Company: CPMV
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001683168-25-002584
Chunk: 94

Company: Mosaic ImmunoEngineering Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 94
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have determined that it was more likely than not that all of our deferred tax assets will not be realized in the future due to our continuing
pre-tax and taxable losses in addition to the potential loss of deferred tax assets as a result of the reverse merger that closed in August
2020. As a result of this determination, we have recorded a full valuation allowance against our deferred tax assets.

Recently Adopted Accounting Standards

In August 2020, the FASB issued Accounting Standards
Updates (“ASU”) 2020-06, Debt — Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging
— Contracts in Entity’s Own Equity (Subtopic 815-40). The guidance simplifies the accounting for certain financial instruments,
eliminates the current models that require separation of beneficial conversion and cash conversion features from convertible instruments,
and simplifies the derivative scope exception guidance pertaining to equity classification of contracts in an entity’s own equity.
It also introduces additional disclosures for convertible debt and freestanding instruments that are indexed to and settled in an entity’s
own equity and amends the diluted earnings per share guidance, including the requirement to use the if-converted method for all convertible
instruments. The guidance is effective for public business entities that meet the definition of a Securities and Exchange Commission filer,
excluding entities eligible to be smaller reporting companies as defined by the Securities and Exchange Commission, for fiscal years beginning
after December 15, 2021, including interim periods within those fiscal years. For all other entities, the guidance is effective for fiscal
years beginning after December 15, 2023, including interim periods within those fiscal years. Early adoption is permitted, but no earlier
than fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. The Company adopted the guidance
as of January 1, 2024, which had no impact on the Company’s consolidated financial statements.

In November 2023, the FASB issued ASU 2023-07, Segment
Reporting (Topic 280): Improvements to Reportable Segment Disclosures. The guidance includes the requirements that a public entity disclose,
on an annual and interim basis, significant segment expenses that are regularly provided to the chief operating decision maker and included
within each reported measure of segment profit or loss, the title and position of the chief operating decision maker, and an explanation
of how the chief operating decision maker uses the reported measure(s) of