XML 33 R20.htm IDEA: XBRL DOCUMENT
v3.22.2

Leases | 12 Months Ended
--- | ---
Mar. 31, 2022
Leases [Abstract] |
Leases | 14. Leases The Company leases approximately 4,160 rentable square feet of office space from an unaffiliated third party for the corporate office located in Midland, Texas. This includes 1,112 square feet of office space shared with and reimbursed by the majority shareholder. The lease does not include an option to renew and is a 36-month lease that was to expire in May 2021. In June 2020, in exchange for a reduction in rent for the months of June and July 2020, the Company agreed to a 2-month extension to its current lease agreement at the regular monthly rate extending its current lease expiration date to July 2021. In June 2021, the Company agreed to extend its current lease at a flat (unescalated) rate for 36 months. The amended lease now expires on July 31, 2024. The Company determines an arrangement is a lease at inception. Operating leases are recorded in operating lease right-of-use asset, operating lease liability, current, and operating lease liability, long-term on the consolidated balance sheets. Operating lease right-of-use assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent its obligation to make lease payments arising from the lease. Operating lease assets and liabilities are recognized at the commencement date based on the present value of lease payments over the lease term. As the Company’s lease does not provide an implicit rate, the Company uses the incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The incremental borrowing rate used at adoption was 3.75%. Significant judgement is required when determining the incremental borrowing rate. Rent expense for lease payments is recognized on a straight-line basis over the lease term. The balance sheets classification of lease assets and liabilities was as follows: Schedule of Operating Lease Assets and Liabilities
|  | March 31, 2022 |
Assets |  |  |  |
Operating lease right-of-use asset, beginning balance |  | $ | 20,861 |
Current period amortization |  |  | (55,944 | )
Lease amendment |  |  | 165,006 |
Total operating lease right-of-use asset |  | $ | 129,923 |
Liabilities |  |  |  |
Operating lease liability, current |  | $ | 54,294 |
Operating lease liability, long term |  |  | 75,629 |
Total lease liabilities |  | $ | 129,923 |
Future minimum lease payments as of March 31, 2022 under non-cancellable operating leases are as follows: Schedule of Future Minimum Lease Payments
|  | Lease Obligation |
Fiscal Year Ended March 31, 2023 |  | $ | 58,240 |
Fiscal Year Ended March 31, 2024 |  |  | 58,240 |
Fiscal Year Ended March 31, 2025 |  |  | 19,413 |
Total lease payments |  | $ | 135,893 |
Less: imputed interest |  |  | (5,970 | )
Operating lease liability |  |  | 129,923 |
Less: operating lease liability, current |  |  | (54,294 | )
Operating lease liability, long term |  | $ | 75,629 |
Net cash paid for our operating lease for the year ended March 31, 2022 and 2021 was $42,237 and $48,860, respectively. Rent expense, less sublease income of $18,555 and $19,109, respectively, is included in general and administrative expenses.

X
- References No definition available. + Details
Name: | us-gaap_LeasesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for operating leases of lessee. Includes, but is not limited to, description of operating lease and maturity analysis of operating lease liability. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 842 -SubTopic 20 -URI https://asc.fasb.org/subtopic&trid=77888251 + Details
Name: | us-gaap_LesseeOperatingLeasesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration