Company: SUND
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001493152-25-022380
Chunk: 7

Company: Sundance Strategies, Inc.
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 1
Chunk 7
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reement (see Note 6). For the six months ended September 30, 2025, the Company’s average monthly operating expenses were approximately
$40,000, which includes salaries of the Company’s employee, consulting agreements and contract labor, general and administrative
expenses, and legal and accounting expenses. In addition to the monthly operating expenses, in the Company’s pursuit of other debt
and equity financing opportunities, $0 and $170,000 were incurred during the three months ended September 30, 2025, and 2024, respectively.
As management continues to explore additional financing alternatives, beginning October 1, 2025, the Company is expected to spend up
to an additional $300,000 on these efforts. Outstanding Accounts Payable as of September 30, 2025, totaled $458,352. Management has concluded
that its existing capital resources and availability under its existing debt agreements with related parties will be sufficient to fund
its operating working capital requirements for at least the next 12 months from the issuance of these financial statements, or through
November 2026. Related parties have given assurance that their continued support, by way of either extensions of due dates, or increases
in lines-of-credit, can be relied on. As mentioned above, the Company also continues to evaluate other debt and equity financing opportunities.

The
accompanying financial statements have been prepared on a going concern basis under which the Company is expected to be able to realize
its assets and satisfy its liabilities in the normal course of business.

    8

(3)
FAIR VALUE MEASUREMENTS

As
defined by ASC Topic 820, “Fair Value Measurements and Disclosures” (“ASC 820”), fair value is the price that
would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement
date. ASC 820 also requires the consideration of differing levels of inputs in the determination of fair values.

Those
levels of input are summarized as follows:

    ●
    Level 1: Quoted prices
    in active markets for identical assets and liabilities.

    ●
    Level 2: Observable inputs
    other than Level 1 quoted prices, such as quoted prices for similar instruments in active markets, quoted prices for identical or
    similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are
    observable in the market.

    ●
    Level 3: Unobservable inputs