Company: SWAGW
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001213900-25-044222
Chunk: 251

Company: Stran & Company, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part II, Item 8
Chunk 251
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 & COMPANY, INC.

NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED
FINANCIAL STATEMENTS

(in thousands, except share and per share amounts)

B.FAIR VALUE MEASUREMENTS:

Fair value measurements discussed herein
are based upon certain market assumptions and pertinent information available to management as of March 31, 2025 and December 31, 2024.
The carrying amount of accounts payable approximated fair value as they are short term in nature. The fair value of stock options are
estimated based on the Black-Scholes model during the three months ended March 31, 2025 and the year ended December 31, 2024.

Fair Value on a Recurring Basis

The Company follows the guidance in
ASC 820 for its financial assets and liabilities that are re-measured and reported at fair value at each reporting period. The estimated
fair value of the Company’s investments and money market accounts represent Level 1 measurements. The estimated fair value of the
earn-out liabilities represent Level 3 measurements. The following table presents information about the Company’s assets and liabilities
that are measured at fair value on a recurring basis as of March 31, 2025 and December 31, 2024, and indicates the fair value hierarchy
of the valuation inputs the Company utilized to determine such fair value:

    Description 
    Level 
    March 31,  2025  
    December 31,  2024 
  
    Assets: 

    Investments 
    1 
    $7,939  
    $8,856 

    Liabilities: 

    Earn-out liabilities 
    3 
    $711  
    $711 

Investments

The Company’s investments consisted
of the following as of March 31, 2025:

    Cost  
    Unrealized 
Gain (Loss)  
    Fair Value 
  
    Money market fund 
    $4,105  
    $   —  
    $4,105 
  
    Corporate bonds 
     2,763  
     7  
     2,770 
  
    Mutual funds 
     267  
     —  
     267 
  
    US Treasury bills 
     799  
     (2) 
     797 

    $7,934  
    $5  
    $7,939 

The Company’s investments consisted
of the