Company: MYSZ
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001641172-25-000990
Chunk: 401

Company: My Size, Inc.
Filing Date: 2025-03-27
Form: 10-K
Item: Item 4
Chunk 401
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 to United States generally accepted accounting principles (“U.S. GAAP”),
applied on a consistent basis, as follows:

a.
Use of estimates:

The
preparation of financial statements in conformity with U.S. GAAP requires management to make estimates, judgments and assumptions that
affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates.

Information
about assumptions made by the Company with respect to the future and other reasons for uncertainty with respect to estimates that have
a significant risk of resulting in a material adjustment to carrying amounts of assets and liabilities in the next financial year are
included in the following units reporting:

Estimated
impairment of non-financial assets

The
Company examines on an annual basis whether there is an impairment of goodwill, intangibles and property, plant and equipment that are
allocated to reporting units, in accordance with the accounting policy presented in Note 1 (h) below. The fair value calculations of
reporting units require the use of estimates.

For
information on key assumptions used in calculation of the fair value, see NOTE 7 – Goodwill and other Intangible assets.

b.
Functional currency:

The
currency of the primary economic environment in which the operations of the Company is conducted is the U.S. Dollar and thus
it is the Company’s functional currency. The reporting currency according to which these financial statements are prepared is the
U.S. dollar.

The
currency of the primary economic environment in which the operation of the subsidiaries, My Size Israel and Orgad International Marketing
Ltd. functional currency is the New Israeli Shekel (“NIS”).

The
currency of the primary economic environment in which the operation of the subsidiary, My Size LLC, functional currency is the
Russian Ruble.

The
currency of the primary economic environment in which the operation of the subsidiary, Naiz fit, functional currency is the
Euro.

    F-8

MY
SIZE, INC. AND ITS SUBSIDIARIES

NOTES
TO CONSOLIDATED FINANCIAL STATEMENTS

U.S.
dollars in thousands (except share data and per share data)

NOTE
2 - SIGNIFICANT ACCOUNTING POLICIES (Cont.)

c.
Principles of consolidation:

The
consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and
transactions have been eliminated upon consolidation.

d.
Cash equivalents:

Cash
equivalents are short-term highly liquid investments that are readily convertible