Company: ORBS
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004802
Chunk: 212

Company: Eightco Holdings Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1A
Chunk 212
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 cash flows. If an asset is found to be impaired, the amount recognized for impairment is equal to the difference between
the carrying value and the asset’s fair value. During the years ended December 31, 2024 and 2023, the Company recorded impairment
charges to long lived assets in the amounts of $0 and $292,748, respectively. The impaired asset was fully written off in 2023. The Company records intangible assets based on their fair value on
the date of acquisition. Intangible assets include the cost of developed technology, customer relationships, trademarks and tradenames.
Intangible assets are amortized utilizing the straight-line method over their remaining economic useful lives, as follows: 10 years for
developed technology, 7 years for customer relationships and 7 years for trademarks and tradenames. The Company reviews long-lived assets
and intangible assets for potential impairment annually and when events or changes in circumstances indicate the carrying amount of an
asset may not be recoverable. In the event the expected undiscounted future cash flows resulting from the use of the asset is less than
the carrying amount of the asset, an impairment loss is recorded equal to the excess of the asset’s carrying value over its fair
value. If an asset is determined to be impaired, the loss is measured based on quoted market prices in active markets, if available.
If quoted market prices are not available, the estimate of fair value is based on various valuation techniques, including a discounted
value of estimated future cash flows. In the event that management decides to no longer allocate resources to an asset, an impairment
loss equal to the remaining carrying value of the asset is recorded. The Company did not record any impairment charges related to intangibles
assets during the years ended December 31, 2024 and 2023, respectively.

    F-10

EIGHTCO
HOLDINGS INC.

NOTES
TO CONSOLIDATED FINANCIAL STATEMENTS

For
the Years ended December 31, 2024 and 2023

2.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

Goodwill.
Goodwill is recorded for the difference between the fair value of the purchase consideration over the fair value of the net identifiable
tangible and intangible assets acquired. We perform an impairment assessment of goodwill on an annual basis as of December 31st, or whenever
impairment indicators exist. In the absence of any impairment indicators, goodwill is assessed for impairment during the fourth