Company: BIVIW
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0001520138-25-000144
Chunk: 17

Company: BIOVIE INC.
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 1
Chunk 17
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 liabilities

We determine the fair values of our financial instruments
based on the fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable
inputs when measuring fair value. Fair value is defined 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. The fair value assumes that the transaction to sell the
asset or transfer the liability occurs in the principal or most advantageous market for the asset or liability and establishes that the
fair value of an asset or liability shall be determined based on the assumptions that market participants would use in pricing the asset
or liability. The classification of a financial asset or liability within the hierarchy is based upon the lowest level input that is significant
to the fair value measurement. The fair value hierarchy prioritizes the inputs into three levels that may be used to measure fair value:

Level 1 - Inputs are unadjusted quoted prices in active
markets for identical assets or liabilities.

Level 2 - Inputs are quoted prices for similar assets
and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market
corroboration, for substantially the full term of the financial instrument.

Level 3 - Inputs are unobservable inputs based on
our assumptions.

The Company’s financial instruments include
cash and cash equivalents, accounts payable and the carrying value of the operating lease liabilities and notes payable. The carrying
amounts of cash and accounts payable approximate their fair value, due to the short-term nature of these items. The carrying amounts of
notes payable and operating lease liabilities approximate their fair values since they bear interest at rates which approximate market
rates for similar debt instruments.

Net Loss per Common Share

Basic net loss per common share is computed by dividing the net loss
attributable to common stockholders by the weighted average number of shares of the Company’s Class A common stock (“Common
Stock”) outstanding during the period. Diluted net loss per common share is computed by dividing the net loss attributable to Common
Stockholders by the weighted average number of shares of Common Stock outstanding and potentially outstanding shares of Common Stock during
the period to reflect the potential dilution that could occur from common shares issuable through stock options, warrants, and convertible
debentures. For the three and nine months ending March 31, 2025 and 2024, such amounts were excluded from the diluted loss since their
effect was considered anti-dilutive due