Company: GDSTR
Filing Date: 2025-02-14
Form Type: 10-Q
Source: 0001213900-25-014248
Chunk: 118

Company: Goldenstone Acquisition Ltd.
Filing Date: 2025-02-14
Form: 10-Q
Item: Item 8
Chunk 118
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 December 31, 2024 and March 31, 2024, we
had $2,756,000 and $1,791,000, respectively, of borrowings under the working capital and extension loans.

In connection with our assessment of going concern considerations in
accordance with Financial Accounting Standard Board’s Accounting Standards Codification Subtopic 205-40, Presentation of Financial
Statements - Going Concern,” management has determined that these conditions raise substantial doubt about our ability to continue
as a going concern. The management’s plan in addressing this uncertainty is through the Working Capital Loans. In addition, if we
are unable to complete a Business Combination within the Combination Period by February 21, 2025, if not further extended, our board of
directors would proceed to commence a voluntary liquidation and thereby a formal dissolution of us. There is no assurance that our plans
to consummate a Business Combination will be successful within the Combination Period. As a result, management has determined that such
conditions raise substantial doubt about our ability to continue as a going concern. The unaudited condensed consolidated financial statements
does not include any adjustments that might result from the outcome of this uncertainty. 

26

Critical Accounting Estimates

Use of Estimates

The preparation of unaudited condensed consolidated
financial statements in conformity with U.S. GAAP 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 expenses during the reporting period. Actual results could differ from those estimates. The Company does not have any critical
accounting estimates.

Recent Accounting Pronouncements

In November 2023, the FASB issued ASU No. 2023-07,
“Segment Reporting (Topic 280)” (“ASU 2023-07” or “Topic 280). The amendments in ASU 2023-07 improve
financial reporting by requiring disclosure of incremental segment information on an annual and interim basis for all public entities
to enable investors to develop more decision useful financial analyses. Topic 280 requires a public entity to report a measure of segment
profit or loss that the chief operating decision maker (CODM) uses to assess segment performance and make decisions about allocating resources.
Topic 280 also requires other specified segment items and amounts, such as depreciation, amortization, and depletion expense, to be disclosed
under certain circumstances. The amendments in ASU 2023-07 also