Company: MRT
Filing Date: 2025-04-29
Form Type: 20-F
Source: 0001213900-25-036882
Chunk: 136

Company: Marti Technologies, Inc.
Filing Date: 2025-04-29
Form: 20-F
Item: Item 5
Chunk 136
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 customers for future rides issued as promotional codes. The value of those credits is recorded as reduction of revenues when the credits
are used by customers. Customer credits are not material to our operations.

Share-Based Compensation

Share-based compensation expense is allocated
based on (i) the cost center to which the award holder belongs for employees and (ii) the service rendered to us for consultants.

We periodically granted share-based awards, including
but not limited to, restricted ordinary shares, restricted share units and share options to eligible employees, consultants and directors.

Share-based awards granted to employees and directors,
consultants are measured at the grant date fair value of the awards, and are recognized as compensation expense using the straight-line
method over the requisite service period, which is generally the vesting period. Forfeitures are accounted for when they occur.

A change in any of the terms or conditions
of share-based awards is accounted for as a modification of the awards. We calculated incremental compensation cost of a
modification as the excess of the fair value of the modified awards over the fair value of the original awards immediately before
its terms are modified at the modification date. For vested awards, we recognized incremental compensation cost in the period the
modification occurs. For awards not being fully vested, we recognized the sum of the incremental compensation cost and the remaining
unrecognized compensation cost for the original awards over the remaining requisite service period after modification.

Property and Equipment

Property and equipment consist of equipment, furniture
and fixtures, and rental electric scooters, electric bikes, and electric mopeds. Property and equipment are stated at cost less accumulated
depreciation. Depreciation is calculated using a straight-line method over the estimated useful life of the related asset.

Depreciation for property and equipment commences
once they are ready for their intended use. Maintenance and repairs are charged to expense as incurred, and improvements and betterments
are capitalized. When assets are retired or otherwise disposed of, the cost and accumulated depreciation are removed from the consolidated
balance sheet and any resulting gain or loss is reflected in the consolidated statement of operations in the period realized.

The table below, shows the useful lives for the
depreciation calculation using the straight-line method:

  Rental electric scooters      2 – 3 years  
  Rental electric bikes         2 – 3 years  
  Rental electric mopeds        3 – 4 years  
  Furniture and fixtures        7 years      
  Leasehold improvements        1 – 5 years  

Recent Accounting Pron