Company: MDCXW
Filing Date: 2025-03-07
Form Type: 253G1
Source: 0001062993-25-004966
Chunk: 207

Company: Medicus Pharma Ltd.
Filing Date: 2025-03-07
Form: 253G1
Chunk 207
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 are not paid at the commencement date, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the Company's incremental borrowing rate.

The lease obligation is measured at amortized cost using the effective interest method. It is remeasured when there is a change in future lease payments arising from a change in an index or rate, if there is a change in the Company's estimate of the amount expected to be payable under a residual value guarantee, or if the Company changes its assessment of whether it will exercise a purchase, extension or termination option. When the lease obligation is remeasured in this way, a corresponding adjustment is made to the carrying amount of the ROU asset, unless it has been reduced to zero.

The Company has elected to apply the practical expedient to not recognize ROU assets and lease obligations for short-term leases that have a lease term of twelve months or less and for leases of low value assets. The lease payments associated with those leases are recognized as an expense on a straight-line basis over the lease term.

Cash and cash equivalents

Cash and cash equivalents include cash held at financial institution and short-term investments in highly liquid marketable securities, having a term to maturity of three months or less.

<div align='center'>F-10</div>

3. Leases

Right-of-use asset

The Company's lease relates to office space.

| Costs                            
 Balance - December 31, 2023      |     |       - |
|:---------------------------------|:----|--------:|
| Additions                        |     | 356,784 |
| Balance - September 30, 2024     |     | 356,784 |
| Accumulated depreciation         |     |         |
| Balance - December 31, 2023      |     |       - |
| Depreciation                     |     |  78,395 |
| Balance - September 30, 2024     |     |  78,395 |
| Net balance - December 31, 2023  |     |       - |
| Net balance - September 30, 2024 |     | 278,389 |

Lease obligations

| Balance - December 31, 2023  |     |       - |   |
|:-----------------------------|:----|--------:|:--|
| Additions                    |     | 356,784 |   |
| Interest accretion           |     |  27,227 |   |
| Lease repayments