Company: MVIS
Filing Date: 2025-03-26
Form Type: 10-K
Source: 0001641172-25-000783
Chunk: 621

Company: MICROVISION, INC.
Filing Date: 2025-03-26
Form: 10-K
Item: Item 8
Chunk 621
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 of October 23, 2024 and re-valuation of the
derivative liability as of December 31, 2024:

SCHEDULE
OF REVALUATION DERIVATIVE LIABILITY

    December 31,  
    October 23, 

    2024  
    2024 
  
    Expected term (years) 
     1.75  
     1.94 
  
    Risk-free interest rate 
     4.18% 
     4.04%
  
    Dividend yield 
     0% 
     0%
  
    Volatility 
     78.02% 
     73.00%
  
    Discount rate 
     50.0% 
     50.0%

8.
FINANCIAL STATEMENT COMPONENTS

Restricted
Cash

During
the year ended December 31, 2024, Restricted cash, current decreased largely due to a $3.3 million release of escrow in connection with
the Asset Purchase Agreement with Ibeo. In addition, Restricted cash, net of current portion increased by approximately $1.0 million
related to cash that is held as collateral for a Hamburg, Germany lease.

    51

Inventory

Inventory
consists of the following (in thousands):

 SCHEDULE OF COMPONENTS OF INVENTORY 

    2024  
    2023 

    December 31, 

    2024  
    2023 
  
    Raw materials 
    $1,616  
    $1,574 
  
    Work in process 
     -  
     305 
  
    Finished goods 
     678  
     1,995 
  
    Total inventory  
    $2,294  
    $3,874 

Inventory
is computed using the first-in, first-out (FIFO) method and is stated at the lower of cost and net realizable value. Management periodically
assesses the need to account for obsolescence of inventory and adjusts the carrying value of inventory to its net realizable value when
required.

During the year ended December 31, 2024, the Company recorded a $2.0 million reduction to inventory due to obsolescence.

Property
and Equipment

Property
and equipment consists of the following (in thousands):

 SCHEDULE
OF COMPONENTS OF PROPERTY, PLANT AND EQUIPMENT 

    2024  
    202