Company: MYSEW
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001213900-25-044159
Chunk: 81

Company: Myseum, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 81
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 2023, the Company adopted ASC 326, “Financial Instruments - Credit Losses”. In accordance with ASC 326, an allowance
is maintained for estimated forward-looking losses resulting from the possible inability of customers to make the required payments (current
expected losses). The amount of the allowance is determined principally on the basis of past collection experience and known financial
factors regarding specific customers. The expense associated with the allowance for doubtful accounts on accounts receivable is recognized
in general and administrative expenses. As of March 31, 2025 and December 31, 2024, accounts receivable amounted to $247 and $207, respectively.

Property and equipment

Property and equipment are stated at cost and
are depreciated using the straight-line method over their estimated useful lives, which range from three to five years. Leasehold improvements
are depreciated over the shorter of the useful life or lease term including scheduled renewal terms. Maintenance and repairs are charged
to expense as incurred. When assets are retired or disposed of, the cost and accumulated depreciation are removed from the accounts, and
any resulting gains or losses are included in income in the year of disposition. The Company examines the possibility of decreases in
the value of these assets when events or changes in circumstances reflect the fact that their recorded value may not be recoverable.

Capitalized internal-use software costs

The Company capitalizes costs to develop or purchase
internal-use software in accordance with ASC section 350-40, Intangibles — Goodwill and Other — Internal-Use
Software. Costs incurred to develop internal-use software are expensed as incurred during the preliminary project stage. Internal-use
software development costs are capitalized upon purchase and during the application development stage, which is after: (i) the preliminary
project stage is completed; and (ii) management authorizes and commits to funding the project and it is probable the project will be completed
and used to perform the intended function. Capitalization ceases at the point where the software project is substantially complete and
ready for its intended use, and after all substantial testing is completed. Upgrades and enhancements are capitalized if it is probable
that those expenditures will result in additional functionality. Amortization is provided for on a straight-line basis over the expected
useful life of the internal-use software development costs and related upgrades and enhancements. When the existing software is replaced
with new software, the unamortized costs of the old software are expensed when the new software is ready for