Company: MVNC
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001683168-25-008388
Chunk: 18

Company: Marvion Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 18
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 Accounting Standards Codification
establishes a fair value hierarchy which prioritizes the inputs to valuation techniques used to measure fair value into three (3) broad
levels. The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities
and the lowest priority to unobservable inputs. The three (3) levels of fair value hierarchy defined by paragraph 820-10-35-37 of the
FASB Accounting Standards Codification are described below:

    Level 1
     
    Quoted market prices available in active markets for identical assets or liabilities as of the reporting date.

    Level 2
     
    Pricing inputs other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reporting date.

    Level 3
     
    Pricing inputs that are generally observable inputs and not corroborated by market data.

Financial assets are considered
Level 3 when their fair values are determined using pricing models, discounted cash flow methodologies or similar techniques and at least
one significant model assumption or input is unobservable.

The fair value hierarchy
gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities and the lowest priority
to unobservable inputs. If the inputs used to measure the financial assets and liabilities fall within more than one level described above,
the categorization is based on the lowest level input that is significant to the fair value measurement of the instrument.

The carrying amounts of
the Company’s financial assets and liabilities, such as cash and cash equivalents, accounts receivable, prepaid expenses and other
current assets, accounts payable, accrued liabilities and other payables, amounts due to director, amount due to shareholder, construction
payable and income tax payable approximate their fair values because of the short maturity of these instruments.

Recent accounting pronouncements

From time to time, new accounting
pronouncements are issued by the Financial Accounting Standard Board (“FASB”) or other standard setting bodies and adopted
by the Company as of the specified effective date. Unless otherwise discussed, the Company believes that the impact of recently issued
standards that are not yet effective will not have a material impact on its financial position or results of operations upon adoption.

In March 2024, the FASB
issued ASU No. 2024-02, which removes references to the Board’s concepts statements from the FASB Accounting Standards Codification
(the “Codification” or ASC).

The ASU