Company: PETVW
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023398
Chunk: 16

Company: PetVivo Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 16
---

the three and six months ended September 30, 2025 and 2024, the Company did not recognize any revenue from product sales to Clipper.
There were no accounts receivable from Clipper at September 30, 2025 and March 31, 2025.

(M)
Research and Development

The
Company expenses research and development costs as incurred.

(N)
Fair Value of Financial Instruments

FASB
ASC 820, Fair Value Measurements and Disclosures (“ASC 820”) establishes a framework for all fair value measurements
and expands disclosures related to fair value measurement and developments. ASC 820 defines fair value as the price that would be received
to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. ASC 820
requires that assets and liabilities measured at fair value are classified and disclosed in one of the following three categories:

    ●
    Level 1 - quoted market
    prices in active markets for identical assets or liabilities.

     11 

    ●
    Level 2 - inputs other
    than Level 1 that are observable, either directly or indirectly, such as quoted prices in active markets for similar assets or liabilities,
    quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable
    or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

    ●
    Level 3 - unobservable
    inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

The
carrying amounts of the Company’s financial instruments, such as cash, accounts receivable, accounts payable and other liabilities
approximate their fair value as of September 30, 2025 and March 31, 2025, due to the short-term nature of those items.

The
fair value of the Company’s debt approximates its carrying value as of September 30, 2025 and March 31, 2025. Factors that the
Company considered when estimating the fair value of its debt included market conditions, liquidity levels in the private placement market,
variability in pricing from multiple lenders and terms of debt.

(O)
Stock-Based Compensation

The
Company accounts for stock-based compensation under the provisions of FASB ASC 718, Compensation – Stock Compensation, which
requires the measurement and recognition of compensation expense for all stock-based awards made to employees and directors based on