Summary of Significant Accounting Policies (Tables)
|
12 Months Ended |
Jun. 30, 2021 |
|---|
| Organization, Consolidation and Presentation of Financial Statements [Abstract] |
|
| Schedule of Reclassified Net Revenues |
For comparative purposes, prior year’s consolidated
financial statements have been reclassified to conform to report classifications of the current period. Below is the table of reclassified
amounts:
| |
|
For the Years ended |
|
| |
|
June 30, 2020 |
|
| |
|
Originally reported |
|
|
Reclassified |
|
| |
|
|
|
|
|
|
| REVENUES |
|
|
|
|
|
|
|
|
| License fees |
|
$ |
4,564,560 |
|
|
$ |
3,260,891 |
|
| Subscription and support |
|
|
19,019,646 |
|
|
|
20,254,917 |
|
| Services |
|
|
32,487,292 |
|
|
|
32,555,690 |
|
| Services - related party |
|
|
300,821 |
|
|
|
300,821 |
|
| Total net revenues |
|
$ |
56,372,319 |
|
|
$ |
56,372,319 |
|
|
| Summary of Estimated Useful Lives of Assets |
Following is the summary of estimated useful lives
of the assets:
| Category |
|
Estimated Useful Life |
| |
|
|
| Computer equipment and software |
|
3 to 5 Years |
| Office furniture and equipment |
|
5 to 10 Years |
| Building |
|
20 Years |
| Autos |
|
5 Years |
| Assets under capital leases |
|
3 to 10 Years |
| Improvements |
|
5 to 10 Years |
|
| Schedule of Fair Value of Financial Assets Measured on Recurring Basis |
Our financial assets that are measured at fair value
on a recurring basis as of June 30, 2021 are as follows:
| |
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
|
Total Assets |
|
| Revenues in excess of billings - long term |
|
$ |
- |
|
|
$ |
- |
|
|
$ |
957,603 |
|
|
$ |
957,603 |
|
| Total |
|
$ |
- |
|
|
$ |
- |
|
|
$ |
957,603 |
|
|
$ |
957,603 |
|
Our financial assets that are measured at fair value
on a recurring basis as of June 30, 2020, are as follows:
| |
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
|
Total Assets |
|
| Revenues in excess of billings - long term |
|
$ |
- |
|
|
$ |
- |
|
|
$ |
1,300,289 |
|
|
$ |
1,300,289 |
|
| Total |
|
$ |
- |
|
|
$ |
- |
|
|
$ |
1,300,289 |
|
|
$ |
1,300,289 |
|
|
| Schedule of Fair Value of Financial Instruments Reconciliation |
The reconciliation for the years ended June 30, 2021
and 2020 is as follows:
| |
|
Revenues in excess of billings - long term |
|
|
Fair value discount |
|
|
Total |
|
| Balance at June 30, 2019 |
|
$ |
1,380,631 |
|
|
$ |
(99,139 |
) |
|
$ |
1,281,492 |
|
| Amortization during the period |
|
|
- |
|
|
|
55,344 |
|
|
|
55,344 |
|
| Effect of Translation Adjustment |
|
|
(39,056 |
) |
|
|
2,509 |
|
|
|
(36,547 |
) |
| Balance at June 30, 2020 |
|
$ |
1,341,575 |
|
|
$ |
(41,286 |
) |
|
$ |
1,300,289 |
|
| Additions |
|
|
1,023,634 |
|
|
|
(78,124 |
) |
|
|
945,510 |
|
| Amortization during the period |
|
|
- |
|
|
|
53,119 |
|
|
|
53,119 |
|
| Transfers to short term |
|
|
(1,341,575 |
) |
|
|
- |
|
|
|
(1,341,575 |
) |
| Effect of Translation Adjustment |
|
|
748 |
|
|
|
(488 |
) |
|
|
260 |
|
| Balance at June 30, 2021 |
|
$ |
1,024,382 |
|
|
$ |
(66,779 |
) |
|
$ |
957,603 |
|
|
| Schedule of the Impact of Adopting Topic 326 |
The following table presents the impact of adopting
ASC Topic 326 as of July 1, 2020:
| |
|
Adjustment |
|
| |
|
to Adopt |
|
| Asset Classification |
|
ASC Topic 326 |
|
| Allowance for credit losses - accounts receivable |
|
$ |
109,486 |
|
| Allowance for credit losses - accounts receivable - related party |
|
|
1,282,505 |
|
| Allowance for credit losses - revenue in excess of billings - related party |
|
|
8,163 |
|
| Allowance for credit losses - convertible notes receivable - related party |
|
|
4,250,000 |
|
| Allowance for credit losses - other current assets |
|
|
1,134,146 |
|
| |
|
$ |
6,784,300 |
|
|