Right-of-Use Asset and Lease Liability

12 Months Ended

Oct. 31, 2023

Right of Use Asset and Lease Liability [Abstract]

RIGHT-OF-USE ASSET AND LEASE LIABILITY

11. RIGHT-OF-USE ASSET AND LEASE LIABILITY

The Company entered into a lease agreement for its corporate head office commencing March 1, 2022, until February 28, 2026. Upon entering into this lease, the Company recognized a right-of use (“ROU”) asset in the amount of $319,521, and a corresponding lease liability in the same amount ($319,521). The lease liability is measured at amortized cost using the incremental borrowing rate of 10.02%.

The continuity of the ROU asset and lease liability for the years ended October 31, 2023 and 2022 is as follows:

 Right-of-use asset

Value of ROU asset as of October 31, 2021	$	—
Additions		319,521
Depreciation		(53,253	)
Value of ROU asset as of October 31, 2022		266,268
Depreciation		(79,880	)
Value of ROU asset as of October 31, 2023	$	186,388

Lease liability

Lease liability recognized as of October 31, 2021	$	—
New office lease		319,521
Lease payments		(63,250	)
Lease interest		17,270
Lease liability recognized as of October 31, 2022		273,541
Lease payments		(94,875	)
Lease interest		24,221
Lease liability recognized as of October 31, 2023	$	202,887
Current portion	$	78,068
Non-current portion		124,819
Closing balance	$	202,887

Undiscounted lease payment obligations

Less than one year	$	97,748
One to three years		132,820
Total undiscounted lease liabilities	$	230,568