Company: VEEAW
Filing Date: 2025-01-10
Form Type: S-1/A
Source: 0001213900-25-002716
Chunk: 197

Company: VEEA INC.
Filing Date: 2025-01-10
Form: S-1/A
Chunk 197
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 five to seven years for furniture and fixtures and five years
for computer equipment. Leasehold improvements are capitalized and amortized over the shorter of their useful lives or remaining lease
term. Repair and maintenance costs are charged to operations in the periods incurred. Upon retirement or sale, costs and related accumulated
depreciation or amortization are removed from the balance sheets and the resulting gain or loss is included in operating expense in the
Company’s consolidated statements of operations and comprehensive loss.

Goodwill

Goodwill represents the excess
of the aggregate purchase consideration over net assets acquired. Goodwill is reviewed for impairment on an annual basis, or more frequently
if events or changes in circumstances indicate that the carrying amount of goodwill may be impaired. In conducting its annual impairment
test, the Company first reviews qualitative factors to determine whether it is more likely than not that the fair value of the reporting
unit is less than its carrying amount. If factors indicate that the fair value of the reporting unit is less than its carrying amount,
the Company performs a quantitative assessment, and the fair value of the reporting unit is determined by analyzing the expected present
value of future cash flows. If the carrying value of the reporting unit continues to exceed its fair value, the fair value of the reporting
unit’s goodwill is calculated and an impairment loss equal to the excess is recorded. The Company’s goodwill was recorded
in connection with an acquisition consummated in June 2018. The Company considers goodwill to have an indefinite life and is not
amortized. As of December 31, 2023 and 2022, no events have occurred that would require impairment of goodwill.

Impairment of Long-Lived Assets

Long-lived assets with finite
lives consist primarily of property and equipment, operating lease right-of-use assets, and intangible assets which are reviewed for
impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability
of assets to be held and used is measured by a comparison of the carrying amount of an asset to the undiscounted future net cash flows
expected to be generated by the asset. If the carrying amount of an asset exceeds its estimated future undiscounted cash flows, an impairment
charge is recognized by the amount by which the carrying amount of the asset exceeds the fair value of the asset.

Stock-Based Compensation

The Company accounts for
stock-based compensation expense in accordance with ASC 718, Compensation-Stock Compensation (“ASC 718”).
The Company measures