6. Leases

3 Months Ended

Mar. 31, 2019

Leases [Abstract]

Leases

Note 6      LEASES

The Company has two non-cancelable lease agreements for certain of the office and accommodation as well as fish farming containers for research and develop advanced technology for water circulation applying in fishery with original lease periods expiring between 2022 and 2023. The lease terms may include options to extend or terminate the lease when it is reasonably certain the Company will exercise that option. The Company recognizes rental expense on a straight-line basis over the lease term.

The following table provides a summary of leases by balance sheet location as of March 31, 2019:

	Balance Sheet Location	March 31, 2019
		(Unaudited)
		$
Assets
Operating- noncurrent	Operating lease right-of-use assets		155,982
Total leased assets			155,982
Liabilities
Operating – noncurrent	Operating lease liabilities, non-current		8,378
Total lease liabilities			8,378

The components of lease expense for the three months ended March 31, 2019 were as follows:

	Statement of Income Location	Three months ended March 31, 2019
		(Unaudited)
		$
Lease Costs
Operating lease expense	General and administrative expenses		4,886
Total net lease costs			4,886

Maturity of lease liabilities under our non-cancelable operating leases as of March 31, 2019 are as follows:

	Operating
	(Unaudited)
	$
Remaining 2019		–
2020		8,911
2021		–
2022		–
2023		–
Total lease payments		8,911
Less: interest		(533	)
Present value of lease liabilities		8,378

Future minimum rental payments under our non-cancelable operating leases as of December 31, 2018 were as follows:

	Leases (1)
	$
2019		–
2020		8,911
2021		–
2022		–
2023		–
Total		8,911

(1) Amounts are based on ASC 840, Leases that was superseded upon our adoption of ASC 842, Leases on January 1, 2019.

Following table provides a summary of the lease terms and discount rates for the three months ended March 31, 2019:

	Three months ended March 31, 2019
Weighted Average Remaining Lease Term
Operating leases		3.50 years
Weighted Average Discount Rate
Operating leases		6.18%

As most of the leases do not provide an implicit rate, the Company use the incremental borrowing rate based on the information available at the lease commencement date to determine the present value of lease payments.

Supplemental information related to the leases for the three months ended March 31, 2019 is as follows:

	Three months ended March 31, 2019
	(Unaudited)
	$
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases		149,060
Right-of-use assets obtained in exchange for new lease obligations:
Operating leases		148,511