|Note B -
||Summary of Significant Accounting Policies|
||Method of Accounting|
The Company maintains its books and prepares its
financial statements on the accrual basis of accounting.
The Company has operated as
a development stage enterprise since its inception by devoting substantially all of its efforts to financial planning, raising
capital, research and development, and developing markets for its services. The Company prepares its financial statements in accordance
with the requirements of FASB ASC 915.
Cash and Cash Equivalents
Cash and cash equivalents include
time deposits, certificates of deposit, and all highly liquid debt instruments with original maturities of three months or less.
The Company maintains cash and cash equivalents at financial institutions, which periodically may exceed federally insured amounts.
Loss Per Common Share
Loss per common share is computed
in accordance with FASB ASC 260-10, by dividing income (loss) available to common stockholders by weighted average number of common
shares outstanding for each period.
Use of Estimates
The preparation of financial
statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of revenues and expenses during the reporting period. Actual results can differ from those
Organizational costs represent
management, consulting, legal, accounting, and filing fees incurred to date in the formation of the company. Organizational costs
are expensed as incurred in accordance with FASB ASC 720-15.
The Company accounts for income
taxes in accordance with FASB ASC 740-10, using the asset and liability approach, which requires recognition of deferred tax liabilities
and assets for the expected future tax consequences of temporary differences between the carrying amounts and the tax basis of
such assets and liabilities. This method utilizes enacted statutory tax rates in effect for the year in which the temporary differences
are expected to reverse and gives immediate effect to changes in income tax rates upon enactment. Deferred tax assets are recognized,
net of any valuation allowance, for temporary differences and net operating loss and tax credit carry forwards. Deferred income
tax expense represents the change in net deferred assets and liability balances.
The Companys financial
instruments consist of cash and due to parent. Unless otherwise noted, it is managements opinion that the Company is not
exposed to significant interest, currency or credit risks arising from these financial instruments. The fair value of these financial
instruments approximates their carrying value, unless otherwise noted.
The Company does not expect
the adoption of recently issued accounting pronouncements to have a significant impact on the Companys results of operations,
financial position, or cash flow.