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EXCEL - IDEA: XBRL DOCUMENT - Texas South Energy, Inc. | Financial_Report.xls |
EX-32.1 - EXHIBIT 32.1 - Texas South Energy, Inc. | exhibit321.htm |
EX-31.1 - EXHIBIT 31.1 - Texas South Energy, Inc. | exhibit311.htm |
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10-Q
[ X ] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended January 31, 2013
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from ______________________ To ______________________
Commission file number 333-171064
INKA PRODUCTIONS CORP.
(Exact name of registrant as specified in its charter)
N/A
(Former Name)
Nevada | 99-0362471 |
(State or other jurisdiction of incorporation or | (I.R.S. Employer Identification No.) |
organization) |
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IV Etapa Pachacamac MZ H2 Lot 31 Barrio 2 Sector 1 Villa el Salvador, Lima, Peru | 42 |
(Address of principal executive offices) | (Zip Code) |
+886 963 080 887
(Registrants telephone number)
Indicate by check mark whether the registrant (1) filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 12 months (or for such shorter period that the registrant was require to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes [X] No [ ]
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, or a non-accelerated filer. See definition of accelerated filer and large accelerated filer in Rule 12b-2 of the Exchange Act. (Check one):
Large accelerated filer [ ] | Accelerated filer [ ] | Non-accelerated filer [ ] | Smaller reporting company [ X ] |
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).Yes [X] No [ ]
APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS DURING THE PRECEDING FIVE YEARS:
Check whether the registrant has filed all documents and reports required to be filed by Sections 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court. [ ] Yes [ ] No
APPLICABLE ONLY TO CORPORATE ISSUERS:
As of March 13, 2013, the registrants outstanding common stock consisted of 8,000,000 shares.
INKA PROUCTIONS CORP.
TABLE OF CONTENTS
| Balance Sheets as of January 31, 2013 (unaudited) and October 31, 2012 (audited). Unaudited Statements of Operations for the three months ended January 31, 2013 and 2012, and from inception (March 15, 2010) to January 31, 2013. Unaudited Statements of Cash Flows for the three months ended January 31, 2013 and 2012, and from inception (March 15, 2010) to January 31, 2013. Unaudited Statement of Stockholders Equity (Deficit) from inception (March 15, 2010) to January 31, 2013. Notes to Financial Statements | 3 | |
| Management Discussion And Analysis Of Financial Condition and Results of Operations | 4 | |
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| Mine Safety Disclosures | 8 | |
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| Signature | 9 |
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PART I FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
The financial statements included herein have been prepared by us, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in the financial statements prepared in accordance with generally accepted accounting principles have been omitted. However, in the opinion of management, all adjustments (which include only normal recurring accruals) necessary to present fairly the financial position and results of operations for the period presented have been made. The results for interim periods are not necessarily indicative of trends or of results to be expected for the full year. These interim financial statements should be read in conjunction with the audited financial statements and notes thereto included in our annual report on Form 10-K filed on February 12, 2013 with the U.S. Securities and Exchange Commission (SEC) and can be found on the SEC website at www.sec.gov.
3 |
INKA PRODUCTIONS CORP.
(A Development Stage Company)
FINANCIAL STATEMENTS
January 31, 2013
UNAUDITED BALANCE SHEETS
Page F-2
UNAUDITED STATEMENTS OF OPERATIONS
Page F-3
UNAUDITED STATEMENT OF STOCKHOLDERS EQUITY (DEFICIT)
Page F-4
UNAUDITED STATEMENTS OF CASH FLOWS
Page F-5
NOTES TO FINANCIAL STATEMENTS
Page F-6
F-1 |
INKA PRODUCTIONS CORP.
(A Development Stage Company)
BALANCE SHEETS
| January 31, 2013 Unaudited | October 31, 2012 Audited |
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ASSETS |
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CURRENT ASSETS |
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Cash | $ 3,486 | $ 540 |
TOTAL CURRENT ASSETS | $ 3,486 | $ 540 |
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LIABILITIES AND STOCKHOLDERS EQUITY (DEFICIT) |
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CURRENT LIABILITIES |
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Accounts payable and accrued liabilities | $ 29,143 | $ 21,481 |
Due to related party (Note 5) | 38,454 | 31,954 |
TOTAL CURRENT LIABILITIES | $ 67,597 | $ 53,435 |
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STOCKHOLDERS EQUITY (DEFICIT) |
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Capital stock (Note 4) |
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Authorized |
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75,000,000 shares of common stock, $0.001 par value, |
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Issued and outstanding |
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8,000,000 shares of common stock | 8,000 | 8,000 |
Additional Paid in Capital | (5,000) | (5,000) |
Deficit accumulated during the development stage | (67,111) | (55,895) |
Total Stockholders Equity (Deficit) | (64,111) | (52,895) |
TOTAL LIABILITIES AND STOCKHOLDERS EQUITY (DEFICIT) | $ 3,486 | $ 540 |
F-2
The accompanying notes are an integral part of these financial statements
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INKA PRODUCTIONS CORP.
(A Development Stage Company)
STATEMENTS OF OPERATIONS
Unaudited
| 3 months to January 31, 2013 | 3 months to January 31, 2012 | March 15, 2010 (date of Inception) |
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EXPENSES |
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Office and general | $ (9,466) | $ (12,394) | $ (34,558) |
Professional fees | (1,750) | (1,726) | (32,553) |
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NET LOSS | $ (11,216) | $ (14,120) | $ (67,111) |
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BASIC AND DILUTED NET LOSS PER COMMON SHARE | $ (0.00) | $ (0.00) |
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WEIGHTED AVERAGE NUMBER OF BASIC AND | 8,000,000 | 8,000,000 |
F-3
The accompanying notes are an integral part of these financial statements
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INKA PRODUCTIONS CORP.
(A Development Stage Company)
STATEMENT OF STOCKHOLDERS EQUITY (DEFICIT)
FROM INCEPTION (March 15, 2010) TO JANUARY 31, 2013
Unaudited
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Number of shares | Amount | Additional Paid-in Capital | |||
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Founders shares | 5,000,000 | $ 5,000 | $ (5,000) | $ - | $ - |
Common stock issued for cash at $0.001 per share |
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- March 2010 | 3,000,000 | 3,000 | - | - | 3,000 |
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Net Loss for the year ended October 31, 2010 | - | - | - | (13,189) | (13,189) |
Balance, October 31, 2010 | 8,000,000 | $ 8,000 | $ (5,000) | $ (13,189) | $ (10,189) |
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Net Loss for the year ended October 31, 2011 | - | - | - | (9,627) | (9,627) |
Balance, October 31, 2011 | 8,000,000 | $ 8,000 | $ (5,000) | $ (22,816) | $ (19,816) |
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Net Loss for the year ended October 31, 2012 | - | - | - | (33,079) | (33,079) |
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Balance, October 31, 2012 | 8,000,000 | $ 8,000 | $ (5,000) | $ (55,895) | $ (52,895) |
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Net Loss for the period ended January 31, 2013 | - | - | - | (11,216) | (11,216) |
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Balance, January 31, 2013 | 8,000,000 | $ 8,000 | $ (5,000) | $ (67,111) | $ (64,111) |
F-4
The accompanying notes are an integral part of these financial statements
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INKA PRODUCTIONS CORP.
(A Development Stage Company)
STATEMENTS OF CASH FLOWS
Unaudited
| 3 months to January 31, 2013 | 3 months to January 31, 2012 | March 15, 2010 (date of Inception) to January 31, 2013 |
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CASH FLOWS FROM OPERATING ACTIVITIES |
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Net loss | $ (11,216) | $ (14,120) | $ (67,111) |
Adjustment to reconcile net loss to net cash provided by (used in) operating activities |
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Increase in accounts payables and accrued liabilities | 7,662 | 9,272 | 29,143 |
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NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES | (3,554) | (4,848) | (37,968) |
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CASH FLOWS FROM INVESTING ACTIVITIES | - | - | - |
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CASH FLOWS FROM FINANCING ACTIVITIES |
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Proceeds from sale of common stock | - | - | 3,000 |
Increase in due to related party | 6,500 | 5,000 | 38,454 |
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NET CASH PROVIDED BY FINANCING ACTIVITIES | 6,500 | 5,000 | 41,454 |
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NET INCREASE (DECREASE) IN CASH | 2,946 | 152 | 3,486 |
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CASH, BEGINNING OF PERIOD | 540 | 7,903 | - |
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CASH, END OF PERIOD | $ 3,486 | $ 8,055 | $ 3,486 |
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Supplemental cash flow information and noncash financing activities: | |||
Cash paid for: | |||
Interest | $ - | $ - | $ - |
Income taxes | $ - | $ - | $ - |
Non-cash Activity: | |||
Issuance of Founders shares | $ - | $ - | $ 5,000 |
The accompanying notes are an integral part of these financial statements
F-5
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NOTE 1 NATURE OF OPERATIONS AND BASIS OF PRESENTATION
Inka Productions Corp. was incorporated pursuant to the laws of the State of Nevada on March 15, 2010. The Company intends to commence business operations by producing and performing traditional Peruvian dances both in Peru and the United States.
It is a development stage company that has limited operating history and has earned no revenues. Since the inception, the company has devoted its activities to the following: developing a business plan, determining the market for the company services, developing a business marketing plan and capital formation. Inka Productions Corp. (Company) is in the initial development stage and has incurred losses since inception totalling $67,111.
The Company has established a fiscal year end of October 31.
NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of Presentation
The financial statements present the balance sheet, statements of operations, stockholders deficit and cash flows of the Company. These financial statements are presented in United States dollars and have been prepared in accordance with accounting principles generally accepted in the United States.
Going Concern
The Companys financial statements are prepared in accordance with generally accepted accounting principles applicable to a going concern. This contemplates the realization of assets and the liquidation of liabilities in the normal course of business. Currently, the Company does not have sufficient cash nor material assets, nor does it have operations or a source of revenue sufficient to cover its operation costs and allow it to continue as a going concern. The Company has a negative Equity since Inception (March 15, 2010) through January 31, 2013, of $67,111. The Company will be dependent upon the raising of additional capital through placement of our common stock in order to implement its business plan, or merge with an operating company. There can be no assurance that the Company will be successful in either situation in order to continue as a going concern. The Company is funding its initial operations by way of issuing common shares. As of January 31, 2013, the Company had issued 3,000,000 shares sold at $0.001 per share for net funds to the Company of $3,000. These financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts, or amounts and classification of liabilities that might result from this uncertainty.
The officers and directors have committed to advancing certain operating costs of the Company.
Use of Estimates and Assumptions
Preparation of the financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates.
Cash and Cash Equivalents
For purposes of the statement of cash flows, the Company considers highly liquid financial instruments purchased with a maturity of three months or less to be cash equivalents.
Fair Value
In accordance with the requirements of ASC 825 and ASC 820, the Company has determined the estimated fair value of financial instruments using available market information and appropriate valuation methodologies. The fair value of financial instruments classified as current assets or liabilities approximate their carrying value due to the short-term maturity of the instruments.
Income Taxes
The Company has adopted ASC 740 for reporting purposes. As of October 31, 2012 the Company had net operating loss carry forwards of approximately $64,111 that may be available to reduce future years taxable income and will expire beginning in 2028. Availability of loss usage is subject to change of ownership limitations under Internal Revenue Code 382. Future tax benefits which may arise as a result of these losses have not been recognized in these financial statements, as their realization is determined not likely to occur and accordingly, the Company has recorded a valuation allowance for the future tax loss carryforwards.
Net Loss per Share
Basic loss per share includes no dilution and is computed by dividing loss available to common stockholders by the weighted average number of common shares outstanding for the period. Dilutive loss per share reflects the potential dilution of securities that could share in the losses of the Company. Because the Company does not have any potentially dilutive securities, the accompanying presentation is only of basic loss per share.
Stock-based Compensation
The Company has not adopted a stock option plan and has not granted any stock options. Accordingly, no stock-based compensation has been recorded to date.
F-6
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Share Based Expenses
In December 2004, the Financial Accounting Standards Board (FASB) issued ASC 718 and 505 Share Based Payment. This statement requires a public entity to expense the cost of employee services received in exchange for an award of equity instruments. This statement also provides guidance on valuing and expensing these awards, as well as disclosure requirements of these equity arrangements. The Company adopted ASC 718 and 505 upon creation of the company and expenses share based costs in the period incurred.
Recent Accounting Pronouncements
In October 2012, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2012-04, ''Technical Corrections and Improvements" in Accounting Standards Update No. 2012-04. The amendments in this update cover a wide range of Topics in the Accounting Standards Codification. These amendments include technical corrections and improvements to the Accounting Standards Codification and conforming amendments related to fair value measurements. The amendments in this update will be effective for fiscal periods beginning after December 15, 2012. The adoption of ASU 2012-04 is not expected to have a material impact on our financial position or results of operations.
In August 2012, the FASB issued ASU 2012-03, "Technical Amendments and Corrections to SEC Sections: Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin (SAB) No. 114, Technical Amendments Pursuant to SEC Release No. 33-9250, and Corrections Related to FASB Accounting Standards Update 2010-22 (SEC Update)" in Accounting Standards Update No. 2012-03. This update amends various SEC paragraphs pursuant to the issuance of SAB No. 114. The adoption of ASU 2012-03 is not expected to have a material impact on our financial position or results of operations.
In July 2012, the FASB issued ASU 2012-02, "Intangibles -Goodwill and Other (Topic 350): Testing Indefinite-Lived Intangible Assets for Impairment" in Accounting Standards Update No. 2012-02. This update amends ASU 2011-08, Intangibles -Goodwill and Other (Topic 350): Testing Indefinite-Lived Intangible Assets for Impairment and permits an entity first to assess qualitative factors to determine whether it is more likely than not that an indefinite-lived intangible asset is impaired as a basis for determining whether it is necessary to perform the quantitative impairment test in accordance with Subtopic 350-30, Intangibles -Goodwill and Other -General Intangibles Other than Goodwill. The amendments are effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012. Early adoption is permitted, including for annual and interim impairment tests performed as of a date before July 27, 2012, if a public entity's financial statements for the most recent annual or interim period have not yet been issued or, for nonpublic entities, have not yet been made available for issuance. The adoption of ASU 2012-02 is not expected to have a material impact on our financial position or results of operations.
NOTE 3 FAIR VALUE OF FINANCIAL INSTRUMENTS
The Company adopted the FASB standard related to fair value measurement at inception. The standard defines fair value, establishes a framework for measuring fair value and expands disclosure of fair value measurements. The standard applies under other accounting pronouncements that require or permit fair value measurements and, accordingly, does not require any new fair value measurements. The standard clarifies that fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. The recorded values of long-term debt approximate their fair values, as interest approximates market rates. As a basis for considering such assumptions, the standard established a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows.
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Level 1. Observable inputs such as quoted prices in active markets;
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Level 2. Inputs, other than quoted prices in active markets, that are observable either directly or indirectly; and
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Level 3. Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions.
The Companys financial instruments are cash, accounts receivable, and accounts payable. The recorded values of cash, accounts receivable, and accounts payable approximate their fair values based on their short-term nature.
The following table presents assets that were measured and recognized at fair value as of October 31, 2012 and the year then ended on a recurring basis:
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NOTE 4 CAPITAL STOCK
The Companys capitalization is 8,000,000 common shares with a par value of $0.001 per share. No preferred shares have been authorized or issued.
On March 15, 2010, a director of the Company was issued 5,000,000 Founders shares of the common stock in the Company at $0.001 per share in exchange for services rendered. No cash was paid for the founders shares.
Between March 24 and March 30, 2010 the company issued a further 3,000,000 Common shares at $0.001 for $3,000 in cash.
As of January 31, 2013 the Company has not granted any stock options and has not recorded any stock-based compensation.
NOTE 5 RELATED PARTY TRANSACTIONS
As of January 31, 2013 the balance of the Company received advances from a Director in the amount of $38,454 ($31,954 at October 31, 2012). The amounts due to the related party are unsecured and non-interest bearing with no set terms of repayment.
NOTE 6 SUBSEQUENT EVENTS
The Company has evaluated subsequent events through the date the financial statements were issued and filed with the Securities and Exchange Commission. The Company has determined that there were no such events that warrant disclosure or recognition in the financial statements.
F-7
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ITEM 2. MANAGEMENT DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Forward Looking Statements
This report on Form 10-Q contains certain forward-looking statements. All statements other than statements of historical fact are forward-looking statements for purposes of these provisions, including any projections of earnings, revenues, or other financial items; any statements of the plans, strategies, and objectives of management for future operation; any statements concerning proposed new products, services, or developments; any statements regarding future economic conditions or performance; statements of belief; and any statement of assumptions underlying any of the foregoing. Such forward-looking statements are subject to inherent risks and uncertainties, and actual results could differ materially from those anticipated by the forward-looking statements.
Business Overview
Inka Productions Corp. (Inka, we, us) is a new company that produces and performs traditional Peruvian dances both in Peru and the United States. Peruvian music consists of sounds from Andean panpipes and colorful Inca dancers. This unique musical tradition blends Spanish, indigenous, and especially African influences into a dynamic, percussive dance style with amazing character and energy.
There are several types of Peruvian dances. The primary focus of our shows will be to incorporate the following dances into our performances:
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Festejo a dance of celebration, which includes a competition between men;
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Lando slower tempo dance, derived from matrimonial dance with Angloan roots;
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Zamacueca heavily Spanish influenced version of the Lando; and
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Alcatraz tells a humorous story with two dancers trying to light a piece of cloth on their back ends, or avoid being lit.
We intend to generate revenue mainly through ticket sales from our performances as well as from fees obtained by private individuals or entities who wish to book our performers for either a private show or to resell tickets themselves (event promoters). We will determine ticket prices prior to booking our first performance. There will be numerous factors that will be considered when determining ticket prices, including: costs, salaries, equipment, personnel, advertising, competition and profitability. We will offer reasonable prices to our future customers with the hopes of maintaining those customers and receiving referrals through customers own networks.
We are in a highly competitive industry, thus we will need to find the right balance of earning a profit and providing our customers with reasonable and affordable pricing to attract as many customers as possible. We will have other sources of revenue as well. However, there is no guarantee that we will ever be successful at generating revenues. We will be seeking sponsors to help us promote and advertise our shows in the various communities we travel to. If the opportunity presents itself, there may be a possibility of doing our show in conjunction with another company that is very well known in the local community of where our show is being held, who may be able to do an opening segment to our show. This is a great promotional tool which will bring our company publicity, while capitalizing on the local popularity that is already established by the other company. We will intend on seeking this type of partnership once the site of our shows are determined, at a future date.
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We were incorporated in the State of Nevada on March 15, 2010. On March 1, 2013, our common stock became eligible for quotation on the Over the Counter Bulletin under the symbol INKA.OB. We do not have any subsidiaries. Our principal office is located at IV Etapa Pachacamac, MZ H2 Lot 31 Barrio 2 Sector 1, Villa el Salvador, Lima, Peru 42. Our telephone number is +886 963 080 887. Our fiscal year end is October 31st.
We have incurred losses since our inception. We rely upon the sale of our securities or loans from our President to fund our operations. We are not involved in any bankruptcy, receivership or similar proceedings.
Liquidity and Capital Resources
As of January 31, 2013, we had cash of $3,486 and a working capital deficit of $64,111. Our accumulated deficit from inception (March 15, 2010) to January 31, 2013 was $67,111. Our net loss of $11,216 for the three months ended January 31, 2013 was mostly funded by funds raised from equity financing since inception. During the three months ended January 31, 2013, we raised $6,500 through loans from our director. During the three months ended January 31, 2013 our cash position increased by $2,946.
We used net cash of $3,554 in operating activities for the three months ended January 31, 2013 compared to net cash of $4,848 used in operating activities for the three months ended January 31, 2012. We have used a total of $37,968 in operating activities from our inception (March 15, 2010) to January 31, 2013.
During the three months ended January 31, 2013 our monthly cash requirement was approximately $1,184 compared to approximately $1,616 for the three months ended January 31, 2012. At January 31, 2013, we had cash of $3,486, which will cover our costs for approximately 3 months according to our current monthly burn rate.
We expect to require approximately $80,000 to fund our training program which we will be the first step of our business plan. We are initially looking to hire 8 dancers that fit the requirements we are looking for. This will allow us to be able to perform the various types of dances we want and provide great entertainment for our customers. In our estimate, the training program will take 6 months to complete. While we are engaged in training our dancers, we will begin to actively market and advertise our services both throughout the US and in Peru. The training program will be held in Chicago, Illinois, the same location as our first performance, to allow us to gain some familiarity with the location and the local population, as well as have our accommodations and transport arrangements already settled well in advance.
We are estimating a cost of approximately $2,500 a month for leasing space for our training program.
After our training program is complete, we will begin our performances, both public dances where we sell tickets and collect the gate revenue, as well as private shows where we are paid a flat fee and the person who hires us then collects the receipts from ticket sales. There is no guarantee that will be able to successfully implement our business plan, begin our operations or obtain profitability.
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Cost | Amount |
Monthly Rent ($2,500 x 6 months) | $15,000 |
Dancer Salary ($5,000 x 8 dancers) | $40,000 |
Trainer Salary ($30,000 year x 0.5 years) | $15,000 |
Legal, Accounting & Miscellaneous | $10,000 |
Total | $80,000 |
Currently, we have no funds with which to initiate the training process and there is no assurance that any financing will be available or if available, on terms that will be acceptable to us. We also may need additional financing to carry out our business plan.
Obtaining additional financing will be subject to a number of factors including market conditions, investor acceptance of our business plan, and investor sentiment. These factors may make the timing, amount, terms and conditions of additional financing unattractive or unavailable to us. If we cannot raise at least $80,000 we will not be able carry out our planned business operations. In such an event, we intend to implement expense reduction plans in a timely manner. However, these actions would have material adverse effects on our business, revenues, operating results, and prospects, resulting in a possible failure of our business. We may need to obtain additional financing which may not be available, which could cause us to cease operations.
Results of Operations for the Three months Ended January 31, 2013 compared to the Three months ended January 31, 2012 and From Inception (March 15, 2010) to January 31, 2013
Revenues
We have not generated any revenues since inception.
Net Loss
We incurred a net loss of $11,216 for the three months ended January 31, 2013, compared to a net loss of $14,120 for the three months ended January 31, 2012. Since March 15, 2010 (date of inception) to January 31, 2013, we have incurred a net loss of $67,111.
Expenses
Our total expenses for the three months ended January 31, 2013 were $11,216, which consisted of office and general expenses of $9,466 and professional fees of $1,750. Our total expenses for the three months ended January 31, 2012 were $14,120, which consisted of office and general expenses of $12,394 and professional fees of $1,726. Our general and administrative expenses consist of professional fees, management and consulting fees, stock based compensation, bank charges, travel, meals and entertainment, rent, office maintenance, communications (cellular, internet, fax and telephone), courier, postage costs and office supplies. Since March 15, 2010 (date of inception) to January 31, 2013, we have incurred total expenses of $67,111, including office and general expenses of $34,558 and professional fees of $32,553.
Inflation
The amounts presented in the financial statements do not provide for the effect of inflation on our operations or financial position. The net operating losses shown would be greater than reported if the effects of inflation were reflected either by charging operations with amounts that represent replacement costs or by using other inflation adjustments.
Off-Balance Sheet Arrangements
As of January 31, 2013, we had no off balance sheet transactions that have or are reasonably likely to have a current or future effect on our financial condition, changes in our financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources.
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ITEM 4. CONTROLS AND PROCEDURES
Evaluation of Disclosure Controls and Procedures
We maintain disclosure controls and procedures, as defined in Rule 13a-15(e) promulgated under the Securities Exchange Act of 1934 (the "Exchange Act"), that are designed to ensure that information required to be disclosed by us in the reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission's rules and forms and that such information is accumulated and communicated to our sole officer, as appropriate to allow timely decisions regarding required disclosure. We carried out an evaluation, under the supervision and with the participation of our sole officer, of the effectiveness of the design and operation of our disclosure controls and procedures as of January 31, 2013. Based on the evaluation of these disclosure controls and procedures, our sole officer concluded that our disclosure controls and procedures are ineffective.
Changes in internal controls
There were no changes in our internal control over financial reporting, as defined in Rule 13a-15(f) promulgated under the Exchange Act, during the quarter ended January 31, 2013 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.
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ITEM 1. LEGAL PROCEEDINGS
Management is not aware of any legal proceedings contemplated by any governmental authority or any other party against us. None of our directors, officers or affiliates are (i) a party adverse to us in any legal proceedings, or (ii) have an adverse interest to us in any legal proceedings. Management is not aware of any other legal proceedings that have been threatened against us.
ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS
ITEM 3. DEFAULTS UPON SENIOR SECURITIES
ITEM 4. MINE SAFETY DISCLOSURES
ITEM 5. OTHER INFORMATION
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ITEM 6. EXHIBITS
SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) of the Exchange Act, the Registrant has duly caused this Quarterly Report to be signed on its behalf by the undersigned thereunto duly authorized.
| INKA PRODUCTIONS CORP. | |
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Date: March 15, 2013 | By: | /s/ Roxana Gloria Candela Calixto |
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| Roxana Gloria Candela Calixto |
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| President, Chief Executive Officer, Secretary, Treasurer, Chief Financial Officer and Director |
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