Company: MNTR
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001620
Chunk: 939

Company: Mentor Capital, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 7
Chunk 939
---
 GAAP requires management to make estimates, assumptions, and
judgments that affect the reported amounts of assets and liabilities, and the disclosure of contingent assets and liabilities at the
date of our consolidated financial statements, and the reported amount of revenues and expenses during the reporting period.

Significant
estimates relied upon in preparing these consolidated financial statements include revenue recognition, accounts and notes receivable
reserves, expected future cash flows used to evaluate the recoverability of long-lived assets, estimated fair values of long-lived assets
used to record impairment charges related to investments, goodwill, amortization periods, accrued expenses, and recoverability of the
Company’s net deferred tax assets and any related valuation allowance.

Although
the Company regularly assesses these estimates, actual results could differ materially from these estimates. Changes in estimates are
recorded in the period in which they become known. Acquisitions and divestitures are not announced until certain. The Company bases its
estimates on historical experience and various other assumptions that it believes to be reasonable under the circumstances. Actual results
may differ from management’s estimates if past experience or other assumptions do not turn out to be substantially accurate.

Recent
Accounting Standards

From
time to time, the Financial Standards Accounting Board (“FASB”), or other standards-setting bodies, issue new accounting
pronouncements. Updates to the FASB Accounting Standard Codifications (“ASCs”) are communicated through the issuance of an
Accounting Standards Update (“ASU”). Unless otherwise discussed, we believe that the impact of recently issued guidance,
whether adopted or to be adopted in the future, is not expected to have a material impact on our consolidated financial statements upon
adoption.

Accounting
pronouncements recently adopted

Segment
Reporting: Improvements to Reportable Segment Disclosures - In November 2023, the FASB issued ASU 2023-07, “Segment
Reporting (Topic 280): Improvements to Reportable Segment Disclosures,” which updates ASC 280 to expand annual and interim
disclosure requirements for reportable segments, primarily through enhanced disclosures about significant segment expenses. We
adopted ASU 2023-07 for the fiscal year ended December 31, 2024. The adoption of ASU 2023-07 did not have a material impact on the
Company’s consolidated financial statements. See Note 17.

Accounting
pronouncements to be adopted

Income
Taxes: Improvements to Income Tax Disclosures - In December 2023, the F