Company: NTCS
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001683168-25-008352
Chunk: 17

Company: Natics Corp.
Filing Date: 2025-11-14
Form: 10-Q
Item: Item 8
Chunk 17
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 Company issued 3,000,000 common shares for $300 at par
value $0.0001 for the purpose of taking care of financial operations for the Company by the director Guy Pirotsky.

     9 

Mobile Application and Website development
- amortization

The Company is using straight - line amortization
for our mobile application and website since they are fully operational as of April 30, 2022.

Mobile Application and Website – $43,000.

Term of amortization – 60 months (5 years)

As of October 31, 2025 the company’s accumulated
amortization was $4,302.

Interest Payable Note

The Company holds Promissory note payable of $43,000,
as per contract the company has to pay interest of 10% annually. As of October 31, 2025 the Company’s Interest payable is $15,050.

Fair Value of Financial Instruments

AS topic 820 “Fair Value Measurements and
Disclosures” establishes a three-tier fair value hierarchy, which prioritizes the inputs in measuring fair value. The hierarchy
prioritizes the inputs into three levels based on the extent to which inputs used in measuring fair value are observable in the market.

These tiers include:

    Level 1:
    defined as observable inputs such as quoted prices in active markets;
  
    Level 2:
    defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and
  
    Level 3:
    defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.

The carrying value of cash and the Company’s
loan from shareholder approximates its fair value due to their short-term maturity.

Income Taxes

Income taxes are computed using the asset and
liability method. Under the asset and liability method, deferred income tax assets and liabilities are determined based on the differences
between the financial reporting and tax bases of assets and liabilities and are measured using the currently enacted tax rates and laws.
A valuation allowance is provided for the amount of deferred tax assets that, based on available evidence, are not expected to be realized.

Basic Income (Loss) Per Share

The Company computes income (loss) per share in
accordance with FASB ASC 260 “Earnings per Share”. Basic loss per share is computed by dividing net income (loss) available
to common shareholders by the weighted average number of outstanding common shares during the period. Diluted income (