Company: CMND
Filing Date: 2025-12-05
Form Type: F-1/A
Source: 0001213900-25-118772
Chunk: 251

Company: Clearmind Medicine Inc.
Filing Date: 2025-12-05
Form: F-1/A
Chunk 251
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 reflect the reverse share splits for all periods presented, unless explicitly stated otherwise.

F-8 CLEARMIND MEDICINE INC. Notes to the Consolidated Financial Statements (Expressed in United States Dollars)

| 1. | Nature                                      
 of Operations and Going Concern (continued) |

| d. | Functional Currency and 
 Presentation Currency   |

As a result of the Company’s listing on the Nasdaq, which was completed in November 2022, the primary economic environment and generation and use of cash flows of the Company became mainly denominated in U.S dollars. Consequently, effective on November 1, 2022, the Company changed both its functional currency and the presentation currency of its consolidated financial statements from the Canadian dollar to the U.S dollar.

The Company is in its research and development stages and has not generated revenues since inception. In consideration of the indicators in IAS 21, the Company determined that the new and future financing activities of the Company and the currency in which cash and cash equivalents are retained were relevant factors indicating that the Canadian dollar will not be the currency to reflect the principal economic environment in which the Company will generate and expend its cash.

Under IAS 21, a change in an entity’s functional currency is applied prospectively from the date of the change. The Company applied the practical expedient to apply the transaction procedures applicable to the new functional currency prospectively beginning on November 1, 2022. The change in the functional currency was accounted for prospectively from the date of the change by translating all items of the financial statement into the new functional currency using the exchange rate of $0.7327 CAD/USD at the date of the change.

The change in the presentation currency of the consolidated financial statement was accounted for as a change in accounting policy and applied retrospectively, as if the new presentation currency had always been the presentation currency of the consolidation financial statements. Consequently, comparative figures for the years prior to the effective date of November 1, 2022 have been restated to the new presentation currency using the exchange rate in effect on effective date of the change.

Following the change in the Company’s functional currency, the Company elected, as an accounting policy, not to reclassify instruments which, had the change in functional currency occurred before initial recognition of the instrument, would have changed its classification.

| e. | In October 2023, Israel was attacked by a terrorist organization and                                                                        
 entered a state of war. In addition, there have been continued hostilities along Israel’s northern border