WILLIAMSON BUILDERS INC. Poblacion, Tubo, Abra STATEMENT OF FINANCIAL POSITION [As of December 31, (Amounts in Philippine Pesos) NOTES: 2023 2022 ASSETS Current Assets: Cash s 16,899,440, 4,383,050 Total Current Assets, 16,899,440, 4.383.050 ‘Non Current Assets: Property, Plant and Equipment 6 25,988,470 8,592,300 Total Current Assets 25,988,470 8,592,300, TOTAL ASSETS 42,887,910 ___12,975,350 LIABILITIES & EQUITY Current Liabilities Loans Payable 7 13,481,645 10,000,000 Income Tax Payable 8 $0,239 “Total Liabilities 13,531,884 10,000,000 Equity Share Capital 229,000,000 3,000,000 ‘Cumulative Eamings 356,026 24,650 Total Equity 29,356,026 2,975,350 TOTAL LIABILITIES AND_EQUITY 42,887,910 ___ 12,975,350 (See accompanying notes to financial statements.)WILLIAMSON BUILDERS INC. Poblacion, Tubo, Abra STATEMENT OF INCOME For the years ended December 31, (Amounts in Philippine Pesos) 2023 2022 Income from Construction Services 29,257,260 a Less: Cost of Service 18,075,724 (Gross Profit 11,181,536) : Tess: Expenses Salaries and Wages 3,540,000, SSS, PhilHealth, Pagelbig Contributions 54,000 Professional Fees 182,680 ‘Communication Expense 138,154 ‘Construction Supplies Expense 1,061,744 Utilities Expense 977.843 Repairs and Maintenance 1,652,550, Taxes and Licenses 188,450 24,650 Trainings and Seminars 75,820 ‘Travel and Transportation 985,650 Gas, Oil and Lubricants 989,570 Depreciation Expense 859,230 Total Expenses. 10,705,691 24,650 Troome Before Tax 475845, Less: Provision for Income Tax. 95,169 NET INCOME (LOSS) 380,676.WILLIAMSON BUILDERS INC. Poblacion, Tubo, Abra STATEMENT OF CHANGES IN STOCKHOLDER'S EQUITY For the years ended December 31, (Amounts in Philippine Pesos) 2023 2022 Authorized Share Capital (8,000 share @P100.00 par value) 8,000,000, Authorized Share Capital (320,000 share @P100,00 par value) 32,000,000 Subseribed Capital Stock-Common (290,000 share @P100.00 par value) 729,000,000 3,000,000 Less: Subscription Receivable 0. 0 Issued and Fully Subscribed Capital Stock. 29,000,000 __ 3,000,000 CUMULATIVE EARNINGS Balance , January | (24,650) - ‘Net Income (Loss) for the Period 380,676 __(24,650) 356,026 (24,650)WILLIAMSON BUILDERS INC, Poblacion, Tubo, Abra STATEMENT OF CASH FLOWS For the years ended December 31, (Amounts in Philippine Pesos ) NOTES 2023 2022 ‘CASH FLOWS FROM OPERATING ACTIVITIES Net Income 380,676 24,650 Adjustments to reconcile net surplus to net cash provided by operating activities Depreciation 6 359,230 (Increase) Decrease in Assets Inerease (Decrease) in Liabilities Loans Payable 7 3,481,645 10,000,000 Incomet Tax Payable 8 50,239 [Net Cash provided by (used in) operating activities 4,771,790 9,975,350, ‘CASH FLOWS FROM INVESTING ACTIVITIES Acquisition of Property and Equipment 6 -18,255,400__-8,592,300 [Net Cash provided by (used in) investing activities =18,255.400 8,592,300 ‘CASH FLOWS FROM FINANCING ACTIVITIES Proceeds of Share Capital Subscription 26,000,000 _3,000,000 Net Cash provided by (used in) investing activities 26,000,000 ___ 3,000,000. NET INCREASE (DECREASE) IN CASH 12,516,390 4,383,080 Cash January 1 4,383,050, 0 (CASH , DECEMBER 31 16,899,440 4,383,050.WILLIAMSON BUILDERS INC. Zone 5, Poblacion (Mayabo), Tubo, Abra NOTES TO FINANCIAL STATEMENTS ‘As of December 31, 2023 and 2022 (Amounts in Philippine Pesos) 1. GENERAL INFORMATION "The corporation was formed on Janvary 6, 2022. It was registered and approved by the Securities and ‘Exchange Commission on January 6, 2022 in accordance with Corporation Code of the Philippines with SEC Company Registration No. 2022010037650-06. ‘The primary purpose of the corporation is to engage in general construction and other allied activities including the constructing, enlarging, repairing, removing, developing or otherwise engaging in any work tupon buildings, roads, highways, manufacturing plants, bridges, airfields, piers, docks, mines, shaft ‘waterworks, railroads, railway structures, all iron, wood, masonry and earth constructions, and to make, ‘execute, bid for and take or receive any constructs or assignments or contract therefore, of in relation thereto, or connected therewith and to manufacture and furnish building materials and supplies connected therewith. ‘and doing of any and all other activities and contracting incidental thereto, ‘The company is promptly paying local taxes and licenses and all tax liabilities to the Bureau of Internal Revenue, Its office is located at Zone S, Poblacion (Mayabo), Tubo, Abra 2, SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES ‘The principal accounting policies applied in the preparation of these statements are set out below. ‘These policies have been consistently applied to all the years presented, unless otherwise stated, 21 9 Prepat ‘The financial statements of the company have been prepared om a fair value measurement and are presented in Philippine Pesos, which is the Company's functional and presentation currency. All values represent absolute amounts except when otherwise indicated “The accompanying financial statements have been prepared on 2 going concem basis, which contemplate the realization of assets and settlement of liabilities inthe normal course of business. 2 State ia “The accompanying financial statements have been prepared in accordance with Philippine Financial Reporting Standards for Small and Medium-Sized Entities (PFRS for SMEs). 23. ting Policies Ado) “The following accounting standards that have been published and issued by the International Accounting ‘Standards Board (IASB) and adopted by the FRSC which became effective for accounting periods or on after January 1, 2009 were adopted by the Company: Section 1 - ‘Small and Medium ~Sized Entities Section 2 - Concept and Pervasive Principles Section 3 : Financial Statement PresentationsSection 4 2 Statement of Financial Position Section 5 : Statement of Comprehensive Income and Income Statement Section 6 : Statement of Changes in Equity and Retained Eamings Section 7 : Statement of Cash Flows Section 8 2 Notes to Financial Statements Section 10 = ‘Accounting Policies, Estimates and Errors Section] = Basie Financial Instruments Section 17 Property and Equipment Section21 = Provisions and Contingencies Section22 Liabilities and Equity Section23 Revenues Section 32 Events After the End of the Reporting Period Section 33 Related Party Disclosures “The effects of these new standard, amendments and interpretations of the Company’s accounting policies and ‘on the amount disclosed in the financial statements are summarized as follows: Seetion 1, “Small and Medium-Sized Entities”. IFRS for SME’s is intended for Non Publicly Accountable Entities that publish general purpose financial statements for external users. Section 2, "Concepts and Pervasive Principles” describes the objective of financial statements of smell and medium-sized entities (SMEs) and the qualities that make the information in the financial statements of SMs useful, It also sets out the concepts and basic principles underlying the financial statement of SMES Section 3, “Financial Statement Presentation,” provides a framework within which an entity assesses how to present fairly the effects of transactions and other events. It requires that an entity shall make an explicit and unreserved statement of compliance with IFRS for SMEs in the notes, complete sets of financial statements ‘must be presented at least annually and at least one year comparative statements and note date and items should be consistently presented and classified from one period to the next, Section 4, “Statement of Financial Position”, provides specific requirements on the presentation, classification and related disclosure of entity’s assets, liabilities and equity as of a specific date, Section 5, “Statement of Comprehensive Income and Income Statement”, provides specific requirements on the presentation, classification and related disclosures of entity's total comprehensive income, its financial performance for the period in one or two financial statements. Section 6, “Statement of Changes in Equity and Statement of Income and Retained Eamings”, sets out requirements for presenting the changes in an entity's equity fora period, either ina statement of changes in ‘equity or, if specified conditions are met and an entity chooses, ina statement of income and retained earning the cost of inventories is no longer acceptable. Section 7, “Statement of Cash Flows", requires the provision of information about the historical changes in ‘cash and cash equivalents of an entity by means of a cash flow statement which classifies cash flows during the period from operating, investing and financing activites Section 8, “Notes to Financial Statements”, sets out the principles underlying information, that is to be presented in the notes tothe finaneial statements and how to present it, Notes contain information in addition {o that presented inthe statement of financial position, statement of comprehensive income, income statement {if presented), combined statement of income and retained earnings (if presented). statement of changes in equity, and statement of cash flows, Notes provide narrative descriptions or desegregations of items presented in those statements and information about items that do not qualify for recognition in those Statements, In addition to the requirements ofthis section, nearly every other section of this IFRS requires disclosures that are normally presented in the notes.Section 10, “Accounting Policies, Estimates and Errors”, eliminates the concept of fundamental error and the allowed altemstive to retrospective application of voluntary changes in accounting policies and retrospective restatement to correct prior period errors. The section defines material omissions and ‘misstatements and describes how to apply the concept of materiality when applying accounting policies and correcting errors Section 11, “Basic Financial Instruments’, applies to basic financial instruments and is relevant to all entities ‘An entity shall recognize a financial asset ora financial liability only when the entity becomes a party to the contractual provisions ofthe instrument. When a financial asset or financial liability is recognized initially, ‘an entity shall measure it atthe transaction price unless the arrangement constitutes, in effec, a financing, transaction Section 13, “Inventories”, limits the alternatives for measurement of inventories. Inventories are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using specific identification for large items and FIFO or weighted average for athers. Inventory cost includes cost 10 purchase, costs of conversion and costs to bring asset to present location and condition. Impairment write down to net realizable value” Section 17, “Property and Equipment,” prescribes the accounting treatment and related disclosures for property and equipment, investment property, and non-current assets held for sale whose fair value cannot be measured reliably without undue cost and effor. It provides guidance on initial and subsequent recognition as well as measurement after recognition. Itequires depreciation for each significant part ofan item of property, plant and equipment. The standard also provides guidance on the determination of the carrying amount ofthe assets, the residual value, depreciation period and d recognition principle Section 21, “Provision and Contingencies”, ensures that appropriate recognition criteria and measurement basis are applied to provisions, contingent liabilities and contingent assets and that sufficient information is disclosed in the notes to financial statements to enable users to understand their nature, timing and amount Section 23, “Revenue”, provides additional guidelines as to the timely recognition of revenue, whieh is ‘measured atthe fair value of consideration received or receivable Section 32, “Events after the End of the Reporting Period”, defines events alter the end of the reporting period and sets out principles for recognizing, measuring, and disclosing such events, Section 33, “Related Party Disclosures,” provides additional guidance and clarity inthe scope, definitions and the disclosures for related partes.” It requires disclosures of the compensation of key management personnel Financial Assets Financial Assets include cash, trade and other receivables. Cash ‘Cash are stated at face value, Cash also includes cash in banks and petty cash fund which is being utilized to fund expenses on a day to day transaction of the company and cash in banks which consist of current and savings accounts, Accounts Receivables Receivables are stated at its face value. As of balance sheet date management estimates that the receivables are fully collectible, Other Receivables (Other Receivables ifany are stated at amortized cost less provision for impairment. Impairment is considered when there is objective evidence that the Company will not be able to collect the debts.Other Current Assets ‘Other current assets are carried at face value, and include prepayments made to supplier and unused office supplies Property and Equipment Property and Equipment are stated cost, excluding the cost of day-to-day servicing, less accumulated depreciation and amortization and any impairment in value ‘The intial cost of property and equipment comprises its purchase price and any directly attributable costs of bringing the asset to its working condition and location for its intended use. Expenditures incurred after the property and equipment have been put into operations, such as repairs and the maintenance and overhaul cosis, are normally charged to operations in the period the costs are incurred. In situations where it can be clearly demonstrated that the expenditures have resulted in an increase in the future economic benefits expected to be obtained from the use of an item of property, and expenditures are capitalized as additional costs of property, and equipment beyond its originally assessed standard of performance, the expenditures are capitalized as additional costs of property and equipment. Costs also includes any asset retirement ‘obligation and interest on borrowed funds used. When assets are sold of retired, their costs and accumulated epreciation, amortization and impairment losses, ifany, are eliminated from the accounts and any gain or Joss resulting from their disposal is included in the settlement of operation of such period. Depreciation and amortization are calculated on a straight-line basis over the useful lives ofthe assets, The useful life of each of the property and equipment is estimated based on the period over which the asset is expected to be available for use. Such estimation is based on a collective assessment of industry practice ‘and experience with similar assets. ‘The assets’ residual value, useful lives and depreciation and amortization method are reviewed, and adjusted if appropriate if there isan indication that there has been indication of significant change since the last annual reporting date [An item of property and equipment is derecognized upon disposal or when future economic benefits are expected to arise from the continued use of the asset. Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the item) is included in the statement of operation in the year the item is derecognized. Financial Liabilities Financial liabilities include trade and other payables and non-interest bearing borrowings. Financial liabilities are recognized when the Company becomes a party to the contractual provision of the instrument ‘Trade and Other Payables ‘Trade and Other Payables ae liabilities to pay for goods of services that have been received or supplied and have invoiced or formally agreed with the supplier, Trade payables are not interest bearing and are stated at their nominal value, ‘Trade and other payables are measured initially at their normal values and subsequently recognized at amortized costs less settlement payments, Financial Instruments, Date of Recognition ‘The Company recognizes 2 financial asset or a financial liability in the belance sheets when it becomes a party to the contractual provision of the instrument.ition of the Financi yments All financial assets are initially recognized at fair value, Determination of Fair Value For all financial instruments not listed in an active market, the fair value is determined by using appropriate ‘valuation techniques. Valuation techniques include net present value techniques, comparison to similar instrument for which market observable price exists, options pricing models and other relevant valuation models. Impairment of Financial Assets ‘The Company assesses at each balance sheet date whether there is object evidence that a financial asset or group of financial assets is impaired. A financial asset or a group of Financial assets is deemed to be impaired if and only if, there is objective evidence ofthe impairment asa result of one or more events that has occurred ‘after the initial recognition of the asset (an incurred ‘loss vent’) and that loss event (or vents) has an impact oon the estimated future cash flows of the financial asset or the group of financial assets that ean be reliably estimated. Evidence of impainnent may include indications that the borrower or a group or borrowers is experiencing significant financial difficulty, default or delinquency in interest or principal payments, the probability that they will enter is measurable decrease in the estimated future eash flows, such as changes in artears or economic conditions that correlate with defaults. Der 9f Finan ad Finang ities ‘© The rights to receive cash flows from the asset have expires; ‘The Company retains the right to receive cash flows from the asset, but has assumed an obligation to pay them in fall without material delay toa third party under a pass-through arrangement; or ‘© The Company has transferred its right to receive cash flows fiom asset and either (a)transferred substantially all the risks and rewards of the asset, or (b) has neither transferred nor retained substantially all the risk and rewards but has transferred control of the asset. Financial Liabilities [A financial liability is derecognized when the obligation under the liability is discharged, cancelled or expired. Where an existing financial liability is replaced by another from the same lender or substantially ‘modified, such an exchange or modification is treated as a derecognition of the orginal liability and the recognition of the new liability, and the difference in the respective carving amounts is recognized in the statement of income. Offering Financial Instruments Financial Assets and Financial Liabilities are offset and the net amount reported in the balance sheet if, and only if, there is a currently enforceable legal right to offset the recognized amounts and there is intention 10 settle on a net basis, or to realize the asset and settle the liability simultaneously. This is not generally the cease with master netting agreements, and the related assets and liabilities are presented gross in the balance sheet Revenue and Cost Recosnition Revenue is recognized when it is probable that the economic benefits associated with the transaction will flow to the Company and the amount of the revenue can be measured reliably. Cost, distribution cost and administrative expenses are recognized in the statement of income upon utilization of the service or in the date they are incurred Income Taxes Current Tax assets and liabilities for the current and prior periods are measured at the amount expected to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted by the balance sheet date,Deferred income tax is provided, using the balance sheet lability method, on all temporary differences at the balance sheet date between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes. Deferred income tax liabilities are recognized for all taxable temporary differences. Deferred income tax assets are recognized for all deductible temporary differences and carry forward benefits of unused net operating loss carryover (NOLCO), to the extent that itis probable that the taxable profit will be available against which the deductible temporary differences and carry forward of NOLCO can be utilized ‘The carrying amount of deferred tax assets is reviewed at each balance sheet date and reduced to the extent that is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred income tax asset to be utilized. Uncecognized deferred tax assets are reassessed at each balance sheet date and are recognized to the extent that it has become probable that the future taxable profit will allow the ferred tax asset to be recovered. Deferred Tax asset and liabilities are measured at the tax rates expected in the year when the asset is realized cor the liability is settled, based on tax rates and tax laws that have been enacted or substantively enacted at the balance sheet date. Value Added Tax Revenues, expenses and assets are recognized net of the amount of value added tax except: Where the value-added tax incurred on & purchase of assets or services is not recoverable from the taxation ‘authority, in which ease the value-added tax is recognized as part of the costs of acquisition of the asset or as part of the expense item applicable; and Receivables and payables that are stated with the amount of value-added tax included, “The net amount of value added tax recoverable from or payable to, the taxation authority is included as part of other current assets or payables in the balance sheets. Provision Provisions are recognized when the Company has a present obligation(legal or constructive) as a result of past event, itis probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made ofthe amount of the obligation. Provisions are reviewed fat each balance sheet date and adjusted to reflect the current best estimate. When the effect of the time value ‘Of money is material, the amount of a provision is the present value of the expenditures expected to be Tequired to settle obligation. Where the company expects a provision to be reimbursed, the reimbursement is recognized as a separate asset but only when the reimbursement is virtually certain, Contingencies Contingent labiliies ae not ecognized in the financial statements. They ae disclosed unless the possibility of an outflow of resources embodying economic benefits is remote. A contingent asset is not recognized in the financial but disclosed when an inflow of economic benefits is probable. Events after the End of the Reporting Period Post-year-end events up to the date of the auditor’s report that provide additional information about the ‘Company’s position at the balance sheet date (adjusting events) are reflected in the financial statements Post year-end events that are not adjusting events are disclosed in the notes to financial statements when material Related Parties Related party relationships exist when one party has the ability to contro, directly or indirectly through one ‘or more intermediaries, the other party or exercise significant influence over the party making financial and operating decisions. This includes: (1) individual owning, directly or indirectly through one or more intermediaries, control, or are controlled by, of under common control with, the Company, (2) associates;‘and (3) individuals owning, directly, or indirectly, an interest in the voting power of the Company that gives them significant influence over the Company and close members of the family of any such individual ‘The key management personnel of the Company and post-employment benefit plans for the benefit of the ‘Company's employees are also considered to be related parties, 3.Management’s Significant Accounting Judgment and Estimate 3.1 Judgments The preparation ofthe Company's financial statements in conformity with the PERS for SMEs requires 5 management to make estimates and assumptions that affect the amount reported in the Company's financial statements and accompanying notes. The estimates and assumptions used in the Company's financial statements are based on management's evaluation of relevant facts and circumstances a3 of ate ofthe Company's financial statements. Actual results could differ from such estimates, judgments and estimates are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believe tobe reasonable under the circumstances 341 Estimates In application of the Company's accounting policies, management is requires to make judgments, ‘estimates and assumptions about carrying amount of assets and liabilities that are not readily apparent from other sources. ‘The estimates and associated assumptions are based on historical experience and ‘other factors that are considered to be relevant. ‘Actual results may differ from those estimates. ‘The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting «estimates are recognized in the period in which estimate is revised ifthe revision affects only that period, cr in the period of the revision and future periods ifthe revision affects both current and future periods. ‘+ Estimated Useful Lives of the Property and Equipment The useful life ofeach of the corporation's property and equipment is estimated based on the period over which the asset is expected to be available for use. Such estimation is based on a collective assessment of industry practice, internal technical evaluation and experience with similar assets The estimated useful lives ofthe property and equipment are reviewed periodically and are updated if expectations differ from previous estimates due to physical war and tear, technical or commercial ‘obsolescence and legal or other limits on the use of the property and equipment. In addition, the estimation of the useful lives of propery and equipment is based on collective assessment of industry practice, internal technical evaluation and experience with similar assets. It is possible however that future financial performance could be materially affected by changes in the estimates brought about by changes in faciors mentioned above. The amounts and timing of recorded expenses for any period would be affected by changes in these factors and circumstances, A reduction in the estimated useful lives of the property and equipment would increase the recorded expenses and decrease the non-current assets, [Depreciation is computed on a straight-line method over the estimated useful lives of the assets as follows: Useful Life in Years ‘Fumiture Fixtures and Equipment 10 Transportation Equipment 10 ‘The foregoing estimated useful lives and depreciation method are reviewed from time to time to ensure that these are consistent with the expected economic benefits ofthe property and equipment.+ Revenue Recognition ‘The Company's revenue recognition policies require the use of estimates and assumptions that may affect the reported amounts of revenues and receivables. Differences between the amounts initially recognized and actual settlements are taken up in the accounts upon reconciliation, However, there i no assurance that such use of estimates may not result to material adjustment in future periods |. Financial risk management objectives and policies ‘The Company's activities expose it to a variety of financial risk; credit risk and liquidity risk. The Company's overall risk management program seeks to minimize potential adverse effeets on the financial Performance of the Company. The policies for managing specific risks are summarized below: Govern smework ‘The Company has established a risk management function with clear terms of reference and with the responsibility for developing policies on market, credit, liquidity and operation risk. It also supports the effective implementation of policies, ‘The policies define the Company’s identification of risk and its interpretation, limit structure to ensure the appropriate quality and diversification of assets to the corporate goals and specify reporting requirements Capital Management Framework The company’s risk management function has developed and implemented certain minimum stress and scenario tests for identifying the risks to which the Company are exposed, quantifying their impact on the volatility of economic capital. The results of these tests, particularly, the anticipated impact on the realistic balance sheet and revenue account, are reported to the Company's risk management function. The risk ‘management function then considers the agaregate impact of the overall capital requirements revealed by the siress testing to assess how much capital is needed to mitigate the risk of insolvency to a selected remote level Re Framework ‘The operations of the Company is also subject to the regulatory requirements of SEC. Such regulations not only prescribed approval and monitoring of activities but also impose certain restrictive provisions Financial Risk ‘The Company is also exposed to financial risk through is financial assets and financial liabilities. The most important components of this financial risk are credit risk, liquidity risk and market risk. 5. CASH This account consists of the following: 2023 2022 Cash on Hand _ 5.260.131 2,930,902 Cash in Bank RCBC (Account No, 000000759-0085177) 5,338,923 RCBC (Account No, 000-000-90457.62535) 5,000,000, PNB (Account No. 222-67000-5501) 1,300,386 Various Banks 1,452,148 Total Cashin Bank 11,639,309, 1,452,148 Total Cash 16,899,440 4,383,0506. Property and Equipment This account consists of the following’ Jan 1, 2023 Additions RevlutioyResls Dee, 31,2023, ‘sieaoa Dios a ‘Machineries Tools and Equipment 432,300 360,400 792,700 Construction Equipment 5,290,000 7,360,000 12,650,000 ‘Transportation Equipment 2,870,000 _ 10,535,000 13,405,000 ‘Total 8,592,300 18,255,400 26,847,700 Less: Accumulated Depreciation . Machineries Tools and Equipment = 43,230 43,230 Construction Equipment - 29,000 529,000 ‘Transportation Equipment = 287,000 287,000 Total = 859.230 859,230 Net Book Value 8,592,300, 25,988.470 ‘Computation of Annual Depreciation for 2023: Cost Estimated nual Gamuary ——Usefl yo ton 41,2023) Life im Years Machineries Tools and Equipment 432,300 10 43,230 Construction Equipment 5,290,000 10 529,000 ‘Transportation Equipment igre 10) 287,000 Total Annual Depreciation 859,230 22 RevalutonRee Jan 1.2022 aditions eaters D&C 31,2022 pos! ‘Machineries Tools and Equipment = 432300 432,300 Construction Equipment ~ 5,290,000 5,290,000 Transportation Equipment = 2,870,000 2.870.000 Total = 8,592,300 8,592,300Less: Accumulated Depreciation Machineries Tools and Equipment : Construction Equipment : 7 Transportation Equipment 7 Total = 5 : . Net Book Value 8,592,300 7. LOANS PAYABLE This account consists of the following: 2023 2022 Equipbex Corporation 2,500,000 Powertrac Ine. 1,190,000 ‘Various Creditors 9,791,645 10,000,000 ‘Total Loans Payable 13,481,645 10,000,000 8, INCOME TAX PAYABLE This account consists of the following: Income Before Tax 475,845 ‘Multiplied by Corporate Income Tax Rate 0.20 Provision for Income Tax 5,169 Less: Tax Payments for Three Quarter Payments 44,930 ‘Total Income Tax Payable 50,239 oO 9, RELATED PARTY TRANSACTIONS ‘There were no related party transactions made by the Cooperative for the years ending December 31, 2023 and 2022. 10, EVENTS AFTER BALANCE SHEET DATE. ‘There were no events after the balance sheet that would require a disclosure or adjustment on the financial statements of the cooperative. 11, COMMITMENTS AND CONTINGENCIES ‘There were no significant commitments and contingencies involving the Company as of Balance Sheet date. 10