Company: QSJC
Filing Date: 2025-03-26
Form Type: 10-K
Source: 0001683168-25-001892
Chunk: 588

Company: TANCHENG GROUP CO., LTD.
Filing Date: 2025-03-26
Form: 10-K
Item: Item 8
Chunk 588
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 shares of Qiansui International Group Limited (“Qiansui International”) (the “Contributed
Shares”). Pursuant to the Contribution Agreement, the Contributors agreed to contribute all of their right, title and interest in
and to the Contributed Shares to Tancheng Group (the “Contribution”). On March 20, 2023, the Contribution was completed. As
a result of the Contribution, Qiansui International became the wholly-owned subsidiary of Tancheng Group. The assets and liabilities of
the acquired entity, Qiansui International, have been brought forward at their book value and no goodwill has been recognized. A Form
8-K is filed on March 24, 2023 which contains the financial information of Qiansui International.

Qiansui International was incorporated in the
Cayman Islands on June 7, 2022. Qiansui (Hong Kong) Holdings Limited (“Qiansui HK”) was incorporated on July 21, 2022 in the
Hong Kong SAR. Qiansui HK wholly owns Shanxi Qiansui Tancheng Culture Consulting Co., Ltd. (“Qiansui Consulting”) which was
established on December 12, 2022 in the People’s Republic of China (the “PRC”). Qiansui Consulting is a wholly owned
foreign entity under PRC law. Qiansui Consulting wholly owns Shanxi Qiansui Tancheng Culture Media Co., Ltd. (“Qiansui Media”),
which was established on June 14, 2017 in the PRC. Qiansui Consulting acquired Qiansui Media on December 28, 2022. Qiansui HK and Qiansui
Consulting are intermediary holding companies. Qiansui International conducts its operations through Qiansui Media.

The Company operates through its wholly-owned
PRC subsidiary Qiansui Media and the principal activity is the sale of self-designed ornament and adornment products in the PRC.

    2.
    SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

(a) Basis of Presentation and Going Concern

The accompanying consolidated financial statements
include the balances and results of operations of the Company have been prepared pursuant to the rules and regulations of the U.S. Securities
and Exchanges Commission (“SEC”) and in conformity with generally accepted accounting principles in the U.S. (“US GAAP”).

The accompanying consolidated financial statements
are presented on the basis that the Company is a going concern. The going concern assumption contemplates the realization of