Company: MYSEW
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001213900-25-044159
Chunk: 82

Company: Myseum, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 82
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 its intended use.

9 

DATCHAT, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

MARCH 31, 2025 AND 2024

(Unaudited)

Impairment of long-lived assets

In accordance with ASC Topic 360, the Company
reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may
not be fully recoverable, or at least annually. The Company recognizes an impairment loss when the sum of expected undiscounted future
cash flows is less than the carrying amount of the asset. The amount of impairment is measured as the difference between the asset’s
estimated fair value and its book value.

Deferred offering costs

The Company has capitalized certain offering costs related to its efforts
to raise capital through the sale of its common stock pursuant to an Equity Sales Agreement of $50,000 (see Note 8) and related to the
anticipated initial public offering of RPM Interactive shares of $102,500. Deferred offering costs will be deferred until the completion
of the private offering, at which time they will be reclassified to additional paid-in capital as a reduction of the offering proceeds.
As of March 31, 2025 and December 31, 2024, capitalized deferred offering costs amounted to $152,500 and $0, respectively, which is reflected
on the accompanying unaudited consolidated balance sheets.

Revenue recognition

The Company recognizes revenue in accordance with
ASC Topic 606 Revenue from Contracts with Customers, which requires revenue to be recognized in a manner that depicts the transfer of
goods or services to customers in amounts that reflect the consideration which the entity expects to be entitled in exchange for those
goods or services.

In accordance with ASU Topic 606 - Revenue
from Contracts with Customers, the Company recognizes revenue in accordance with that core principle by applying the following steps:

Step 1: Identify the contract(s) with
a customer.

Step 2: Identify the performance obligations
in the contract.

Step 3: Determine the transaction
price.

Step 4: Allocate the transaction price
to the performance obligations in the contract.

Step 5: Recognize revenue when (or
as) the entity satisfies a performance obligation.

The Company recognizes revenues from subscription
fees from the Company’s messaging application in the month they are earned. Annual and lifetime subscription payments received that
are related to future periods are recorded as deferred revenue to be recognized as revenues over the