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REVENUE EARNING DEVICES
 3 Months Ended 12 Months Ended
May 31, 2025
Feb. 28, 2025
Revenue Earning Devices    
REVENUE EARNING DEVICES

7. REVENUE EARNING DEVICES

 

Revenue earning devices consisted of the following:

  

   May 31, 2025   February 28, 2025 
Revenue earning devices  $7,726,899   $6,831,352 
Less: Accumulated depreciation   (2,744,231)   (2,292,172)
Total  $4,982,668   $4,539,180 

 

During the three months ended May 31, 2025, the Company made total additions to revenue earning devices of $895,547 which were transfers from inventory. During the three months ended May 31, 2024, the Company made total additions to revenue earning devices of $1,128,175 which were transfers from inventory

 

Depreciation and amortization for the years ended May 31, 2025, and May 31, 2024, are as follows:

  

Depreciation and Amortization RED 

Three Months Ended

May 31 2025

   Three Months Ended
May 31, 2024		 
         
Cost of Goods Sold  $447,955   $201,873 
Operating expenses   4,104    54,355 
Total Depreciation and Amortization RED  $452,059   $256,228 

 

 

ARTIFICIAL INTELLIGENCE TECHNOLOGY SOLUTIONS INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

 

6. REVENUE EARNING DEVICES

 

Revenue earning devices (RED) consisted of the following:

 

   February 28, 2025  February 29, 2024
Revenue earning devices  $6,831,352   $3,432,846 
Less: Accumulated depreciation   (2,292,172)   (952,844)
Total  $4,539,180   $2,480,002 

 

During the year ended February 28, 2025, the Company made total additions to revenue earning devices of $3,398,505 which were transferred from inventory. There was no permanent impairment on revenue earning services for the year ended February 28, 2025. During the year ended February 29, 2024, the Company made total additions to revenue earning devices of $2,166,081 which were transferred from inventory. The Company wrote- off assets with a value $748,243 and related accumulated depreciation $490,295 with a net book value of $257,948 as a permanent impairment on revenue devices along with finished goods inventory on assets not yet deployed of $326,180 for a total permanent impairment on revenue earning devices of $584,177.

 

Depreciation and amortization for the years ended February 28, 2025, and February 29, 2024, are as follows: 

 

Depreciation and Amortization RED  Year Ended  February 28, 2025  Year Ended
February 29, 2024
       
Cost of Goods Sold  $1,051,498   $530,640 
Operating expenses   287,830    132,660 
Total  Depreciation and Amortization RED  $1,339,328   $663,300 

  

 

ARTIFICIAL INTELLIGENCE TECHNOLOGY SOLUTIONS INC.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS