Company: RGBP
Filing Date: 2025-05-16
Form Type: 10-Q
Source: 0001641172-25-011206
Chunk: 2

Company: Regen BioPharma Inc
Filing Date: 2025-05-16
Form: 10-Q
Item: Part I, Item 1
Chunk 2
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500, and then rounded up to the nearest whole number. No fractional shares were issued, and no cash or other
consideration was paid to any shareholder. Instead, the Company issued one whole share of the post-Reverse Stock Split common stock to
any shareholder who otherwise would have received a fractional share as a result of the Reverse Stock Split. Except for the Company’s
historical financial statements and unless otherwise stated, all option, share, and per share information gives effect to the Reverse
Stock Split.

E. DERIVATIVE LIABILITY

The Company analyzes the conversion feature of Convertible
Notes for derivative accounting consideration under ASC 815-15 “ Derivatives and Hedging. ASC 815-15 requires that the conversion
features are bifurcated and separately accounted for as an embedded derivative contained in the Company’s convertible debt. The
embedded derivative is carried on the balance sheet at fair value. Any unrealized change in fair value, as determined at each measurement
period, is recorded as a component of the income statement and the associated carrying amount on the balance sheet is adjusted by the
change. The Company values the embedded derivative using the Black-Scholes pricing model.

The Black Scholes pricing model used to determine
the Derivative Liability on convertible notes issued by the Company in which an embedded derivative is recognized as of December 31, 2024
utilized the following inputs:

SCHEDULE
OF DERIVATIVE LIABILITY ON CONVERTIBLE NOTES USING BLACK SCHOLES PRICING MODEL

  Schedule of Derivative liability                                     
  Risk Free Interest Rate                     4.59                %    
  Expected Term                               0.68 – ( 4.41)      Yrs  
  Expected Volatility                         1156.96             %    
  Expected Dividends                          -                        
  Derivative Liability Measurement Input      -                        

F. INCOME TAXES

The Company accounts for income taxes using the liability
method prescribed by ASC 740, “ Income Taxes.” Under this method, deferred tax assets and liabilities are determined based
on the difference between the financial reporting and tax bases of assets and liabilities using enacted tax rates that will be in effect
in the year in which the differences are expected to reverse. The Company records a valuation allowance to offset deferred tax assets
if based on the weight of available evidence, it is more-likely-than-not that some portion, or all, of the deferred tax assets will not
be realized. The effect on deferred taxes of a change in tax rates