Company: LDDD
Filing Date: 2025-09-26
Form Type: 10-K
Source: 0001213900-25-091988
Chunk: 316

Company: Longduoduo Co Ltd
Filing Date: 2025-09-26
Form: 10-K
Item: Item 3
Chunk 316
---
 eleven entities have at all times been under the control of Mr. Zhang Liang. Therefore,
in accordance with ASC 805-50-45-5, the current capital structure has been retroactively presented in prior periods as if such structure
existed at that time, and the entities under common control are presented on a combined basis for all periods. Since all of the subsidiaries
were under common control for all periods presented, the results of these subsidiaries are included in the Company’s financial
statements for all periods presented.

F-7

LONGDUODUO
COMPANY LIMITED AND SUBSIDIARIES

NOTES
TO CONSOLIDATED FINANCIAL STATEMENTS

FOR
THE YEARS ENDED JUNE 30, 2025 AND JUNE 30, 2024

NOTE
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

A.
Basis of presentation

The
accompanying consolidated financial statements are expressed in U.S. Dollars and have been prepared on the accrual basis of accounting
in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”).

B.
Principles of consolidation

The consolidated financial statements include
the accounts of Longduoduo and its subsidiaries. All significant inter-company accounts and transactions have been eliminated. The consolidated
financial statements include 100% of assets, liabilities, and net income of these subsidiaries.

LDD Technology Limited was established on March
18, 2024 under the laws of British Virgin Islands. LDD is a holding company with no business operations of its own. On February 19, 2025,
Longduoduo issued 10,020 shares of its common stock to the original shareholders of LDD, and assumed all the original shareholders' capital
contribution obligations of LDD, in exchange for 100% of the outstanding shares of LDD. This transaction is treated in the Company’s
financial statements as a corporate restructuring (reorganization) of entities under common control, as LDD and Longduoduo have at all
times been under the control of Mr. Zhang Liang. Therefore, this transaction is accounted for by the carry-over basis method (also referred
to as the pooling-of-interests method or historical-cost method). The assets and liabilities transferred are recorded by the receiving
entity at their historical carrying amounts in the consolidated financial statements of the controlling parent, not at fair value. No
new goodwill is recognized, and no gain or loss is recorded.