Company: JOCM
Filing Date: 2025-05-05
Form Type: 10-K
Source: 0001641172-25-008460
Chunk: 367

Company: JOCOM HOLDINGS CORP.
Filing Date: 2025-05-05
Form: 10-K
Item: Item 6
Chunk 367
---
 average
rates prevailing during the year. The gains and losses resulting from translation of financial statements of foreign subsidiary are recorded
as a separate component of accumulated other comprehensive income within the statement of stockholders’ equity.

Translation of amounts from MYR into US$1 has been
made at the following exchange rates for the respective year:

    As of and for the year ended December 31, 

    2024  
    2023 

    Year-end RM: US$1 exchange rate 
     4.476  
     4.589 
  
    Year-average RM: US$1 exchange rate 
     4.563  
     4.561 

Related parties

Parties, which can be a corporation or individual,
are considered to be related if the Company has the ability, directly or indirectly, to control the other party or exercise significant
influence over the other party in making financial and operating decisions. Companies are also considered to be related if they are subject
to common control or common significant influence.

Fair value of financial instruments:

The carrying value of the Company’s financial
instruments: cash and cash equivalents, accounts payable and accrued liabilities, and amount due to a director approximate at their fair
values because of the short-term nature of these financial instruments.

The Company also follows the guidance of the ASC Topic
820-10, “Fair Value Measurements and Disclosures” (“ASC 820-10”), with respect to financial assets and liabilities
that are measured at fair value. ASC 820-10 establishes a three-tier fair value hierarchy that prioritizes the inputs used in measuring
fair value as follows:

    Level 1: Observable inputs such as quoted prices in active markets;

    Level 2: Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and

    Level 3: Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions.

Recent accounting pronouncements

The Company has reviewed all recently issued,
but not yet effective, considers the applicability and impact of all accounting standards updates (“ASUs”).

Management
periodically reviews new accounting standards that are issued.

Accounting
Standards Adopted in 2024

Accounting
Standards Update 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures:

In
November 2023, the FASB issued ASU 2023-07