Company: CSDX
Filing Date: 2025-10-09
Form Type: 10-Q
Source: 0001214659-25-014817
Chunk: 1

Company: CS DIAGNOSTICS CORP.
Filing Date: 2025-10-09
Form: 10-Q
Item: Part I, Item 1
Chunk 1
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 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 revenues and expenses during the reporting period. Significant estimates include the estimated useful lives of property and equipment.
Actual results could differ from those estimates.

Concentrations of Credit Risk

Financial instruments that potentially expose
the Company to concentration of credit risk consist primarily of cash and accounts receivable. The Company’s cash is deposited with
major financial institutions. At times, such deposits may be in excess of the Federal Deposit Insurance Corporation insurable amount.

Cash and Cash Equivalents

The Company considers all cash accounts, which
are not subject to withdrawal restrictions or penalties, and all highly liquid debt instruments purchased with a maturity of three months
or less as cash and cash equivalents. The carrying amount of financial instruments included in cash and cash equivalents approximates
fair value because of the short maturities for the instruments held. There were no cash equivalents for the period ended March 31, 2024,
and 2023

Fair Value of Financial Instruments

Fair value is defined as the exchange price that
would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset
or liability in an orderly transaction between market participants on the measurement date. ASC Topic No. 820 establishes a fair value
hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels, as described below:

Level 1: Level 1 inputs
are unadjusted quoted prices in active markets for identical assets or liabilities.

Level 2: Level 2 inputs
are inputs other than quoted prices included in Level 1 that are observable, either directly or indirectly. Level 2 inputs include quoted
prices for similar assets, quoted prices in markets that are not considered to be active, and observable inputs other than quoted prices
such as interest rates.

Level 3: Level 3 inputs
are unobservable inputs.

The following required disclosure of the estimated
fair value of financial instruments has been determined by the Company using available market information and appropriate valuation methodologies.
However, considerable judgment is required to interpret market data to develop the estimates of fair value. Accordingly, the use of different
market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts.

The methods and assumptions used to estimate the
fair values of each class of financial instruments are as follows: Accounts Receivable