Company: OPGN
Filing Date: 2025-08-21
Form Type: 10-K
Source: 0001829126-25-006628
Chunk: 616

Company: OPGEN INC
Filing Date: 2025-08-21
Form: 10-K
Item: Item 2
Chunk 616
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 performance obligations and the
method and significant assumptions used to determine the transaction price for those identified distinct performance obligations. Additionally,
we obtained and evaluated the Company’s revenue recognition accounting analysis by (1) inspecting the contracts to gain an understanding
of contractual terms and conditions and evaluating the rights and obligations of the Company, (2) interviewing the Company’s personnel
to gain an understanding of the nature and estimated value of commitments made to customers, (3) evaluating the method and significant
assumptions used to determine the transaction price which is payable as the performance obligations are achieved, and (4) testing that
each payment tranche was accurately applied in allocating the transaction price to each distinct performance obligation.

Stock-based compensation

As discussed in Note 7 to the financial
statements, the Company entered into certain transactions which included the issuance of stock options or restricted stock units to employees
which were valued using a pricing model.

We identified the valuation and accounting
treatment of these issuances to be a critical audit matter because determining the fair value and related accounting treatment
of these issuances involves a high degree of auditor judgement and an increased extent of effort to evaluate the Company’s conclusions.

F-3

Our audit procedures related to the
conclusions associated with the valuation and accounting treatment for these issuances involved the following procedures, among others:

●We
                                            obtained management’s pricing model for the various issuances and tested the significant
                                            inputs of the pricing model used to determine the fair value of these items.

●We
                                            reviewed the underlying agreements supporting these issuances and agreed the terms of the
                                            issuances to the pricing used by management.

●We
                                            recomputed management’s fair value estimate using a similar pricing model to ensure
                                            the output was consistent with management’s pricing model output.

/s/ Beckles & Co., Inc.

We have served as the Company’s auditor since 2024.

West Palm Beach, Florida

August 21, 2025

F-4

OpGen, Inc.

Consolidated Balance Sheets

    December 31,

    2024

    2023

    Assets

    Current assets:

    Cash and cash equivalents
     
    $
    1,310,653

    $
    1,151,823

    Accounts receivable, net

    29,258

    103,316

    Prepaid expenses and other current assets

    1,309,316

    324,735

    Total