Company: SYRA
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001641172-25-009279
Chunk: 38

Company: Syra Health Corp
Filing Date: 2025-05-08
Form: 10-Q
Item: Item 8
Chunk 38
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351,337 and $1,032,827 cash in excess of FDIC insured
limits at March 31, 2025 and December 31, 2024, respectively. The Company has not experienced any losses in such accounts.

Fair Value of Financial Instruments

Accounting Standards Codification (“ASC”)
820 defines fair value, establishes a three-level valuation hierarchy for disclosures of fair value measurement and enhances disclosure
requirements for fair value measures. The three levels are defined as follows:

    -
    Level 1 inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.

    -
    Level 2 inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.

    -
    Level 3 inputs to valuation methodology are unobservable and significant to the fair measurement.

The carrying value of the Company’s financial
assets and liabilities, such as cash, accounts receivable and accounts payable are estimated by management to approximate fair value primarily
due to the short-term nature of the instruments. The Company’s advances from related party approximates the fair value of such instruments
based upon management’s best estimate of interest rates that would be available to the Company for similar financial arrangements
at March 31, 2025 and December 31, 2024.

Cash and Cash Equivalents

Cash equivalents include money market accounts which
have maturities of three months or less when acquired. For the purpose of the statements of cash flows, all highly liquid investments
with an original maturity of three months or less are considered to be cash equivalents. Cash equivalents are stated at cost plus accrued
interest, which approximates market value. There were $2,097,464 and $1,749,977 cash equivalents on hand at March 31, 2025 and December
31, 2024, consistent of certificates of deposit with maturities of three months or less.

Accounts Receivable

Accounts receivable is carried at their estimated
collectible amounts. Accounts receivable is periodically evaluated for collectability based on past credit history with customers and
their current financial condition. The Company had an allowance of $5,520 at March 31, 2025 and December 31, 2024.

Property and Equipment

Property and equipment is stated at cost,
less accumulated depreciation. The cost of office equipment is depreciated using the straight