Company: GURE
Filing Date: 2025-04-11
Form Type: 10-K
Source: 0001193805-25-000461
Chunk: 100

Company: GULF RESOURCES, INC.
Filing Date: 2025-04-11
Form: 10-K
Item: Item 1B
Chunk 100
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 service periods using the straight-line method.
In June 2018, the FASB issued ASU No. 201807, Compensation - Stock Compensation (Topic 7I8), Improvements to Nonemployee
Share-Based Payment Accounting. The amendments in this Update expand the scope of Topic 718 to include share-based payment transactions
for acquiring goods and services from nonemployees. Prior to this Update, Topic 718 applied only to share-based transactions to employees.
Consistent with the accounting requirement for employee share-based payment awards, nonemployee share-based payment awards within the
scope of Topic 718 are measured at grant-date fair value of the equity instruments that an entity is obligated to issue when the good
has been delivered or the service has been rendered and any other conditions necessary to earn the right to benefit from the instruments
have been satisfied. The Company has elected to account for the forfeiture of stock-based awards as they occur.

(x)      New Accounting Pronouncements

Recent accounting pronouncements adopted

In June 2016, the FASB
issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326), Measurement of Credit Losses on Financial
Instruments. The amendments in this Update affect loans, debt securities, trade receivables, and any other financial assets that
have the contractual right to receive cash. The ASU requires an entity to recognize expected credit losses rather than incurred
losses for financial assets. For public entities, the amendments are effective for fiscal years beginning after December 15, 2019,
including interim periods within those fiscal years. For the Company which is a smaller reporting company, ASU No. 2019-10 extends
the effective dates for two years. The Company had evaluated the effect of the adoption of this standard on the consolidated
financial statements and related disclosures. And the Company had adopted this standard beginning January 1, 2024.

Recently Issued Accounting Pronouncements Not Yet
Adopted

There were no recently issued accounting pronouncements
not yet adopted for the year ended December 31, 2024.

    F-15 

GULF RESOURCES, INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS

DECEMBER 31, 2024

(Expressed in U.S. dollars)

NOTE 2 – ACCOUNTS RECEIVABLE, NET    

    December 31, 2024 
    December 31,