Company: INDP
Filing Date: 2025-03-13
Form Type: 10-K
Source: 0001493152-25-010136
Chunk: 336

Company: Indaptus Therapeutics, Inc.
Filing Date: 2025-03-13
Form: 10-K
Item: Item 1B
Chunk 336
---
    Weighted average 

    For the year ended December 31, 

    2024  
    2023 
  
    Outstanding stock options 
     2,519,419  
     1,979,196 
  
    Warrants 
     3,935,282  
     3,090,787 

Cash
and cash equivalents

The
Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. As of
December 31, 2024, and 2023, cash and cash equivalents consist primarily of checking and money market deposits. The Company’s cash
balances exceed those that are federally insured; however, the Company believes it is not exposed to significant credit risk due to the
financial strength of the depository institutions in which the cash and cash equivalents are held. To date, the Company has not recognized
any losses caused by uninsured balances.

Property
and equipment

Property
and equipment assets are stated at cost less accumulated depreciation. Depreciation is calculated using the straight-line method over
the estimated useful lives of the assets. The Company uses an estimated useful life of three years for employee-related computers and
other office equipment and five years for furniture. Leasehold improvements are amortized over the shorter of the lease-term or the estimated
useful life of the related asset.

Patents

The
Company expenses patent costs, including related legal costs, as incurred and records such costs within general and administrative expense.

    F-8

Research
and development expenses

Research
and development expenses include costs directly attributable to the conduct of research and development programs, including the cost
of salaries, share-based compensation expenses, payroll taxes and other employee benefits, subcontractors and materials used for research
and development activities, including clinical trials and professional services. All costs associated with research and development are
expensed as incurred.

The
Company accrues for expenses resulting from obligations under agreements with contract research organizations (“CROs”), contract
manufacturing organizations (“CMOs”), and other outside service providers for which payment flows do not match the periods
over which services or materials are provided to the Company. Accruals are recorded based on estimates of services received and efforts
expended pursuant to agreements with CROs, CMOs, and other outside service providers. These estimates are typically based on contracted
amounts applied to the proportion of work performed and determined through analysis with internal personnel and external service providers
as