OPERATING LEASE RIGHT-OF-USE ASSETS AND LEASE LIABILITIES

9 Months Ended

Dec. 31, 2022

Operating Lease Right-of-use Assets And Lease Liabilities

OPERATING LEASE RIGHT-OF-USE ASSETS AND LEASE LIABILITIES

10. OPERATING LEASE RIGHT-OF-USE ASSETS AND LEASE LIABILITIES

The Company has one operating lease primarily for office and administration.

During December 2021, the Company entered into a new lease agreement. The Company paid $85,000 deposit that would be returned at the end of the lease. In December 2022, the Company started a new lease with an additional suite in the same premise as the existing lease.

When measuring the lease obligations, the Company discounted lease payments using its incremental borrowing rate. The weighted-average-rate applied is 11.4%. 

Right of Use Asset	$
Balance at March 31, 2022		1,242,700
New leases		685,099
Amortization		(255,146	)
Balance at December 31, 2022		1,672,653

Lease Liability	$
Balance at March 31, 2022		1,330,338
New leases		685,099
Repayment and interest accretion		(231,533	)
Balance at December 31, 2022		1,783,904
Current portion of operating lease liability		322,882
Noncurrent portion of operating lease liability		1,461,022

The operating lease expense was $53,286 and $264,738 for the three and nine months ended December 31, 2022, respectively. (December 31, 2021: $119,465 and $255,020) was included in the general and administrative expenses.

The following table represents the contractual undiscounted cash flows for lease obligations as at December 31, 2022:

Calendar year	$
2023		505,696
2024		552,293
2025		600,288
2026		565,359
2027 and beyond		-
Total undiscounted lease liability		2,223,636
Less imputed interest		(439,732	)
Total		1,783,904