Company: MNTR
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001620
Chunk: 1034

Company: Mentor Capital, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 7A
Chunk 1034
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 deposits, and other
accrued liabilities approximate their fair value due to the short-term nature of these instruments.

The
fair value of available-for-sale investment securities is based on quoted market prices in active markets.

The
fair value of the investment in account receivable is based on the net present value of calculated interest and principal payments. The
carrying value approximates fair value as interest rates charged are comparable to market rates for similar investments.

The
fair value of notes receivable is based on the net present value of calculated interest and principal payments. The carrying value approximates
fair value as interest rates charged are comparable to market rates for similar notes.

The
fair value of long-term notes payable is based on the net present value of calculated interest and principal payments. The carrying value
of long-term debt approximates fair value due to the fact that the interest rate on the debt is based on market rates.

Note
3 – Discontinued operation

Acquisition

Waste
Consolidators, Inc. (“WCI”) was a legacy investment that originated when the Company purchased 50% of the outstanding shares
of WCI on October 1, 2003, in a stock for stock exchange that was originally valued at $1,000,000 and was later reduced to a cost basis
of $79,200 on October 28, 2007, pursuant to a purchase price related addendum between WCI and the Company. Effective January 1, 2014,
the Company purchased an additional 1% of the outstanding shares of WCI for $25,000, which resulted in the Company owning a 51% controlling
interest in WCI and an amendment to our change in valuation of WCI due to our controlling interest. As a result, WCI was included in
the consolidated financial statements since January 1, 2014, and the Company recognized a fair value of $1,250,000 of non-cash gain on
the adjustment to the fair value of the investment in WCI. This resulted in a total of $1,275,000 investment in WCI in its audited financials
for the year ended December 31, 2014. Additionally, the Company recognized a ($47,216) effect of consolidating our interest in WCI that
was previously accounted for at cost prior to December 31, 2014.

    F-15

Mentor
Capital, Inc.

Notes
to Consolidated Financial Statements

December
31,