Company: ZRCN
Filing Date: 2025-09-10
Form Type: 10-K
Source: 0001641172-25-027037
Chunk: 269

Company: ZRCN Inc.
Filing Date: 2025-09-10
Form: 10-K
Item: Item 1A
Chunk 269
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, 2025 and 2024 (after elimination of intercompany transactions and balances):

 Schedule
of Carrying Amount of Assets and Liabilities for Variable Interest Entities

    March
    31, 2025  
    March
    31, 2024 
  
    ASSETS 

    Current assets: 

    Cash 
    $34  
    $30 
  
    Accounts receivable 
     12  
     10 
  
    Prepaid
    expenses and other assets 
     57  
     63 
  
    Total current assets 
     103  
     103 

    Property
    and equipment 
     168  
     252 
  
    Total
    assets 
    $271  
    $355 

    LIABILITIES 

    Current liabilities: 

    Accounts payable 
    $126  
    $131 
  
    Accrued
    expenses 
     60  
     63 
  
    Total
    current liabilities 
    $186  
    $194 

The
following table summarizes the carrying amount of the assets and liabilities of Zircon UK included in the Company’s consolidated
balance sheets at March 31, 2025 and 2024 (after elimination of intercompany transactions and balances):

Schedule
of Carrying Amount of Assets and Liabilities for Variable Interest Entities

    March
    31, 2025  
    March
    31, 2024 
  
    ASSETS 

    Current assets: 

    Cash 
    $34  
    $— 
  
    Accounts receivable 
     12  
     9 
  
    Total
    current assets 
    $46  
    $9 

    LIABILITIES 

    Current liabilities: 

    Accounts payable 
    $126  
    $33 
  
    Total
    current liabilities 
    $126  
    $33 

Use
of Estimates

The
preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and
the reported amounts of revenues and expenses. Significant estimates used in preparing these consolidated financial statements include
the provision for credit losses, allowance for inventory obsolescence, allocation of overhead to inventory, estimated future benefit
and fair value of intangible assets, accrued