COMMITMENTS AND CONTINGENCIES

12 Months Ended

Aug. 31, 2020

Accounting Policies [Abstract]

COMMITMENTS AND CONTINGENCIES

NOTE 16 – COMMITMENTS AND CONTINGENCIES

Operating lease

The Company leases office premises and a display store under non-cancelable operating lease agreements with an option to renew the lease. On February 21, 2020, the display store lease for a monthly rent of $1,766 was updated with a lower monthly rent of $768 per month from 02/23/2020 to 02/22/2021 and $968 from 02/23/2021 to 02/22/2022. The cash lease expense for the years ended August 31, 2020 and 2019 was $79,488 and $34,381, respectively. All leases are on a fixed payment basis. None of the leases include contingent rentals. The Company had lease commitment of $125,440 as of August 31, 2020, of which $76,608 was within one year.

In accordance with ASC 250-10-45-14, the adoption of ASC 842 lease accounting standard has resulted in $79,258 lease expenses for the year ended August 31, 2020 

As of August 31,	Commitments
2021	$	76,608
2022	$	48,832
Total Lease Payments	$	125,440
Less: imputed interest	$	(3,527	)
Present value of lease liabilities	$	121,913
Current portion of obligations under operating leases	$	73,664
Obligations under operating leases, non-current	$	48,249