Company: SWAGW
Filing Date: 2025-01-22
Form Type: 10-K/A
Source: 0001213900-25-005516
Chunk: 174

Company: Stran & Company, Inc.
Filing Date: 2025-01-22
Form: 10-K/A
Chunk 174
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. To correct the error, the Company adjusted overstated freight revenue and corresponding freight expenses for the year ended December 31, 2023. 7. Inventory Adjustment The Company failed to perform a proper full physical inventory count. As a part of the restatement process, the Company performed physical inventory count and corresponding rollback analysis. The Company identified discrepancies between recorded and actual inventory levels. To correct the error, the Company adjusted its inventory records and reduced its reported inventory value as of December 31, 2023, to accurately reflect the findings. 8. Subsequent Measurement of Available-for-Sale Securities The Company incorrectly recorded unrealized holding gains and losses for available-for-sale securities that should be excluded from earnings and reported in other comprehensive income (loss). As a part of the restatement process, the Company performed a separate analysis related to subsequent measurement of available-for-sale securities in accordance with the relevant guidance of ASC Topic 320, Investments – Debt Securities. To correct the error, the Company adjusted realized gain (loss) on investment and corresponding other comprehensive income (loss) for the years ended December 31, 2023 and 2022. 9. Unearned Revenue and Sales Adjustment The Company failed to recognize certain amounts as Sales for the products that were included in Unearned Revenue but shipped as of December 31, 2023. In addition, the Company did not reduce the inventory balance for the products that were shipped as of December 31, 2023. As a part of the restatement process, the Company performed reconciliations of unearned revenue and adjusted overstated Unearned Revenue and Inventory balances for the products that were shipped as of December 31, 2023. F-16 STRAN & COMPANY, INC.
NOTES TO THE RESTATED FINANCIAL STATEMENTS
(in thousands, except share and per share amounts)

| * | Represents                                
 revision for immaterial error correction. |

| Balance Sheet as of December 31, 2023              |     | As       
 Reported |        |     | Adjustment |         |   |     | As       
 Restated |        |   |     | Reference |             |
|:---------------------------------------------------|:----|:---------|-------:|:----|:-----------|--------:|:--|:----|:---------|-------:|:--|:----|:----------|------------:|
| Cash and cash equivalents                          |     | $        |  7,989 |     | $          |      70 |   |