Company: TACOW
Filing Date: 2025-03-21
Form Type: S-1
Source: 0001829126-25-001978
Chunk: 157

Company: Berto Acquisition Corp.
Filing Date: 2025-03-21
Form: S-1
Chunk 157
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 completion of
our initial business combination and, if necessary, to implement and test additional controls as we may determine are necessary
in order to state that we maintain an effective system of internal controls. A target business may not be in compliance with the
provisions of the Sarbanes-Oxley Act regarding the adequacy of internal controls. Many small and mid-sized target businesses we
may consider for our initial business combination may have internal controls that need improvement in areas such as:

| ● | staffing                                                                                 
 for financial, accounting and external reporting areas, including segregation of duties; |

| ● | reconciliation 
 of accounts;   |

| ● | proper recording                                                
 of expenses and liabilities in the period to which they relate; |

| ● | evidence                                                    
 of internal review and approval of accounting transactions; |

| ● | documentation                                                                   
 of processes, assumptions and conclusions underlying significant estimates; and |

| ● | documentation                          
 of accounting policies and procedures. |

Because it will take time,
management involvement and perhaps outside resources to determine what internal control improvements are necessary for us to meet
regulatory requirements and market expectations for our operation of a target business, we may incur significant expenses in meeting
our public reporting responsibilities, particularly in the areas of designing, enhancing, or remediating internal and disclosure
controls. Doing so effectively may also take longer than we expect, thus increasing our exposure to financial fraud or erroneous
financing reporting.

Once our management’s
report on internal controls is complete, we will retain our independent registered public accounting firm to audit and render an
opinion on such report when required by Section 404 of the Sarbanes-Oxley Act. The independent registered public accounting
firm may identify additional issues concerning a target business’s internal controls while performing their audit of internal
control over financial reporting.

Quantitative and Qualitative Disclosures about Market Risk

The net proceeds of this
offering, the sale of the private placement warrants and the overfunding loans held in the trust account will be invested in U.S.
government treasury obligations with a maturity of 185 days or less or in money market funds meeting certain conditions under Rule 2a-7
under the Investment Company Act which invest only in direct U.S. government treasury obligations. Due to the short-term nature
of these investments, we believe there will be no associated material exposure to interest rate risk.

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On November 11, 2024,
our sponsor and its affiliates