Company: MNTR
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001620
Chunk: 1030

Company: Mentor Capital, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 7A
Chunk 1030
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 influence over its operations. Prior to the sale, goodwill of $1,324,142
was derived from consolidating WCI effective January 1, 2014, and $102,040
of goodwill was derived from the 2003 acquisition of a 50%
interest in WCI. In accordance with ASC 350, “Intangibles-Goodwill and Other,” goodwill and other intangible
assets with indefinite lives were no longer subject to amortization but were tested for impairment annually or whenever events or
changes in circumstances indicate that the asset might be impaired prior to the sale. Effective October 4, 2023, on the date of the
sale of our WCI shares, we met the criteria outlined in ASC Topic 205-20 “Discontinued Operations,” for our
$1,426,182
goodwill to be reduced to $0
and the results of operations and assets and liabilities for our facilities operations segment were excluded from our continuing
operations and presented as a discontinued operation in our consolidated financial statements. As a result, goodwill in an aggregate
amount of $1,426,182
was reduced to $0. No
goodwill is reported in the Company’s condensed consolidated balance sheets at December 31, 2024 and 2023. See Note
3.

Revenue
recognition

The
Company recognizes revenue in accordance with ASC 606, “Revenue from Contracts with Customers,” and FASB ASC Topic
842, “Leases.” Revenue is recognized net of allowances for returns and any taxes collected from customers, which are
subsequently remitted to government authorities.

The
discontinued operation that we sold on October 4, 2023, worked with business park owners, governmental centers, and apartment
complexes to reduce facilities-related costs. Our discontinued operation performed monthly services pursuant to agreements with
customers. Customer monthly service fees were based on our discontinued operation’s assessment of the amount and frequency of
monthly services requested by a customer. Our discontinued operation may have also provided additional services, such as apartment
cleanout services, large item removals, or similar services, on an as-needed basis at an agreed-upon rate as requested by customers.
All services were invoiced and recognized as revenue in the month the agreed-on services were performed. Our discontinued operation
was deconsolidated and presented as a “discontinued operation” at December 31, 2023 and at December 31, 2022 in the
Company’s Form 10