NOTE 9 - OPERATING LEASE	9 Months Ended
Jan. 31, 2022
Notes
NOTE 9 - OPERATING LEASE	NOTE 9 - OPERATING LEASE On July 10, 2019, we entered into the Metformin Production Line Operation Management Agreement (the “Agreement”) with Ru Yuan, an unaffiliated individual, to contract out the Metformin production line which was built by the Company. Under the terms of this agreement, Ru Yuan's (“lessee”) lease includes the fixed assets of Metformin production line including buildings, manufacturing equipment and construction in process. The lessee will pay to Qufu Shengren an annual contract fee of RMB3,000,000 (approximately $436,000) in July every year. On August 1, 2019, the Company (“lessor”) signed an addendum for Agreement with lessee to clarify the term of lease for five years, with conditional renewal options and the Company has the right to monitor operating and provide maintenance service for the underlying assets of the Metformin production line. The Company also has the right to terminate the Agreement if lessee fails to make payment timely. Under our analysis with the new lease standard, this lease agreement is classified as a cancellable operating lease. The Company received in a total amount of RMB9,000,000 in the past three years and the lease deposit of RMB1,000,000 as guarantee as of January 31, 2022. The Company recorded revenues of $107,991 and $104,866 from this operating lease in the three months ended January 31, 2022 and 2021, and the Company recorded revenues of $321,420 and $303,067 from this operating lease in the nine months ended January 31, 2022 and 2021.

NOTE 9 - OPERATING LEASE

9 Months Ended

Jan. 31, 2022

NOTE 9 - OPERATING LEASE

On July 10, 2019, we entered into the Metformin Production Line Operation Management Agreement (the “Agreement”) with Ru Yuan, an unaffiliated individual, to contract out the Metformin production line which was built by the Company. Under the terms of this agreement, Ru Yuan's (“lessee”) lease includes the fixed assets of Metformin production line including buildings, manufacturing equipment and construction in process. The lessee will pay to Qufu Shengren an annual contract fee of RMB3,000,000 (approximately $436,000) in July every year. On August 1, 2019, the Company (“lessor”) signed an addendum for Agreement with lessee to clarify the term of lease for five years, with conditional renewal options and the Company has the right to monitor operating and provide maintenance service for the underlying assets of the Metformin production line. The Company also has the right to terminate the Agreement if lessee fails to make payment timely. Under our analysis with the new lease standard, this lease agreement is classified as a cancellable operating lease. The Company received in a total amount of RMB9,000,000 in the past three years and the lease deposit of RMB1,000,000 as guarantee as of January 31, 2022. The Company recorded revenues of $107,991 and $104,866 from this operating lease in the three months ended January 31, 2022 and 2021, and the Company recorded revenues of $321,420 and $303,067 from this operating lease in the nine months ended January 31, 2022 and 2021.

SUNWIN STEVIA INTERNATIONAL, INC. 10-Q