Company: GCL
Filing Date: 2025-03-17
Form Type: DRS
Source: 0001213900-25-024502
Chunk: 257

Company: GCL Global Holdings Ltd
Filing Date: 2025-03-17
Form: DRS
Chunk 257
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asset group and include the associated operating lease payments in the undiscounted future pre-tax cash flows. For the years ended
March 31, 2024 and 2023, the Company did not recognize impairment loss on its finance and operating lease ROU assets.

The Company identifies related parties, accounts
for and discloses related party transactions in accordance with ASC 850, “Related Party Disclosures” and other relevant ASC
standards.

Corporations or individual parties are considered
to be related if they have the ability, directly or indirectly, to control the Company or exercise significant influence over the Company
in making financial and operating decisions. Entities are also considered to be related if they are subject to common control or common
significant influence.

Transactions involving related parties cannot be
presumed to be carried out on an arm’s-length basis, as the requisite conditions of competitive, free market dealings may not exist.
Representations about transactions with related parties, if made, shall not imply that the related party transactions were consummated
on terms equivalent to those that prevail in arm’s-length transactions unless such representations can be substantiated.

The Company adheres to ASC 450, “Contingencies”
for the recognition, measurement, and disclosure of commitments and contingencies. Contingencies, representing uncertainties related to
potential liabilities or gains stemming from past events, are evaluated based on available information, legal counsel advice, and historical
experience. The Company records accruals for losses when it is probable and reasonably estimable.

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 October 2023, the FASB issued ASU 2023-06,
Disclosure Improvements — codification amendments in response to SEC’s disclosure Update and Simplification
initiative which amend the disclosure or presentation requirements of codification subtopic 230-10 Statement of Cash Flows — Overall,
250-10 Accounting Changes and Error Corrections — Overall, 260-10 Earnings Per Share — Overall,
270-10 Interim Reporting — Overall, 440-10 Commitments — Overall, 470-