Company: CERO
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112619
Chunk: 23

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-11-19
Form: 10-Q
Item: Item 1
Chunk 23
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 Chief Executive Officer serves as the Chief Operating Decision Maker (CODM), responsible for assessing
the Company’s performance and making resource allocation decisions. The CODM evaluates financial information on a consolidated
basis, focusing on key metrics such as research and development expense, general and administrative expenses, and other income/expenses,
which is reflected on the face of the Company’s consolidated statement of operations. The CODM allocates resources based on
the Company’s available cash resources, forecasted cash flow, and expenditures on a consolidated basis, as well as an assessment
of the probability of success of its research and development activities. Resource allocation decisions are informed by budgeted and
forecasted expense information, along with actual expenses incurred to date. The measure of segment assets is reported on the condensed
consolidated balance sheets as total assets. Disaggregated profit or loss information at the program or functional level is not regularly
provided to or relied upon by the CODM, as our integrated operating model emphasizes shared resources and centralized decision-making.

Recently adopted accounting
standards – In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures,
which focuses on the rate reconciliation and income taxes paid. ASU No. 2023-09 requires a public business entity (PBE) to disclose, on
an annual basis, a tabular rate reconciliation using both percentages and currency amounts, broken out into specified categories with
certain reconciling items further broken out by nature and jurisdiction to the extent those items exceed a specified threshold. In addition,
all entities are required to disclose income taxes paid, net of refunds received disaggregated by federal, state/local, and foreign and
by jurisdiction if the amount is at least 5% of total income tax payments, net of refunds received. This pronouncement is effective for
fiscal years beginning after December 15, 2024, with early adoption permitted. The Company adopted ASU 2023-09 on January 1,
2025. The adoption of this ASU had no impact on the Company’s consolidated financial position, results of operations,
or cash flows.

Accounting standards not
yet adopted – In November 2024, the FASB issued ASU 2024-03, Income Statement—Reporting Comprehensive Income—Expense
Disaggregation Disclosures (Subtopic 220-40), which requires entities to provide more detailed disaggregation