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Convertible Notes Payable
3 Months Ended
Feb. 29, 2024
Convertible Notes Payable  
Convertible Notes Payable

Note 8 — Convertible Notes Payable

 

In November 2023, the Company executed a series of 10% Convertible Notes payable to an institutional investor in the aggregate principal amount of $1,080,000. Each of the four notes being in the amount of $270,000 and containing an original issue discount of $20,000 and legal fees of $10,000. On November 28, 2023, the Company received the first tranche amounting to $270,000 less $20,000 OID and $10,000 legal fees with a net receipt of $240,000. At the periods ended February 29, 2024 and November 30, 2023, the net balance of the Convertible Note payable was $255,000 and $250,000, respectively. During the three months ended February 29, 2024, the Company recorded $6,750 interest expense and $5,000 OID amortization which was recorded as interest expense.