Company: FLYE
Filing Date: 2025-02-19
Form Type: 10-Q
Source: 0001213900-25-015334
Chunk: 31

Company: Fly-E Group, Inc.
Filing Date: 2025-02-19
Form: 10-Q
Item: Part I, Item 1
Chunk 31
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 Standards Board (“FASB”) Accounting Standards Codification ASC 480, Distinguishing Liabilities from
Equity and ASC 815, Derivatives and Hedging. The Company accounts for its warrants as equity that meet all of the criteria (i) require
physical settlement or net-share settlement or (ii) give the Company a choice of net-cash settlement or settlement in its own shares (physical
settlement or net-share settlement), the warrants are required to be recorded as a component of additional paid-in capital at the time
of issuance and subsequent changes in fair value are not recognized as long as the warrants continue to be classified as equity.  

(y) Recent Accounting Pronouncements

The Company considers the applicability and impact
of all accounting standards updates (“ASUs”). Management periodically reviews new accounting standards that are issued. Under
the Jumpstart Our Business Startups Act of 2012, as amended (the “JOBS Act”), the Company meets the definition of
an emerging growth company and has elected the extended transition period for complying with new or revised accounting standards, which
delays the adoption of these accounting standards until they would apply to private companies.

In November 2023, the FASB issued ASU 2023-07,
“Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures.” This guidance requires a public entity to
disclose for each reportable segment, on an interim and annual basis, the significant expense categories and amounts that are regularly
provided to the chief operating decision-maker (“CODM”) and included in each reported measure of a segment’s profit
or loss. Additionally, it requires a public entity to disclose the title and position of the individual or the name of the group or committee
identified as the CODM. This guidance is effective for fiscal years beginning after December 31, 2023, and interim periods within fiscal
years beginning after December 15, 2024. Early adoption is permitted and the guidance should be applied retrospectively to all periods
presented in the financial statements, unless it is impracticable. The Company plans to adopt the provisions of this guidance for the
fiscal year ending March 31, 2025.

In December 2023, the FASB issued ASU 2023-09,
“Income Taxes (Topic 740): Improvements to Income Tax Disclosures.” This guidance requires a public entity to disclose in
their rate reconciliation table additional categories of information about federal,