Company: MNTR
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001641172-25-010157
Chunk: 14

Company: Mentor Capital, Inc.
Filing Date: 2025-05-14
Form: 10-Q
Item: Item 1
Chunk 14
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 in securities at fair value

Investment in securities consists of debt and equity
securities reported at fair value. Under ASU 2016-01, “Financial Instruments - Overall: Recognition and Measurement of Financial
Assets and Financial Liabilities,” the Company elected to report changes in the fair value of equity investment in unrealized
investment gains (losses), net.

Investments in gold at fair value

Our
investment in gold consists of the quoted, unadjusted market price of our gold position reported at fair value less the
Company’s known cost to sell. Under ASC 825-10 “Financial Instruments: Fair Value Option,” and ASC 820
“Fair Value Measurement” the Company elected to report changes in the fair value of its gold investment in
unrealized investment gains (losses), net of the Company’s cost to sell  to a known broker within the dealer
market system including commission.

Long term investments

The Company’s investments in entities where
it is a minority owner and does not have the ability to exercise significant influence are recorded at fair value if readily determinable.
If the fair market value is not readily determinable, the investment is recorded under the cost method. Under this method, the Company’s
share of the earnings or losses of such investee company is not included in the Company’s financial statements. The Company reviews
the carrying value of its long-term investments for impairment each reporting period.

Investments in debt securities

At March 31, 2025 and December 31, 2024, the Company
held no investments in debt securities. The Company’s former investment in debt securities consisted of two convertible notes receivable
from NeuCourt, Inc. On July 15, 2022, all principal and accrued interest on the notes were converted into a Simple Agreement for Future
Equity (“SAFE”). At March 31, 2025 and December 31, 2024, the SAFE Purchase Amount was $93,756. See Note 7.

Investment in account receivable, net of discount

The Company’s investments in accounts receivable
is stated at face value, net of unamortized purchase discount. The discount is amortized to interest income over the term of the exchange
agreement. In the fourth quarter of 2020, we were notified that due to the effect of COVID-19 on the estimated receivable, we may not
receive the 2020 installment payment or the full 2021 installment payment. Due to a reduction