Company: BLNE
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023462
Chunk: 20

Company: Beeline Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 20
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 the term
loan using the straight-line method, which approximates the effective interest method, and the amortization of debt discount is included
in interest expense in the consolidated statements of operations and comprehensive loss.

FOREIGN
CURRENCY TRANSLATION AND TRANSACTIONS

The
reporting currency of the company is the U.S. dollar. Except for Beeline Loans Pty Ltd, the functional currency of the Company is the
U.S. dollar. The functional currency of Beeline Loans Pty Ltd is the Australian dollar. For Beeline Loans Pty Ltd, results of operations
and cash flows are translated at average exchange rates during the period, assets and liabilities are translated at the exchange rate
at the end of the period, and equity is translated at historical exchange rates. As a result, amounts related to assets and liabilities
reported on the statements of cash flows may not necessarily agree with the changes in the corresponding balances on the balance sheets.
Translation adjustments resulting from the process of translating the local currency financial statements into U.S. dollars are included
in determining comprehensive loss. The translation adjustment for the nine months ended September 30, 2025 was $12,626.

Transactions
denominated in foreign currencies are translated into the functional currency at the exchange rates prevailing on the transaction dates
with any transaction gains and losses that arise from exchange rate fluctuations on transactions denominated in a currency other than
the functional currency included in the results of operations as incurred. These transactions were de minimis for the nine months ended
September 30, 2025.

As
of September 30, 2025, the exchange rate used to translate balance sheet amounts from Australian dollars into U.S. dollars was $0.66,
and the average exchange rate used to translate operation amounts from Australian dollars into U.S. dollars was $0.64.

DEFERRED
OFFERING COSTS

The
Company complies with the requirements of ASC 340, Other Assets and Deferred Costs, with regards to offering costs. Prior to the
completion of an offering, offering costs are capitalized as non-current other assets in the consolidated balance sheets and consist
principally of professional, underwriting and other expenses incurred through the consolidated balance sheet date that are directly related
to the Company’s proposed public offering. The deferred offering costs are charged to additional paid-in capital or as a discount
to debt, as applicable, upon the completion of an offering or to expense if the offering is not completed.

    13

Beeline
                                            Holdings, Inc.