NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: ACCOUNTS RECEIVABLE AND ACCOUNTS PAYABLE (Policies)	12 Months Ended
Dec. 31, 2023
Policies
ACCOUNTS RECEIVABLE AND ACCOUNTS PAYABLE	ACCOUNTS RECEIVABLE AND ACCOUNTS PAYABLE Regarding the Aging of Trade Accounts Receivable and Trade Accounts Payable, the industry standard is very strange in this business. Often, the aging could go to 2 to 3 years and the receivables are good. The reason is that when the customer buys a part which is a firm sale, if they use the part which was purchased, they pay within 60 to 75 days. But if the part did not get used for whatever reason, and they failed to return the part within 30 days, then as a courtesy, the Sellers, does not demand payment so that new sales of other parts continue. Thus, no forceful demand is made if it is a running account and cash is coming in against new sales. The management learnt of this trait after the business was acquired. There were receivables as well as payables that went back to 2 years. Even in the new acquisition that the Company has recently done, while we did not assume any trade liabilities or receivables, the same fact has been observed in the Seller’s books of accounts. The management has not suffered any significant bad debts. Trade Accounts Receivable: Balance is $95,440 as on 12/31/2023 which includes $13,743 as receivables for 365 days or more in the aging analysis. The company did not make any provision for such a long outstanding receivable because (a) these buyers are generally repair shops; (b) when used for the customers, these repair shops send the payment within 60 days; (c) when not used, they are still in possession of the parts until the next purchase as a possible way the truck mileage for the return. When the parts are not returned, our company policy is not to ship anything else, until the previous outstanding sales invoice is paid. In the past 3 years, this company did not have significant bad debt for the domestic business. One invoice in the amount of $12,929.23 owed by SAM International, UAE had been written off due to failure to collect the same on account of the owner having gone out of business due to severe incapability to conduct business as a result of heath. Trade Accounts Payable: Balance is $138,669 as on 12/31/2023 which includes $0 as payable for 365 days or more in the aging analysis.

NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: ACCOUNTS RECEIVABLE AND ACCOUNTS PAYABLE (Policies)

12 Months Ended

Dec. 31, 2023

ACCOUNTS RECEIVABLE AND ACCOUNTS PAYABLE

ACCOUNTS RECEIVABLE AND ACCOUNTS PAYABLE

Regarding the Aging of Trade Accounts Receivable and Trade Accounts Payable, the industry standard is very strange in this business. Often, the aging could go to 2 to 3 years and the receivables are good. The reason is that when the customer buys a part which is a firm sale, if they use the part which was purchased, they pay within 60 to 75 days. But if the part did not get used for whatever reason, and they failed to return the part within 30 days, then as a courtesy, the Sellers, does not demand payment so that new sales of other parts continue. Thus, no forceful demand is made if it is a running account and cash is coming in against new sales. The management learnt of this trait after the business was acquired. There were receivables as well as payables that went back to 2 years. Even in the new acquisition that the Company has recently done, while we did not assume any trade liabilities or receivables, the same fact has been observed in the Seller’s books of accounts. The management has not suffered any significant bad debts.

Trade Accounts Receivable: Balance is $95,440 as on 12/31/2023 which includes $13,743 as receivables for 365 days or more in the aging analysis.

The company did not make any provision for such a long outstanding receivable because (a) these buyers are generally repair shops; (b) when used for the customers, these repair shops send the payment within 60 days; (c) when not used, they are still in possession of the parts until the next purchase as a possible way the truck mileage for the return. When the parts are not returned, our company policy is not to ship anything else, until the previous outstanding sales invoice is paid.

In the past 3 years, this company did not have significant bad debt for the domestic business. One invoice in the amount of $12,929.23 owed by SAM International, UAE had been written off due to failure to collect the same on account of the owner having gone out of business due to severe incapability to conduct business as a result of heath.

Trade Accounts Payable: Balance is $138,669 as on 12/31/2023 which includes $0 as payable for 365 days or more in the aging analysis.