NOTE 6 - LEASE

Operating leases

Prior to 2020, the Company entered into several lease amendments with landlord whereby the Company agreed to lease office space in Anaheim, California. The term expires on January 31, 2025. The lease has escalating payments from $9,905 per month to $11,018 per month. The Company recorded an aggregate value of right to use assets and lease liability of $500,333.

On April 9, 2024, the Company and its landlord agreed that the Company would move to a larger space within the building that currently houses its principal executive offices. The Company extended the term of its lease for an additional 60 months beginning approximately May 1, 2024 (upon the landlord's completion of the work on the new space). The extended term expires on April 30, 2029. The extended lease has payments of $4,545 per month. The Company recorded right to use assets and lease liability of $225,663. During the nine months ended September 30, 2024, the Company recognized other income of $32,405.

Lease liability is summarized below:

Maturity analysis under these lease agreements are as follows:

Lease expense for the three and nine months ended September 30, 2024 and 2023 was comprised of the following:

During the nine months ended September 30, 2024 and 2023, the Company paid $65,066 and $113,508 lease expense in cash, respectively.

Weighted-average remaining lease term and discount rate for operating leases are as follows: