Company: LAAI
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001683168-25-006093
Chunk: 5

Company: Loan Artificial Intelligence Corp.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 5
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asis of Presentation

These audited financial statements have been prepared
in accordance with accounting principles generally accepted in the United States of America (“US GAAP”).

Interim Financial Statements

The accompanying unaudited financial statements
have been prepared in accordance with generally accepted accounting principles (GAAP) applicable to interim financial information and
the requirements of Form 10-Q and Rule 8-03 of Regulation S-X of the Securities and Exchange Commission. Accordingly, they do not include
all of the information and disclosure required by accounting principles generally accepted in the United States of America for complete
financial statements. Interim results are not necessarily indicative of results for a full year. In the opinion of management, all adjustments
considered necessary for a fair presentation of the financial position and the results of operations and cash flows for the interim periods
have been included. These interim financial statements should be read in conjunction with the audited financial statements for the year
ended December 31, 2024. Not all disclosures required by generally accepted accounting principles for annual financial statements are
presented. The interim financial statements follow the same accounting policies and methods of computations as the audited financial statements
for the year ended December 31, 2024.

Use of Estimates

The preparation of financial statements in conformity
with accounting principles generally accepted in the United States of America 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 financial
statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Concentration of credit risk

Financial instruments which potentially subject
the Company to concentration of credit risk consist of cash deposits and customer receivables. The Company maintains cash with various
major financial institutions. The Company performs periodic evaluations of the relative credit standing of these institutions. To reduce
risk, the Company performs credit evaluations of its customers and maintains reserves when necessary for potential credit losses.

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.

Related parties

The Company follows subtopic 850-10 of the FASB
Accounting Standards Codification for the identification of related parties and disclosure of related party transactions.

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Pursuant to Section 850-10-20 the Related parties
include a) affiliates of the Company; b) Entities for which investments in their equity securities would be required, absent the