Company: JUPGF
Filing Date: 2025-02-28
Form Type: 20-F
Source: 0001493152-25-008689
Chunk: 67

Company: ATLAS CRITICAL MINERALS Corp
Filing Date: 2025-02-28
Form: 20-F
Item: Item 19
Chunk 67
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 indicate carrying amounts of long-lived assets may not be recoverable. When such events or changes
in circumstances are present, the Company assesses the recoverability of long-lived assets by determining whether the carrying value
of such assets will be recovered through undiscounted expected future cash flows. If the total of the future undiscounted cash flows
is less than the carrying amount of those assets, the Company recognizes an impairment loss based on the excess of the carrying amount
over the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or the fair value less costs
to sell.

Stock-Based
Compensation

The
Company records stock-based compensation in accordance with ASC Topic 718, Compensation - Stock Compensation. ASC 718 requires companies
to measure compensation cost for stock-based employee compensation at fair value at the grant date and recognize the expense over the
employee’s requisite service period. Under ASC 718, volatility is based on the historical volatility of our stock or the expected
volatility of the stock of similar companies. The expected life assumption is primarily based on historical exercise patterns and employee
post-vesting termination behavior. The risk-free interest rate for the expected term of the option is based on the U. S. Treasury yield
curve in effect at the time of grant.

The
Company utilizes the Black-Scholes option-pricing model, which was developed for use in estimating the fair value of options.
Option-pricing models require the input of highly complex and subjective variables including the expected life of options granted
and the expected volatility of our stock price over a period equal to or greater than the expected life of the options. Because
changes in the subjective assumptions can materially affect the estimated value of our employee stock options, it is
management’s opinion that the Black-Scholes option-pricing model may not provide an accurate measure of the fair value of our
employee stock options. Although the fair value of employee stock options is determined in accordance with ASC Topic 718 using an
option-pricing model, that value may not be indicative of the fair value observed in a willing buyer/willing seller market
transaction.

On
June 20, 2018, the FASB issued ASU 2018-07 which simplifies the accounting for share-based payments granted to nonemployees for goods
and services. Under the ASU, most of the guidance on such payments to nonemployees would be aligned with the requirements for share-based
payments granted to employees. Equity classified share