$ 1,030,474	$ 57,304
Deferred tax asets net		$ 892,559
Federal statutory income tax rate, percent	28.60%	20%
Deferred tax asset valuation allowance	$ 2,104,157	$ 78,024
Income tax receivables		13,000
federal tax net operating loss carryforwards		1,100,000
State net operating loss carryforwards		3,400,000
Internal Revenue Service (IRS) [Member]
Operating Loss Carryforwards [Line Items]
Net operating loss		150,000
Macau Subsidiary [Member]
Operating Loss Carryforwards [Line Items]
Income tax provision	$ 34,000	$ 0

SCHEDULE OF REVENUE BY GEOGRAPH

SCHEDULE OF REVENUE BY GEOGRAPHICAL REGION (Details) - USD ($)	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Revenues from External Customers and Long-Lived Assets [Line Items]
Net sales	$ 39,300,000	$ 47,500,000
North America [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Net sales	38,300,000	46,400,000
AUSTRALIA
Revenues from External Customers and Long-Lived Assets [Line Items]
Net sales	700,000	700,000
UNITED KINGDOM
Revenues from External Customers and Long-Lived Assets [Line Items]
Net sales	300,000	200,000
Europe [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Net sales		100,000
Others [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Net sales		$ 100,000

SEGMENT INFORMATION (Details Na

SEGMENT INFORMATION (Details Narrative)	12 Months Ended
	Mar. 31, 2023 Segment
Segment Reporting [Abstract]
Number of operating segments	1

EMPLOYEE BENEFIT PLANS (Details

EMPLOYEE BENEFIT PLANS (Details Narrative) - USD ($)	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Retirement Benefits [Abstract]
Defined contribution plan, administrative expenses	$ 74,000	$ 70,000

CONCENTRATIONS OF CREDIT RISK_2

CONCENTRATIONS OF CREDIT RISK, CUSTOMERS, AND SUPPLIERS (Details Narrative) - USD ($)	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Concentration Risk [Line Items]
Total net sale	$ 39,299,280	$ 47,512,161
Republic of China [Member]
Concentration Risk [Line Items]
Debt instrument, description	the U.S. government-imposed tariffs of up to 25% on certain goods imported from China. All of our products are manufactured and imported from China however, only our microphones are currently subject to a 7.5% tariff currently in place
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Three Customers [Member]
Concentration Risk [Line Items]
Concentration of sales risk, percentage	79%
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Individuals [Member]
Concentration Risk [Line Items]
Concentration of sales risk, percentage	10%	10%
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Four Customers [Member]
Concentration Risk [Line Items]
Concentration of sales risk, percentage		53%
Sales Revenue [Member] | Three Customers [Member] | Customers concentration risk [Member]
Concentration Risk [Line Items]
Concentration of sales risk, percentage	69%	72%
Sales Revenue [Member] | Customers [Member] | Customers concentration risk [Member]
Concentration Risk [Line Items]
Concentration of sales risk, percentage	10%
Sales Revenue [Member] | Customers One [Member] | Customers concentration risk [Member]
Concentration Risk [Line Items]
Concentration of sales risk, percentage	48%	37%
Sales Revenue [Member] | Customers Two [Member] | Customers concentration risk [Member]
Concentration Risk [Line Items]
Concentration of sales risk, percentage	21%	18%
Sales Revenue [Member] | Customers Three [Member] | Customers concentration risk [Member]
Concentration Risk [Line Items]
Concentration of sales risk, percentage		17%
Sales Revenue [Member] | Macau And Hong Kong Subsidiary [Member]
Concentration Risk [Line Items]
Total net sale	$ 1,000,000	$ 3,400,000
Purchases [Member] | Geographic Concentration Risk [Member] | Republic of China [Member]
Concentration Risk [Line Items]
Concentration of sales risk, percentage	100%	100%

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Related Party Transaction [Line Items]
Revenue from related parties	$ 39,300,000	$ 47,500,000
Stingray [Member] | Related Party [Member]
Related Party Transaction [Line Items]
Due from related parties	200,000	200,000
Revenue from related parties	$ 700,000	$ 500,000

SCHEDULE OF RESERVE FOR SALES R

SCHEDULE OF RESERVE FOR SALES RETURNS (Details) - USD ($)	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Reserve For Sales Returns
Reserve for sales returns at beginning of the year	$ 990,000	$ 960,000
Provision for estimated sales returns	5,147,000	3,643,000
Sales returns received	(5,237,000)	(3,613,000)
Reserve for sales returns at end of the period	$ 900,000	$ 990,000

DAMAGED GOODS INCIDENT RECOVE_2

DAMAGED GOODS INCIDENT RECOVERY (Details Narrative) - USD ($)	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Environmental Remediation Obligations [Abstract]
Gain on settlement of accounts payable	$ 49,000	$ 339,000

SCHEDULE OF VALUATION AND QUALI

SCHEDULE OF VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($)	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
SEC Schedule, 12-09, Allowance, Credit Loss [Member]
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items]
Balance at Beginning of Year	$ 122,550	$ 138,580
Charged to Costs and Expenses	160,268	(5,086)
Reduction to Allowance for Write off	(116,832)	(10,944)
Credited to Costs and Expenses
Balance at End of Year	165,986	122,550
SEC Schedule, 12-09, Reserve, Inventory [Member]
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items]
Balance at Beginning of Year	364,447	636,339
Charged to Costs and Expenses	1,630,553	351,661
Reduction to Allowance for Write off	(1,095,000)	(623,553)
Credited to Costs and Expenses
Balance at End of Year	$ 900,000	$ 364,447