Lexaria Bioscience Corp. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Commitments Significant Contracts and Contingencies

Commitments Significant Contracts and Contingencies

12 Months Ended

Aug. 31, 2021

Commitments Significant Contracts and Contingencies

16. Commitments, Significant Contracts and Contingencies

16. Commitments, Significant Contracts and Contingencies

Right of Use Assets - Operating Lease

Corporate offices and R&D lab space is leased in Kelowna, British Columbia, Canada until November 15, 2023, with an optional five-year extension. In addition to minimum lease payments, the lease requires us to pay property taxes and operating costs which are subject to annual adjustments.

	August 31, 2021			August 31, 2020
	$			$
Right of use assets - operating leases:		126,920			160,289
Amortization		(35,879	)		(33,369	)
Total lease assets		91,041			126,920
Liabilities:		125,431			158,773
Lease payments		(43,950	)		(43,764	)
Interest accretion		7,912			10,423
Total lease liabilities		89,393			125,431

Operating lease cost	$	91,041		$	126,920
Operating cash flows for lease	$	43,950		$	43,764
Remaining lease term		2.1 Years			3.1 Years
Discount rate		7.25	%		7.25	%

Pursuant to the terms of the Company’s lease agreements in effect at August 31, 2021, the following table summarizes the Company’s maturities of operating lease liabilities:

	$
2022		44,599
2023		44,816
2024		7,469
Thereafter		-
Total lease payments		96,884
Less: imputed interest		(7,491	)
Present value of operating lease liabilities		89,393
Less: current obligations under leases		(39,404	)
Total		49,989