Company: WLACW
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001641172-25-010349
Chunk: 47

Company: Willow Lane Acquisition Corp.
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 8
Chunk 47
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 with another public company that
is neither an emerging growth company nor an emerging growth company that has opted out of using the extended transition period difficult
or impossible because of the potential differences in accounting standards used.

Use
of Estimates

The
preparation of the accompanying condensed financial statements in conformity with GAAP requires Management to make estimates and assumptions
that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed
financial statements. Actual results could differ from those estimates.

Cash

The
Company considers all short-term investments with an original maturity of three months or less when purchased to be cash equivalents.
The Company had $1,235,372 and $1,368,608 in cash and no cash equivalents as of March 31, 2025 and December 31, 2024, respectively.

Investments
held in Trust

As
of March 31, 2025 and December 31, 2024, the assets held in the Trust Account, amounting to $128,527,398 and $127,163,421, respectively,
were held in money market funds investing in U.S. government securities, within the meaning set forth in Section 2(a)(16) of the Investment
Company Act, with a maturity of 185 days or less, or investments in money market funds that invest in U.S. government securities and
generally have a readily determinable fair value, or a combination thereof. Such investments are classified as trading securities which
are presented at fair value. Gains and losses resulting from the change in fair value of these securities is included in income from
investments held in the Trust Account in the accompanying condensed statement of operations. The estimated fair values of investments
held in the Trust Account are determined using available market information.

Offering
Costs

The
Company complies with the requirements of the FASB ASC Topic 340-10-S99 and SEC Staff Accounting Bulletin Topic 5A “Expenses of
Offering.” Offering costs consist principally of professional and registration fees that are related to the Initial Public Offering.
FASB ASC Topic 470-20, “Debt with Conversion and Other Options,” addresses the allocation of proceeds from the issuance of
convertible debt into its equity and debt components. The Company applies this guidance to allocate Initial Public Offering proceeds
from the Units between Public Shares and Warrants, using the residual method by allocating Initial Public Offering proceeds first to
assigned value of the Warrants and then