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Notes Receivable
12 Months Ended
Dec. 31, 2023
Receivables [Abstract]  
Notes Receivable

Note 5 Notes Receivable

 

On September 9, 2021, the Company received a promissory note with Top Dog Productions Inc. that was secured by a blanket lien on all its assets. We agreed to lend an aggregate principal sum of up to $2,000,000 that accrues at a rate of 5% per annum. As of December 31, 2022, we advanced $527,624 and accrued $26,510 in interest receivable. Based on management’s assessment of the collectability of the principal and interest, we recognized an allowance for the entire amount and included the charge in bad debt expense for the year ended December 31, 2022.

 

On November 15, 2021, we received a $250,000 convertible promissory note with ZA Group Inc. for the sale of our wholly owned subsidiary, CZJ License Inc. The note accrues at a rate of 5% per annum. The principal and accrued interest of the note receivable will be due and payable on November 5, 2023. At any time after 180 days following the date of the note receivable, we may convert all or any part of the outstanding and unpaid amount of the note into fully paid and non-assessable shares of common stock of ZA Group Inc. at a fixed conversion price of $0.005 per share. As of December 31, 2022, based on management’s assessments of the collectability of the principal and $14,145 in accrued interest receivable and the value of ZA Group, Inc. common stock, we recognized an allowance for the $264,145 principal and interest and included the charge in bad debt expense for the year ended December 31, 2022.