XML 25 R14.htm IDEA: XBRL DOCUMENT

8. Leases

6 Months Ended

Jun. 30, 2020

Note 8 LEASES

The Company has two non-cancelable lease agreements for certain of the office and accommodation as well as fish farming containers for research and develop advanced technology for water circulation applying in fishery with original lease periods expiring between 2022 and 2023. The lease terms may include options to extend or terminate the lease when it is reasonably certain the Company will exercise that option. The Company recognizes rental expense on a straight-line basis over the lease term.

The following table provides a summary of leases by balance sheet location as of June 30, 2020 and December 31, 2019:

	Balance Sheet Location	June 30, 2020		December 31, 2019
		(Unaudited)
		$		$
Assets
Operating- noncurrent	Operating lease right-of-use assets		86,478		113,166
Total leased assets			86,478		113,166

Liabilities
Operating – current	Operating lease liabilities-current		–		8,485
Total lease liabilities			–		8,485

The components of lease expense for the six months ended June 30, 2020 and June 30, 2019 were as follows:

	Statement of Income Location	Six months ended June 30, 2020		Six months ended June 30, 2019
		(Unaudited)		(Unaudited)
		$		$
Lease Costs
Operating lease expense	General and administrative expenses		26,224		17,886
Total net lease costs			26,224		17,886

Maturity of lease liabilities under our non-cancelable operating leases as of June 30, 2020 are US$ nil.

Maturity of lease liabilities under our non-cancelable operating leases as of December 31, 2019 are as follows:

	Operating
	(Unaudited)
	$
2020		8,617
2021		–
2022		–
2023		–
Total lease payments		8,617
Less: interest		(132	)
Present value of lease liabilities		8,485

Following table provides a summary of the lease terms and discount rates of June 30, 2020 and December 31, 2019:

	June 30, 2020		December 31, 2019
Weighted Average Remaining Lease Term
Operating leases		2.25 years		2.75 years

Weighted Average Discount Rate
Operating leases		6.18%		6.18%

As most of the leases do not provide an implicit rate, the Company use the incremental borrowing rate based on the information available at the lease commencement date to determine the present value of lease payments.

Supplemental information related to the leases for the six months ended June 30, 2019 and 2020 are as follows:

	Six months ended June 30, 2020		Six months ended June 30, 2019
	(Unaudited)		(Unaudited)
	$		$
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases		8,537		147,680

Right-of-use assets obtained in exchange for new lease obligations:
Operating leases		–		145,461