NOTE 1: CONDENSED FINANCIAL STATEMENTS
The accompanying financial statements have been prepared by Seychelle
Environmental Technologies, Inc., and subsidiary (the Company) without audit. In the opinion of management,
all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of
operations, and cash flows at August 31, 2011, and for all periods presented herein, have been made.
Certain information and footnote disclosures normally included in
financial statements prepared in accordance with accounting principles generally accepted in the United States of America have
been condensed or omitted. It is suggested that these condensed financial statements be read in conjunction with the
financial statements and notes thereto included in the Companys February 28, 2011 audited financial statements. The
results of operations for the periods ended August 31, 2011 and 2010 are not necessarily indicative of the operating results for
the full years.
The summary of significant accounting policies of the Company is
presented to assist in understanding the Companys financial statements. The financial statements and notes are representations
of the Companys management, which is responsible for their integrity and objectivity. These accounting policies conform
to accounting principles generally accepted in the United States of America and have been consistently applied in the preparation
of the condensed consolidated financial statements and the February 28, 2011 financials included in the 10-K filed on May 31, 2011.
The preparation of financial statements in conformity with accounting
principles generally accepted in the United States of America requires management to make estimates and assumptions that affect
the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those
The Financial Accounting Standards Board (FASB) has issued Accounting
Standards Update (ASU) No. 2011-04, Fair Value Measurement (Topic 820): Amendments to Achieve Common Fair Value Measurement
and Disclosure Requirements in U.S. GAAP and IFRSs. This ASU represents the converged guidance of the FASB and the IASB (the
Boards) on fair value measurement. The collective efforts of the Boards and their staffs, reflected in ASU 2011-04, have resulted
in common requirements for measuring fair value and for disclosing information about fair value measurements, including a consistent
meaning of the term fair value. The Boards have concluded the common requirements will result in greater comparability
of fair value measurements presented and disclosed in financial statements prepared in accordance with U.S. GAAP and IFRSs.
The amendments in this ASU are to be applied prospectively. For
public entities, the amendments are effective during interim and annual periods beginning after December 15, 2011. Early application
by public entities is not permitted. The Company has not yet determined the potential impact on its future consolidated