Company: CXAI
Filing Date: 2025-03-07
Form Type: 424B3
Source: 0001829126-25-001566
Chunk: 28

Company: CXApp Inc.
Filing Date: 2025-03-07
Form: 424B3
Chunk 28
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01, “Compensation—Stock
Compensation (Topic 718): Scope Application of Profits Interest and Similar Awards,” which clarifies how an entity determines whether
a profits interest or similar award is within the scope of Topic 718, or is not a share-based payment arrangement and therefore within
the scope of other guidance. ASU 2024-01 adds an example with multiple fact patterns and illustrates how an entity evaluates common terms
and characteristics of profits interests and similar awards to reach a conclusion about whether an award meets the conditions in Topic
718. It also amends certain language in the “Scope” and “Scope Exceptions” sections of Topic 718 to improve its
clarity and operability without changing the guidance. ASU 2024-01 is effective for the Company for fiscal years beginning after December
15, 2024, and interim periods within those fiscal years. Entities may apply the guidance either retrospectively to all periods presented
in the financial statements or prospectively to profits interest and similar awards granted or modified on or after the date of adoption.
We are currently evaluating the impact of this standard on our condensed consolidated financial statements.

In March 2024, the FASB issued ASU 2024-02 “Codification Improvements—Amendments to Remove References to the Concept Statements”, which amends the Codification to remove references to various FASB Concepts Statements and impacts a variety of Topics in the Codification. The amendments apply to all reporting entities within the scope of the affected accounting guidance, but in most instances the references removed are extraneous and are not required to understand or apply the guidance. Generally, the amendments in ASU 2024-02 are not intended to result in significant accounting changes for most entities. ASU 2024-02 is effective for the Company for fiscal years beginning after December 15, 2024, and interim periods within those fiscal years. Entities may apply the guidance either retrospectively to the beginning of the earliest comparative period presented or prospectively to all new or modified transactions recognized on or after the date of adoption. We are currently evaluating the impact of this standard on our condensed consolidated financial statements.

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CXAPP INC. AND SUBSIDIARIES
NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS</div>

NOTE 3 – Business Combination

On March 14, 2023, the Company completed the Agreement and Plan of Merger (the “Mer