Company: ZDAN
Filing Date: 2025-07-28
Form Type: F-1/A
Source: 0001683168-25-005450
Chunk: 301

Company: Zerolimit Technology Holding Co. Ltd.
Filing Date: 2025-07-28
Form: F-1/A
Chunk 301
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a) affiliate, a party that directly or indirectly controls, is controlled by, or is under common control with another party; b) principle
owner, the owner of record or known beneficial owner of more than 10% of the voting interest of an entity; c) management, persons having
responsibility for achieving objectives of the entity and requisite authority to make decision; d) immediate family of management or principal
owners; e) a parent company and its subsidiaries; or f) other parties that has ability to significant influence the management or operating
policies of the entity.

Comprehensive income

Comprehensive income consists of two components,
net income and other comprehensive income. Other comprehensive income refers to revenue, expenses, gains and losses that under GAAP are
recorded as an element of equity, but are excluded from net income. Other comprehensive income consists of a foreign currency translation
adjustment resulting from the Company not using the U.S. dollar as its functional currencies.

Earnings per share

The Company computes earnings per share (“EPS”)
in accordance with ASC 260, Earnings per Share. ASC 260 requires companies to present basic and diluted EPS. Basic EPS is measured
as net income divided by the weighted average common share outstanding for the period. Diluted EPS presents the dilutive effect on a
per-share basis of the potential Ordinary Shares (e.g., convertible securities, options and warrants) as if they had been converted at
the beginning of the periods presented, or issuance date, if later. Potential Ordinary Shares that have an anti-dilutive effect (i.e.,
those that increase income per share or decrease loss per share) are excluded from the calculation of diluted EPS.

Contingencies

From time to time, the Company is a party to
various legal actions arising in the ordinary course of business. The Company accrues costs associated with these matters when they become
probable and the amount can be reasonably estimated. Legal costs incurred in connection with loss contingencies are expensed as incurred.
The Company’s management does not expect any liability from the disposition of such claims and litigation individually or in the
aggregate would have a material adverse impact on the Company’s consolidated financial position, results of operations and cash
flows.

| F-18 |

Lease

In February 2016, the FASB issued ASU No. 2016-02,
“Leases (Topic 842).” The amendments in this ASU require that a lessee recognize the assets and liabilities that arise