Company: FTII
Filing Date: 2025-04-09
Form Type: 10-K
Source: 0001641172-25-003384
Chunk: 511

Company: FutureTech II Acquisition Corp.
Filing Date: 2025-04-09
Form: 10-K
Item: Item 1A
Chunk 511
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 that significant uncertainty
exists with respect to future realization of the deferred tax assets and has therefore established a full valuation allowance. For the
years ended December 31, 2024 and 2023, the change in the valuation allowance was $313,922 and $162,267, respectively.

 Schedule
of Effective Income Tax Rate Reconciliation

    For the Year Ended  
    For the Year Ended 

    December 31, 2024  
    December 31, 2023 
  
    U.S. federal statutory rate 
     (21.0)% 
     (21.0)%
  
    Valuation allowance 
     66.5% 
     (4.2)%
  
    Income tax provision 
     45.5% 
     (25.2)%

Note
10 – Segment Information

ASC
Topic 280, “Segment Reporting,” establishes standards for companies to report in their financial statement information about
operating segments, products, services, geographic areas, and major customers. Operating segments are defined as components of an enterprise
for which separate financial information is available that is regularly evaluated by the Company’s chief operating decision maker,
or group, in deciding how to allocate resources and assess performance.

The
Company’s chief operating decision maker has been identified as the Chief Executive Officer (“CODM”), who reviews the
operating results for the Company as a whole to make decisions about allocating resources and assessing financial performance. Accordingly,
management has determined that the Company only has one operating segment.

When
evaluating the Company’s performance and making key decisions regarding resource allocation, the CODM reviews several key metrics,
formation and operational costs and interest earned on cash held in Trust Account which include the accompanying statements of operations.

The
key measures of segment profit or loss reviewed by our CODM are interest earned on cash held in Trust Account and formation and operational
costs. The CODM reviews interest earned on cash held in Trust Account to measure and monitor stockholder value and determine the most
effective strategy of investment with the Trust Account funds while maintaining compliance with the trust agreement. Formation and operational
costs are reviewed and monitored by the CODM to manage and forecast cash to ensure enough capital is available to complete a business
combination within the business combination period. The CODM also reviews formation and operational costs to manage, maintain and enforce
all contractual agreements to ensure costs are aligned with all agreements and budget.

Note
11 – Subsequent Events

The