Company: GRPS
Filing Date: 2025-07-17
Form Type: 10-K
Source: 0001683168-25-005173
Chunk: 661

Company: Trans American Aquaculture, Inc
Filing Date: 2025-07-17
Form: 10-K
Item: Item 9A
Chunk 661
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 the treasury stock
method. The dilutive securities are excluded from the computation of diluted net loss per share when net loss is recorded for the period
as their effect would be anti-dilutive.

NOTE 3 – ACCOUNTS RECEIVABLE

On
December 11, 2023, the Company entered into an accounts receivable factoring agreement in the amount of $750,000.  The agreement
calls for 80% with recourse financing on eligible receivables. The amount received for the factored receivables on February 7, 2024, totaled
$135,847, of which $25,764 remains outstanding after factoring fees at December 31, 2024 and $0 at December 31, 2023. 

NOTE 4 – INVENTORY

The inventory at December 31, 2024,
consists of shrimp in the larvae stage of development held for sale, broodstock held for sale, and broodstock held for restocking. Included
in this amount is the broodstock cost basis reclassified to shrimp held for sale as those costs are applicable expenditures and charges
directly and indirectly incurred in bringing shrimp inventory to its existing condition and location as noted in FASB ASC 330-10-30. Although,
these animals will eventually come to end of life, their costs are considered part of the necessary costs to birthing and raising shrimp
held for sale.

Just prior to harvest, the Company
segregates and retains selected premium shrimp to become broodstock for the following shrimp harvest cycle. Upon identification and segregation,
the selected animals are transferred from outdoor ponds to specialized indoor tanks. These tanks are highly regulated with respect to
temperature, lighting and salinity levels. Costs allocated to broodstock animals at December 31, 2024 and December 31, 2023 totaled $20,830
and $60,388, respectively.

     F-12 

The Company recorded inventory write-down of $148,429
related to the dead of broodstock in its aquaculture operations. The number of broodstock held went down from 15,400 to 4,415 in the year
ended December 31, 2024. The write-down is included in the cost of revenues in the consolidated statement of operations.

Total inventory is as follows at:

    Schedule of inventory 

    2024  
    2023  
    2022 
  
    Held for Sale