Company: TCRG
Filing Date: 2025-07-21
Form Type: 10-Q
Source: 0001185185-25-000810
Chunk: 10

Company: Cannaisseur Group Inc.
Filing Date: 2025-07-21
Form: 10-Q
Item: Item 1
Chunk 10
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 vested, will be measured at the grant date fair value and charged
to operations ratably over the vesting period.

The fair value of stock options granted as stock-based
compensation will be determined utilizing the Black-Scholes option-pricing model, and can be affected by several variables, the most significant
of which are the life of the equity award, the exercise price of the stock option as compared to the fair market value of the common stock
on the grant date, and the estimated volatility of the common stock. Estimated volatility will be based on the historical volatility of
the Company’s common stock over an appropriate calculation period, or, if not available, by reference to the volatility of a representative
sample of comparable public companies. The risk-free interest rate will be based on the U.S. Treasury yield curve in effect at the time
of grant. The fair market value of the common stock will be determined by reference to the quoted market price of the Company’s common
stock on the grant date, or, if not available, by reference to an appropriate alternative valuation methodology.

The Company will recognize the fair value of stock-based
compensation awards in general and administrative costs or in software development costs, as appropriate, in the Company’s consolidated
statements of operations. The Company will issue new shares of common stock to satisfy stock option exercises.

As of March 31, 2025 and December 31, 2024, the
Company did not have any outstanding stock options.

Earnings (Loss) Per Share

The Company’s computation of earnings (loss) per
share (“EPS”) includes basic and diluted EPS. Basic EPS is measured as the income (loss) attributable to common stockholders
divided by the weighted average common shares outstanding for the period. Diluted EPS is similar to basic EPS but presents the dilutive
effect on a per share basis of potential common shares (e.g., convertible notes payable, convertible preferred stock, warrants and stock
options) as if they had been converted at the beginning of the periods presented, or issuance date, if later. Potential common shares
that have an anti-dilutive effect (i.e., those that increase income per share or decrease loss per share) are excluded from the calculation
of diluted EPS.

As of March 31, 2025 and December 31, 2024, the
following shares were issuable and excluded from the calculation of diluted loss:

    March 31,  
2025

    December 31,
 2024