PEI Cannabis Annual Report 2024

PRINCE EDWARD ISLAND CANNABIS MANAGEMENT CORPORATION Notes to Financial Statements Year Ended March 31, 2024

5. ACCOUNTS RECEIVABLE

2024

2023

$ 198,551

Trade accounts receivable

$ 251,831

105,063 303,614 (34,173)

Other receivables

126,955 378,786

Allowance for doubtful accounts

-

$ 269,441 $ 378,786 All amounts in the accounts receivable balance are short term. The net carrying value of accounts receivable is considered a reasonable approximation of fair value. All of the Corporation's trade and other receivables have been reviewed for indications of impairment. It is management's assessment that an allowance of $34,173 (2023 - $Nil) is required to fairly state the value of accounts receivable.

6. INVENTORY

2024

2023

$ 1,429,982

Warehouse

$ 2,152,960 1,384,531

892,729

Stores

$ 2,322,711 $ 3,537,491 Inventories recognized in the statement of financial position consist of cannabis products and accessories held for sale. In 2024, a total of $18,117,146 (2023 - $16,400,816) of inventories was included in the statement of profit or loss as a cost of sales. The write-downs of inventories during fiscal 2024 is $Nil (2023 - $Nil). None of the inventories are pledged as security for liabilities.

7. ACCOUNTS PAYABLE AND ACCRUED LIABILITIES

2024

2023

$ 1,807,181

Accounts payable and accrued liabilities Prince Edward Island Liquor Control Commission

$ 2,567,861

308,176 135,871

243,255 38,932

HST payable

$ 2,251,228

$ 2,850,048

The payable from the Prince Edward Island Liquor Control Commission consist primarily of accruals to account for the shares use of resources of the Commission and is based on a best estimate of the cost of those resources used.

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PEICMC 2023-2024 Annual Report

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