Company: MNTR
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001620
Chunk: 1290

Company: Mentor Capital, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 9B
Chunk 1290
---
,000 
  
    Investment under the equity method 
     - 
  
    Total purchase price to be allocated 
    $1,275,000 

    (1)
    The
    estimated fair value of Mentor’s previously held equity interest in WCI was valued at 1.25 times WCI’s projected 2014
    revenue.

Purchase
price allocation at 51% of WCI assets and liabilities:

 Schedule of purchase price allocation

    WCI assets and liabilities: 

    Current assets 
    $327,238 
  
    Property and equipment 
     51,239 
  
    Other assets 
     816,952 
  
    Current liabilities 
     (112,810)
  
    Long-term debt 
     (1,178,977)
  
    Net deficit 
     (96,358)
  
    Mentor equity rate 
     51%
  
    Mentor portion of liabilities in excess of assets 
     (49,143)
  
    Goodwill 
     1,324,143 
  
    Net assets acquired 
    $1,275,000 

Goodwill
of $1,324,143 was derived from consolidating WCI effective January 1, 2014. The remaining $102,040 of goodwill was related to our first
acquisition of a 50% interest in WCI. The Company accounted for its goodwill in accordance with ASC 350, “Intangibles –
Goodwill and Other,” which required the Company to test goodwill for impairment annually or whenever events or changes in circumstances
indicate that the carrying value of an asset may not be recoverable, rather than amortize. No impairment write-downs were required prior
to our sale of WCI on October 4, 2023.

    F-16

Mentor
Capital, Inc.

Notes
to Consolidated Financial Statements

December
31, 2024 and 2023

Disposal

On
October 4, 2023, the Company sold the entirety of its interest in WCI for $6,000,000 by entering into a Stock Purchase Agreement whereby
the shareholders of WCI sold all of the outstanding shares of stock to Ally Waste Services, LLC. In connection with the sale,
the Company received $5,000,000
in cash and a one-year unsecured, subordinated, promissory note in the initial principal face amount of $1,000,000.
The note accrued