Company: ORBS
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004802
Chunk: 807

Company: Eightco Holdings Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 4
Chunk 807
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 have been adjusted to reflect the
Reverse Stock Splits for all prior periods presented.

Use
of Estimates. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions
that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates.
The Company’s significant estimates used in these consolidated financial statements include, but are not limited to, revenue recognition
and the determination of the economic useful life of depreciable property and equipment. Certain of the Company’s estimates could
be affected by external conditions, including those unique to the Company and general economic conditions. It is reasonably possible
that these external factors could have an effect on the Company’s estimates and could cause actual results to differ from those
estimates.

Business
Combinations. For business combinations that meet the accounting definition of a business, the Company determines and allocates the
purchase price of an acquired company to the tangible and intangible assets acquired, the liabilities assumed, and noncontrolling interest,
if applicable, as of the date of acquisition at fair value. Fair value may be estimated using comparable market data, a discounted cash
flow method, or a combination of the two. In the discounted cash flow method, estimated future cash flows are based on management’s
expectations for the future. Revenues and costs of the acquired companies are included in the Company’s operating results from
the date of acquisition. The Company uses its best estimates and assumptions as part of the purchase price allocation process to accurately
value assets acquired and liabilities assumed at the acquisition date, and these estimates and assumptions are inherently uncertain and
subject to refinement during the measurement period not to exceed one year from the acquisition date. As a result, any adjustment identified
subsequent to the measurement period is included in operating results in the period in which the amount is determined (See Note 3 –
Acquisitions).

Discontinued
Operations. A component of an entity that is disposed of by sale or abandonment is reported as discontinued operations if the transaction
represents a strategic shift that will have a major effect on an entity’s operations and financial results. The results of discontinued
operations are aggregated and presented separately in the Consolidated Statement of Operations. Assets and liabilities of the discontinued
operations are aggregated and reported separately as assets and liabilities of discontinued operations in the Consolidated Balance Sheet,
including the comparative prior year period. The Company