Company: AAM-UN
Filing Date: 2025-03-11
Form Type: 10-K
Source: 0001213900-25-022743
Chunk: 264

Company: AA Mission Acquisition Corp.
Filing Date: 2025-03-11
Form: 10-K
Item: Item 1C
Chunk 264
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 be developed based on the best information available in the circumstances.

●Level
                                            1—Assets and liabilities with unadjusted, quoted prices listed on active market exchanges.
                                            Inputs to the fair value measurement are observable inputs, such as quoted prices in active
                                            markets for identical assets or liabilities.

●Level
                                            2—Inputs to the fair value measurement are determined using prices for recently traded
                                            assets and liabilities with similar underlying terms, as well as direct or indirect observable
                                            inputs, such as interest rates and yield curves that are observable at commonly quoted intervals.

●Level
                                            3—Inputs to the fair value measurement are unobservable inputs, such as estimates,
                                            assumptions, and valuation techniques when little or no market data exists for the assets
                                            or liabilities.

Income
Taxes

The
Company follows the asset and liability method of accounting for income taxes under ASC 740, “Income Taxes.” Deferred
tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial
statements carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are
measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected
to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the
period that is included in the enactment date. Valuation allowances are established, when necessary, to reduce deferred tax assets to
the amount expected to be realized.

ASC 740
prescribes a recognition threshold and a measurement attribute for the financial statement recognition and measurement of tax positions
taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more likely than not to be
sustained upon examination by taxing authorities. The Company recognizes accrued interest and penalties related to unrecognized tax benefits
as income tax expense. There were no unrecognized tax benefits and no amounts accrued for interest and penalties as of December 31, 2024.
The Company is currently not aware of any issues under review that could result in significant payments, accruals, or material deviation
from its position.

There
is currently no taxation imposed on income by the Government of the Cayman Islands. In accordance with Cayman income tax regulations,
income taxes are not levied on the Company. Consequently, income taxes are not reflected in the Company’s financial statements.

F-11

Ordinary
Shares Subject to Possible Redemption

The