Company: KCHVR
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001213900-25-109292
Chunk: 83

Company: Kochav Defense Acquisition Corp.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 8
Chunk 83
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 number of then outstanding Public Shares.

24

Critical
Accounting Estimates and Policies

We
have identified the following as our critical accounting policies. See Note 2—“Summary of Significant Accounting Policies”
of our unaudited condensed financial statements and notes thereto included in this Report under Item 1. “Financial Statements”
for additional information regarding these critical accounting policies and other significant accounting policies.

Use
of Estimates

The
preparation of the unaudited condensed financial statements and notes thereto included in this Report under Item 1. “Financial
Statements” in conformity with GAAP requires Management to make estimates and assumptions that affect the reported amounts of assets
and liabilities, income and expenses, and the disclosure of contingent assets and liabilities, in our unaudited condensed financial statements.
These accounting estimates require the use of assumptions about matters, some of which are highly uncertain at the time of estimation.
Management bases its estimates on historical experience and on various other assumptions it believes to be reasonable under the circumstances,
the results of which form the basis for making judgments, and we evaluate these estimates on an ongoing basis. To the extent actual experience
differs from the assumptions used, our unaudited condensed financial statements and notes thereto included in this Report under Item
1. “Financial Statements” could be materially affected. We believe that the following accounting policies involve a higher
degree of judgment and complexity. As of September 30, 2025, we did not have any critical accounting estimates to be disclosed.

Class
A Ordinary Shares Subject to Possible Redemption

We
account for the Class A Ordinary Shares subject to possible redemption in accordance with the guidance in FASB ASC Topic 480, “Distinguishing
Liabilities from Equity”. Class A Ordinary Shares subject to mandatory redemption (if any) are classified as liability instruments
and measured at fair value. Conditionally redeemable Class A Ordinary Shares (including Class A Ordinary Shares that feature redemption
rights that are either within the control of the holder or subject to possible redemption upon the occurrence of uncertain events not
solely within our control) are classified as temporary equity. At all other times, Class A Ordinary Shares are classified as shareholders’
equity. All of the Public Shares feature certain redemption rights that are considered to be outside of our control and subject to the
occurrence of uncertain future events. Accordingly, Class A Ordinary Shares subject to possible redemption are presented at redemption
value as temporary equity, outside of the shareholders’ equity section of our unaudited condensed balance