Note 2. Summary of Significant Accounting Policies
The Companys significant accounting policies
are summarized in Note 2 of the Companys Annual Report on Form 10-K for the year ended July 31, 2012. There were no significant
changes to these accounting policies during the three months ended October 31, 2012 and the Company does not expect that the adoption
of other recent accounting pronouncements will have a material impact on its financial statements.