Company: BAYAU
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001641172-25-024142
Chunk: 44

Company: Bayview Acquisition Corp
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 44
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 funds meeting certain conditions under Rule 2a-7 under the Investment Company Act
which invest only in direct U.S. government treasury obligations and Money Market Fund. The Company’s investments held in the
trust account are classified as trading securities. Trading securities are presented on the balance sheet at fair value at the end
of each reporting period. Gains and losses resulting from the change in fair value of investments held in Trust Account are included
in interest earned on marketable securities held in trust account in the accompanying statements of operations. The estimated fair
value of investments held in the trust account is determined using available market information. As of June 30, 2025 and December
31, 2024, the Trust Account had balances of $19,188,028
and $39,582,820,
respectively. The dividends and interests earned from the trust account totaled $806,708
and $393,352
for the six and three months ended June 30, 2025, respectively, which were held in the trust accounts as earned and therefore
presented as an adjustment to the operating activities in the Statement of Cash Flows.

Offering
Costs

Offering
costs consist of legal, accounting, and other costs (including underwriting discounts and commissions) incurred through the balance sheet
date that are directly related to the IPO and that were charged to shareholders’ equity upon the completion of the IPO on December
19, 2023.

Income
Taxes

The
Company follows the asset and liability method of accounting for income taxes under ASC 740, “Income Taxes.” Deferred
tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial
statements carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are
measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to
be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period
that included the enactment date. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected
to be realized.

ASC
740 prescribes a recognition threshold and a measurement attribute for the financial statement recognition and measurement of tax positions
taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more likely than not to be
sustained upon examination by taxing authorities.