| Schedule of Impact of the Restatement |
The impact of the restatement on the balance sheets,
statements of operations, and statements of cash flows as of and for the six months ended June 30, 2024 is presented below.
| | |
June 30, 2024 | |
Unaudited Condensed
Consolidated Balance Sheets | |
As
Reported | | |
Adjustments | | |
As
Restated | |
| Prepaid expense and other current asset | |
$ | 100,810 | | |
$ | 118,835 | | |
$ | 219,645 | |
| Current Assets | |
| 2,189,567 | | |
| 118,835 | | |
| 2,308,402 | |
| Property and equipment, net | |
| 7,929,121 | | |
| (7,400,000 | ) | |
| 529,121 | |
| Prepayment for asset acquisition | |
| - | | |
| 691,900 | | |
| 691,900 | |
| Total Assets | |
| 14,633,699 | | |
| (6,589,265 | ) | |
| 8,044,434 | |
| | |
| | | |
| | | |
| | |
| Accrued expenses and other current liabilities | |
| 3,961,050 | | |
| (329,812 | ) | |
| 3,631,238 | |
| Due to related parties | |
| 326,298 | | |
| (1,208 | ) | |
| 325,090 | |
| Current Liabilities | |
| 6,548,927 | | |
| (302,016 | ) | |
| 6,246,911 | |
| Total Liabilities | |
| 6,805,409 | | |
| (301,020 | ) | |
| 6,504,389 | |
| | |
| | | |
| | | |
| | |
| Additional paid-in capital | |
| 87,082,558 | | |
| (9,053,103 | ) | |
| 78,029,455 | |
| Total stockholders’ equity | |
| 8,293,455 | | |
| (6,507,253 | ) | |
| 1,786,202 | |
| Noncontrolling interest | |
| (465,165 | ) | |
| 219,008 | | |
| (246,157 | ) |
| Total Equity | |
| 7,828,290 | | |
| (6,288,245 | ) | |
| 1,540,045 | |
| Total Liabilities and Equity | |
$ | 14,633,699 | | |
$ | (6,589,265 | ) | |
$ | 8,044,434 | |
| | |
Three Months Ended June 30, 2024 | |
Unaudited Condensed
Consolidated Statements of Operations | |
As
Reported | | |
Adjustments | | |
As
Restated | |
| Selling, general and administrative expenses | |
$ | 640,451 | | |
$ | 13,332 | | |
$ | 653,783 | |
| Stock based compensation | |
| 412,741 | | |
| (129,866 | ) | |
| 282,875 | |
| Interest expenses | |
| (260,032 | ) | |
| 52,953 | | |
| (207,079 | ) |
| Net loss attributable to noncontrolling interests | |
| (206,044 | ) | |
| 100,968 | | |
| (105,076 | ) |
| Net loss | |
| (1,272,689 | ) | |
| 225,277 | | |
| (1,047,412 | ) |
| Basic and diluted net loss per common share | |
$ | (0.09 | ) | |
$ | 0.01 | | |
$ | (0.08 | ) |
| | |
Six Months Ended June 30, 2024 | |
Unaudited Condensed
Consolidated Statements of Operations | |
As
Reported | | |
Adjustments | | |
As
Restated | |
| Selling, general and administrative expenses | |
$ | 1,471,708 | | |
$ | (79,439 | ) | |
$ | 1,392,269 | |
| Stock based compensation | |
| 2,957,736 | | |
| (643,230 | ) | |
| 2,314,506 | |
| Interest expenses | |
| (944,715 | ) | |
| 555,960 | | |
| (388,755 | ) |
| Net loss attributable to noncontrolling interests | |
| (308,087 | ) | |
| 109,543 | | |
| (198,544 | ) |
| Net loss | |
| (5,253,708 | ) | |
| 1,278,629 | | |
| (3,975,079 | ) |
| Basic and diluted net loss per common share | |
$ | (0.47 | ) | |
$ | 0.11 | | |
$ | (0.36 | ) |
| | |
Six Months Ended June 30, 2024 | |
Unaudited Condensed
Consolidated Statements of Cash Flows | |
As
Reported | | |
Adjustments | | |
As
Restated | |
| Net loss | |
$ | (5,253,708 | ) | |
$ | 1,278,629 | | |
$ | (3,975,079 | ) |
| Stock-based compensation | |
| 2,957,736 | | |
| (643,230 | ) | |
| 2,314,506 | |
| Other non-cash income and expenses | |
| 915,546 | | |
| (553,972 | ) | |
| 361,574 | |
| Prepaid expenses and other deposits | |
| 7,245 | | |
| 72,914 | | |
| 80,159 | |
| Accrued expenses and other current liabilities | |
| 264,670 | | |
| (182,772 | ) | |
| 81,898 | |
| Due from related parties* | |
| (518,615 | ) | |
| 501,614 | | |
| (17,001 | ) |
| Due to related parties | |
| 153,166 | | |
| (153,166 | ) | |
| - | |
| Net cash used in operating activities | |
| (1,487,258 | ) | |
| 320,017 | | |
| (1,167,241 | ) |
| Loan to related parties* | |
| - | | |
| (501,614 | ) | |
| (501,614 | ) |
| Net cash used in investing activities* | |
| - | | |
| (501,614 | ) | |
| (501,614 | ) |
| Due to related parties* | |
| - | | |
| 151,597 | | |
| 151,597 | |
| Proceeds from short-term borrowings* | |
| - | | |
| 30,000 | | |
| 30,000 | |
| Net cash provided by financing activities | |
| 1,544,706 | | |
| 181,597 | | |
| 1,726,303 | |
| | |
| | | |
| | | |
| | |
| Issuance of common stock for conversion of debt | |
$ | 811,174 | | |
$ | (241,492 | ) | |
$ | 569,682 | |
| * | Previously reported amount was reclassified to financing activities based on current year’s presentation. |
|