NOTE 2- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Development Stage Company
The Company is considered to be in the development stage as defined in ASC 915-10-20, Development Stage Entity. The Company is devoting substantially all of its efforts to the execution of its business plan.
Use of Estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America may require management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. There are no such estimates included in these financial statements.
Cash and Cash Equivalents
Cash and cash equivalents consists principally of currency on hand, demand deposits at commercial banks, and liquid investment funds having a maturity of three months or less at the time of purchase. The Company had no cash and cash equivalents as of January 31, 2012 or April 30, 2011.
In accordance with ASC 720-15-25, Start-up Activities, the Company expenses all costs incurred in connection with the start-up and organization of the Company.
Common Stock Issued For Other Than Cash
Services purchased and other transactions settled in the Company's common stock are recorded at the estimated fair value of the stock issued if that value is more readily determinable than the fair value of the consideration received.
Net Income or (Loss) Per Share of Common Stock
The Company follows financial accounting standards which provide for basic and diluted earnings per share. Basic earnings per share is computed by dividing income or loss available to common shareholders by the weighted average shares outstanding for the period. Diluted earnings per share reflects the potential dilution due to other securities outstanding which could affect the number of shares upon exercise. The Company has no potentially dilutive securities such as options, warrants, or convertible bonds currently issued and outstanding. Consequently basic and diluted shares are the same, as presented in the Condensed Statements of Operations and Comprehensive Loss.
Recently Enacted Accounting Standards
In June 2009 the FASB established the Accounting Standards Codification (Codification or ASC) as the source of authoritative accounting principles recognized by the FASB to be applied by nongovernmental entities in the preparation of financial statements in accordance with generally accepted accounting principles in the United States (GAAP). Rules and interpretive releases of the Securities and Exchange Commission (SEC) issued under authority of federal securities laws are also sources of GAAP for SEC registrants.
Modifications to the ASC are accomplished by the issuance of Accounting Standards Updates (ASUs). The Company has evaluated ASUs through No. 2011-12. None of the updates for the period have applicability to the Company or their effect on the financial statements would not have been significant.
Office Space and Labor
The Companys sole Officer and Director will provide the labor required to execute the business plan and supply the necessary office space and facilities during the initial period of operations. The Company will recognize the fair value of services and office space so provided as contributed capital in accordance with ASC 225-10-S99-4. From inception (February 9, 2010) through January 31, 2012, the fair value of services and office space provided are estimated to be nil.