Company: CLOQ
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001641172-25-023402
Chunk: 14

Company: CYBERLOQ TECHNOLOGIES, INC.
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 1
Chunk 14
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ivable will not be recovered. Management
believes that there are no concentrations of credit risk for which an allowance has not been established. Although management believes
that the allowance is adequate, it is possible that the estimated amount of cash collections with respect to accounts receivable could
change.

    F-7

CyberloQ
Technologies, Inc.

NOTES
TO CONSOLIDATED CONDENSED FINANCIAL STATEMENTS (unaudited)

For
the Six Months Ended June 30, 2025

Fair
Value Measurements

For
certain financial instruments, including accounts receivable, accounts payable, accrued expenses, interest payable, advances payable
and notes payable, the carrying amounts approximate fair value due to their relatively short maturities.

The
Company has adopted FASB ASC 820-10, “Fair Value Measurements and Disclosures.” FASB ASC 820-10 defines fair value,
and establishes a three-level valuation hierarchy for disclosures of fair value measurement that enhances disclosure requirements for
fair value measures. The carrying amounts reported in the consolidated balance sheets for receivables and current liabilities each qualify
as financial instruments and are a reasonable estimate of their fair values because of the short period of time between the origination
of such instruments and their expected realization and their current market rate of interest. The three levels of valuation hierarchy
are defined as follows:

    ●
    Level
    1 inputs to the valuation methodology are quoted prices for identical assets or liabilities in active markets.

    ●
    Level
    2 inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that
    are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.

    ●
    Level
    3 inputs to the valuation methodology are unobservable and significant to the fair value measurement.

The
Company did not identify any other non-recurring assets and liabilities that are required to be presented in the balance sheets at fair
value in accordance with FASB ASC 815.

Segment
Reporting

The
Company has not yet begun generating revenue from its planned principal operation and operates as a single reportable segment. The principal
executive officer of the Company is the chief operating decision maker who assesses performance based on total expenses, cash flows and
progress made towards the CyberloQ Secure Solution.

Advertising

Advertising
costs are expensed as incurred. Advertising expense for the six-months ended June