Other Balance Sheet Components

6 Months Ended

Jun. 30, 2023

Other Current Assets

Other current assets are comprised of the following:

	June 30,		December 31,
		2023		2022
Prepaid Directors & Officers insurance	$	1,166,293	$	1,292,317
Advances to employees		229,200		74,064
Income tax advance payments ⁽ⁱ⁾		46,603		34,642
Other assets		19,857		24,484
Total	$	1,461,953	$	1,425,507

(i) Refers to federal withholding taxes and recoverable income taxes.

Property Plant and Equipment

Property, plant and equipment consisted of the following:

		June 30,			December 31,
		2023			2022
Development mockup	$	418,722		$	418,722
Leasehold improvement		165,380			-
Construction in progress ("CIP")		-			44,375
Computer hardware		13,368			13,368
Total property, plant and equipment	$	597,470		$	476,465
Less: Accumulated depreciation		(83,637	)		(24,879	)
Total property, plant and equipment, net	$	513,833		$	451,586

The mockup was built to simulate the operation, design, interior space, and cabin layout of our eVTOL. Depreciation expense for the three months ended June 30, 2023 and 2022 was $36,709 and $0, respectively. Depreciation expense for the six months ended June 30, 2023 and 2022 was $58,759 and $0, respectively. During the three month period ended June 30, 2023, the Company derecognized CIP assets associated with the terminated lease described in Note 17. The expense is recognized in the "Selling, general and administrative" line of the condensed consolidated statement of operations.

Other Payables

Other Payables are comprised of the following items:

	June 30,		December 31,
	2023			2022
Payroll accruals	$	3,478,351	$	4,075,660
Accrued expenses		2,304,112		2,491,847
Advances from customers ⁽ⁱ⁾		1,050,000		800,000
Other payable		546,014		300,738
Income tax payable		113,382		-
Total	$	7,491,859	$	7,668,245
Current portion	$	5,961,337	$	6,648,171
Non-current portion	$	1,530,522	$	1,020,074

(i) Refers to advances from customers who have signed non-binding Letters of Intent to purchase eVTOLs.