Document And Entity Information
Document And Entity Information | 12 Months Ended |
Dec. 31, 2016shares | |
Document Information [Line Items] | |
Document Type | 20-F |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2016 |
Document Fiscal Year Focus | 2,016 |
Document Fiscal Period Focus | FY |
Entity Registrant Name | CHINESEWORLDNET COM INC |
Entity Central Index Key | 1,145,898 |
Current Fiscal Year End Date | --12-31 |
Entity Well-known Seasoned Issuer | No |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Filer Category | Non-accelerated Filer |
Trading Symbol | CWNOF |
Entity Common Stock, Shares Outstanding | 10,950,000 |
BALANCE SHEETS
BALANCE SHEETS - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Current assets | ||
Cash and cash equivalents [note 2] | $ 43,407 | $ 85,906 |
Prepaid expenses and deposits | 5,090 | 4,914 |
Total current assets | 48,497 | 90,820 |
Note receivable [note 3] | 597,876 | 582,384 |
Total assets | 646,373 | 673,204 |
Current liabilities | ||
Accounts payable and accrued liabilities | 16,659 | 41,784 |
Due to related parties, non-interest bearing [note 5] | 38,628 | 2,628 |
Total current liabilities | 55,287 | 44,412 |
Stockholders’ equity[note 4] | ||
Common stock Authorized 100,000,000 common shares with a par value of $0.001 per share Issued and outstanding 10,950,000 common shares | 10,950 | 10,950 |
Additional paid-in capital | 4,183,129 | 4,183,129 |
Deficit | (3,602,993) | (3,565,287) |
Total stockholders’ equity | 591,086 | 628,792 |
Total liabilities and stockholders’ equity | $ 646,373 | $ 673,204 |
BALANCE SHEETS _Parenthetical_
BALANCE SHEETS [Parenthetical] - $ / shares | Dec. 31, 2016 | Dec. 31, 2015 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares issued | 10,950,000 | 10,950,000 |
Common stock, shares outstanding | 10,950,000 | 10,950,000 |
STATEMENTS OF STOCKHOLDERS' EQU
STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings (Deficit) [Member] |
Balance at Dec. 31, 2014 | $ 795,545 | $ 10,950 | $ 4,182,073 | $ (3,397,478) |
Balance (in shares) at Dec. 31, 2014 | 10,950,000 | |||
Stock based compensation | 1,056 | $ 0 | 1,056 | 0 |
Components of comprehensive income (loss): | ||||
Net loss for the year | (167,809) | 0 | 0 | (167,809) |
Balance at Dec. 31, 2015 | 628,792 | $ 10,950 | 4,183,129 | (3,565,287) |
Balance (in shares) at Dec. 31, 2015 | 10,950,000 | |||
Components of comprehensive income (loss): | ||||
Net loss for the year | (37,706) | $ 0 | 0 | (37,706) |
Balance at Dec. 31, 2016 | $ 591,086 | $ 10,950 | $ 4,183,129 | $ (3,602,993) |
Balance (in shares) at Dec. 31, 2016 | 10,950,000 |
STATEMENTS OF OPERATIONS AND CO
STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Expenses | ||
Audit and legal | $ 14,992 | $ 30,817 |
Directors' remuneration | 36,000 | 0 |
Office and miscellaneous | 6,813 | 7,341 |
Stock based compensation | 0 | 1,056 |
Operating Expenses, Total | 57,805 | 39,214 |
Other income (loss) | ||
Foreign exchange gain (loss) | 25,950 | (124,965) |
Net interest expenses | (5,851) | (3,630) |
Net loss and comprehensive loss for the year | $ (37,706) | $ (167,809) |
Net income (loss) attributable to: | ||
Basic and diluted net loss per common share | $ (0.003) | $ (0.02) |
Weighted average number of common shares outstanding | ||
- basic and diluted | 10,950,000 | 10,950,000 |
STATEMENTS OF CASH FLOWS
STATEMENTS OF CASH FLOWS - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
OPERATING ACTIVITIES | ||
Net loss for the year | $ (37,706) | $ (167,809) |
Adjustment to reconcile net loss to net cash used in operating activities: | ||
Foreign exchange (gain) or loss | (21,349) | 124,965 |
Accretion on note receivable | 83,517 | 3,641 |
Imputed interest income | (77,660) | 0 |
Stock based compensation | 0 | 1,056 |
Changes in non-cash working capital items: | ||
Prepaid expenses and deposits | (176) | (32) |
Accounts payable and accrued liabilities | (25,125) | (41,979) |
Due to related parties, non-interest bearing [note 5] | 36,000 | 0 |
Net cash used in operating activities | (42,499) | (80,158) |
FINANCING ACTIVITIES: | ||
Effects of exchange rate changes on cash and cash equivalents | 0 | (20,693) |
Decrease in cash and cash equivalents | (42,499) | (100,851) |
Cash and cash equivalents, beginning of year | 85,906 | 186,757 |
Cash and cash equivalents, end of year | 43,407 | 85,906 |
Supplemental disclosure of cash flow information | ||
Cash paid for interest, net of interest capitalized | 0 | 0 |
Cash paid for income taxes | $ 0 | $ 0 |
NATURE OF OPERATIONS AND GOING
NATURE OF OPERATIONS AND GOING CONCERN | 12 Months Ended |
Dec. 31, 2016 | |
Organization, Consolidation and Presentation Of Financial Statements [Abstract] | |
Nature of Operations [Text Block] | 1. NATURE OF OPERATIONS AND GOING CONCERN The Company was incorporated under the laws of Cayman Islands on January 12, 2000. On January 15, 2000 the Company acquired 100 80 83 200,000 83 85 187,200 23.8 263,968 831,031 After disposal of all subsidiaries and long term investment on April 28, 2014, the core business activities and operations were discontinued. The Company is currently inactive with limited operations and is in the process of seeking business opportunities. These financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America applicable to a going concern, which contemplates the realization of assets and the satisfaction of liabilities and commitments in the normal course of business. The Company has accumulated losses since its inception and requires additional funds to maintain and expand its intended business operations. As at December 31, 2016, the Company has a working capital deficiency of $ 6,790 46,408 Management’s plans in this regard are to raise debt or equity financing as required which the Company has been able to finance the operations through a series of equity and debt financings and additional funds is still required to fund the Company’s anticipated business expansion. There can be no assurance that a viable business opportunity that can be adequately financed will be identified and available to the Company. Additional equity and/or debt financing is subject to the global financial markets and prevailing economic conditions, which have recently been volatile and distressed. These factors will likely make it more challenging to obtain financing for the Company going forward. These matters and conditions indicate the existence of a material uncertainty that may cast significant doubt about the Company’s ability to continue as going concern. |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | 2. SIGNIFICANT ACCOUNTING POLICIES Basis of presentation These financial statements have been prepared in conformity with generally accepted accounting principles in the United States of America (“US GAAP”) and are expressed in United States dollars, unless otherwise noted. All adjustments considered necessary for a fair presentation of financial position, results of operations and cash flows as at December 31, 2016 have been included. Use of estimates The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from those estimates. Estimates and underlying assumptions are reviewed at each period end. Revisions to accounting estimates are recognized in the period in which the estimates are revised and in any future periods affected. Significant areas requiring the use of management estimates relate to fair value of financial instruments, deferred income tax assets and liabilities and stock based compensation. Cash and cash equivalents Cash equivalents usually consist of highly liquid investments which are readily convertible into cash with maturity of three months or less when purchased. The Company had no cash equivalents as of December 31, 2016 (2015 - $Nil). Foreign currency translations The Company’s functional currency is the U.S. dollar. Transactions in other currencies are recorded in U.S. dollars at the rates of exchange prevailing when the transactions occur. Monetary assets and liabilities denominated in other currencies are translated into U.S. dollars at rates of exchange in effect at the balance sheet dates. Exchange gains and losses are recorded in the statements of operations. Income taxes Income taxes are accounted for under the liability method of accounting for income taxes. Under the liability method, deferred tax liabilities and assets are recognized for the estimated future tax consequences attributable to differences between the amounts reported in the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply when the asset is realized or the liability is settled. The effect of a change in income tax rates on deferred tax liabilities and assets is recognized in income in the period in which the change occurs. Deferred tax assets are recognized to the extent that they are considered more likely than not to be realized. Per FASB ASC 740 “Income taxes” under the liability method, it is the Company’s policy to provide for uncertain tax positions and the related interest and penalties based upon management’s assessment of whether a tax benefit is more likely than not to be sustained upon examination by tax authorities. At December 31, 2016, the Company believes it has appropriately accounted for any unrecognized tax benefits. To the extent the Company prevails in matters for which a liability for an unrecognized benefit is established or is required to pay amounts in excess of the liability, the Company’s effective tax rate in a given financial statement period may be affected. Interest and penalties associated with the Company’s tax positions are recorded as Interest Expense. Comprehensive income (loss) The Company accounts for comprehensive income under the provisions of ASC Topic 220-10, Comprehensive Income - Overall, which establishes standards for reporting and display of comprehensive income, its components and accumulated balances. The Company is disclosing this information on its Statements of Operations and Comprehensive Loss. Financial instruments and concentration of risks Fair value of financial instruments is made at a specific point in time, based on relevant information about financial markets and specific financial instruments. As these estimates are subjective in nature, involving uncertainties and matters of significant judgment, they cannot be determined with precision. Changes in assumptions can significantly affect estimated fair values. The carrying value of cash and cash equivalents and accounts payable and accrued liabilities approximates their fair value because of the short-term nature of these instruments. The fair value of long term notes receivable is estimated using discounted cash flow model. The Company is exposed to interest rates risk on its cash and cash equivalents. Management does not believe that the impact of interest rate fluctuate will be significant. The Company has cash and cash equivalents with various financial institutions, which may exceed insured limits throughout the year. The Company is exposed to credit loss for amounts in excess of insured limits in the event of non-performance by the institution. However, the Company does not anticipate non-performance. The Company operates and incurs significant expenditures outside of the United States of America and is exposed to foreign currency risks due to the currency exchange fluctuation between the subsidiaries’ functional currency and the Company’s reporting currency. Fair value of financial instruments Fair Value of Financial Instruments the Company adopted SFAS ASC 820-10-50, “Fair Value Measurements”. This guidance defines fair value, establishes a three-level valuation hierarchy for disclosures of fair value measurement and enhances disclosure requirements for fair value measures. The three levels are defined as follows: · Level one Quoted market prices in active markets for identical assets or liabilities; · Level two Inputs other than level one inputs that are either directly or indirectly observable; and · Level three Unobservable inputs developed using estimates and assumptions, which are developed by the reporting entity and reflect those assumptions that a market participant would use. For the period ended December 31, 2016 and 2015, the fair value of cash and cash equivalents are recognized on the balance sheets as level one per the fair value hierarchy; and the fair value of notes receivable are recognized in the balance sheets as level three per the fair value hierarchy. Stock-based compensation The Company has adopted the fair value method of accounting for stock-based compensation as recommended by ASC 718 Compensation Stock Compensation Earning (Loss) per share Basic loss per share is computed on the basis of the weighted average number of common shares outstanding during each period. Diluted loss per share is computed on the basis of the weighted average number of common shares and dilutive securities outstanding. Recently Adopted Accounting Pronouncements In June 2014, the FASB issued ASU 2014-12, Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period. The standard provides guidance that a performance target that affects vesting of a share-based payment and that could be achieved after the requisite service condition is a performance condition. As a result, the target is not reflected in the estimation of the award's grant date fair value. Share-based compensation cost for such award would be recognized over the required service period, if it is probable that the performance condition will be achieved. ASU 2014-12 is effective for annual reporting periods beginning after December 15, 2015. Early adoption is permitted. The guidance should be applied on a prospective basis to awards that are granted or modified on or after the effective date of the standard. The Company adopted ASU 2014-09 on January 1, 2016 and the adoption of this pronouncement did not have a material effect on the Company's financial position or results of operations. In August 2014, the FASB issued ASU 2014-15, Presentation of Financial StatementsGoing Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern. The ASU provides guidance on determining when and how reporting entities must disclose going-concern uncertainties in their financial statements. The new standard requires management to perform interim and annual assessments of an entity's ability to continue as a going concern within one year of the date of issuance of the entity's financial statements (or within one year after the date on which the financial statements are available to be issued, when applicable). Further, an entity must provide certain disclosures if there is "substantial doubt about the entity's ability to continue as a going concern." The ASU is effective for annual periods ending after December 15, 2016, and interim periods thereafter and early adoption is permitted. The Company has adopted the methodologies prescribed by this ASU by the date required and there is no material impact on the Company’s financial statements. In January 2015, the FASB issued ASU 2015-01, Income Statement-Extraordinary and Unusual Items (Subtopic 225-20), Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items, which eliminates the concept of extraordinary items. Under this new guidance, entities will no longer be required to separately classify, present and disclose extraordinary events and transactions. The amendments in this update are effective for annual and interim periods beginning after December 15, 2015. The Company adopted ASU 2015-01 on January 1, 2016 and the adoption of this pronouncement did not have a material effect on the Company's financial position or results of operations. In February 2015, the FASB issued ASU No. 2015-02, "Consolidation (Topic 810): Amendments to the Consolidation Analysis"("ASU 2015-02"). ASU 2015-02 makes several modifications to the consolidation guidance for variable interest entities ("VIEs") and general partners' investments in limited partnerships, as well as modifications to the evaluation of whether limited partnerships are VIEs or voting interest entities. It is effective for annual and interim periods beginning after December 15, 2015. Early adoption is permitted. The Company adopted ASU 2015-02 on January 1, 2016 and the adoption of this pronouncement did not have a material effect on the Company's financial position or results of operations. In April 2015, FASB issued ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs (“ASU 2015-03”). In August 2015, FASB issued ASU 2015-15, Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements (“ASU 2015-15”). ASU 2015-03 will require that debt issuance costs be presented in the balance sheet as a deduction from the carrying amount of the debt. ASU 2015-15 allows an entity to present debt issuance costs associated with a revolving line of credit arrangement as an asset, regardless of whether a balance is outstanding. The recognition and measurement guidance for debt issuance costs are not affected by ASU 2015-03 or ASU 2015-15. These ASU’s are effective for annual reporting periods beginning after December 15, 2015, including interim periods within that reporting period, with early adoption permitted. ASU 2015-03 requires the Company to reclassify its deferred financing costs associated with its long-term debt from other assets to long-term debt on a retrospective basis. The new standard does not affect the Company’s results of operations or cash flows. The Company adopted ASU 2015-15 on January 1, 2016 and the adoption of this pronouncement did not have a material effect on the Company's financial position or results of operations. Recently Issued Accounting Pronouncements In May 2014, the Financial Accounting Standards Board issued Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers (ASU 2014-09). This accounting standard supersedes all existing US GAAP revenue recognition guidance. Under ASU 2014-09, a company will recognize revenue when it transfers the control of promised goods or services to customers in an amount that reflects the consideration which the company expects to collect in exchange for those goods or services. ASU 2014-09 will require additional disclosures in the notes to the financial statements and is effective for annual and interim reporting periods beginning after December 15, 2017. Early adoption is permitted only as of annual reporting periods, and interim periods therein, beginning after December 15, 2016. The Company is evaluating the impact of ASU 2014-09 and an estimate of the impact to the financial statements cannot be made at this time. On March 30, 2016, the FASB issued ASU 2016-09, Improvements to Employee Share-Based Payment Accounting, which amends ASC Topic 718, Compensation Stock Compensation. The ASU simplifies several aspects of the accounting for employee share-based payment transactions. ASU 2016-09 is effective for public business entities for annual reporting periods beginning after December 15, 2016, and interim periods within that reporting period. Early adoption will be permitted in any interim or annual period, with any adjustments reflected as of the beginning of the fiscal year of adoption. The Company is currently evaluating the impact of the adoption of this guidance on its financial statements, if any. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. The new guidance is intended to reduce diversity in practice in how certain transactions are classified in the statement of cash flows. ASU 2016-15 is effective for public business entities for fiscal years beginning after 15 December 2017, and interim periods within those years. For all other entities, it is effective for fiscal years beginning after 15 December 2018, and interim periods within fiscal years beginning after 15 December 2019. Early adoption is permitted. Entities will have to apply the guidance retrospectively, but if it is impracticable to do so for an issue, the amendments related to that issue would be applied prospectively. The Company is currently evaluating the impact of the adoption of this guidance on its financial statements, if any. On November 17, 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. Entities will be required to show the changes in the total of cash, cash equivalents, restricted cash and restricted cash equivalents in the statement of cash flows. As a result, entities will no longer present transfers between cash and cash equivalents and restricted cash and restricted cash equivalents in the statement of cash flows. The Company is currently evaluating the impact of the adoption of this guidance on its financial statements, if any. |
NOTES RECEIVABLE
NOTES RECEIVABLE | 12 Months Ended |
Dec. 31, 2016 | |
Receivables [Abstract] | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | 3. NOTES RECEIVABLE As at April 28, 2014, the Company received a promissory note of CAD $ 831,031 618,952 23.8 April 28, 2018 8 597,876 582,384 The Company recognized accretion on the note receivable of $ 44,181 3,641 38,324 7 21,349 110,912 |
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY | 12 Months Ended |
Dec. 31, 2016 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity Note Disclosure [Text Block] | 4. STOCKHOLDERS’ EQUITY Share Capital The Company has authorized 100,000,000 0.001 10,950,000 Stock Options On June 10, 2010, the Company granted key officers and directors 1,090,000 June 10, 2015 0.60 20 80 Weighted Average Number of Options Exercise Price Balance, December 31, 2014 200,000 0.60 Expired (200,000) 0.60 Balance, December 31, 2015 and 2016 - $ - As at December 31, 2015 and 2016, there are no stock options outstanding: The fair value of each stock option granted in the fiscal year 2010 was calculated as $ 0.30 1,056 There were no stock options granted in fiscal year 2016 and 2015. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Dec. 31, 2016 | |
Related Party Transactions [Abstract] | |
Related Party Transactions Disclosure [Text Block] | 5. RELATED PARTY TRANSACTIONS As at December 31, 2016, the Company has a non-interest bearing loan from the stockholders and directors in the amount of $ 38,628 2,628 As at December 31, 2016, the Company accrued director fees in the amount of $ 36,000 |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | 6. INCOME TAXES 0 2016 2015 $ $ Net Income (loss) for the year (37,706) (167,809) Statutory Cayman Islands corporate tax rate 0 % 0 % Expected tax recovery As at December 31, 2016, the Company has $nil unrecognized deductible temporary differences. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | 7. SUBSEQUENT EVENTS As agreed by both parties, the Company and Ningbo International Limited signed a debt settlement agreement on April 16, 2017 for the outstanding promissory note receivable. Ningbo International Limited shall repay the Company in the following schedule: ⋅ CDN $ 150,000 111,720 ⋅ CDN $ 100,000 77,480 ⋅ CDN $ 100,000 77,480 ⋅ The remaining principal amount of CDN$ 481,031 358,272 Also see note 3. |
COMPARATIVE FIGURES
COMPARATIVE FIGURES | 12 Months Ended |
Dec. 31, 2016 | |
Comparative Figures Disclosure [Abstract] | |
Comparative Figures Disclosure [Text Block] | 8. COMPARATIVE FIGURES Certain of comparative figures have been reclassified to conform with the presentation adopted in the current period. |
SIGNIFICANT ACCOUNTING POLICI15
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | Basis of presentation These financial statements have been prepared in conformity with generally accepted accounting principles in the United States of America (“US GAAP”) and are expressed in United States dollars, unless otherwise noted. All adjustments considered necessary for a fair presentation of financial position, results of operations and cash flows as at December 31, 2016 have been included. |
Use of Estimates, Policy [Policy Text Block] | Use of estimates The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from those estimates. Estimates and underlying assumptions are reviewed at each period end. Revisions to accounting estimates are recognized in the period in which the estimates are revised and in any future periods affected. Significant areas requiring the use of management estimates relate to fair value of financial instruments, deferred income tax assets and liabilities and stock based compensation. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and cash equivalents Cash equivalents usually consist of highly liquid investments which are readily convertible into cash with maturity of three months or less when purchased. The Company had no cash equivalents as of December 31, 2016 (2015 - $Nil). |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | Foreign currency translations The Company’s functional currency is the U.S. dollar. Transactions in other currencies are recorded in U.S. dollars at the rates of exchange prevailing when the transactions occur. Monetary assets and liabilities denominated in other currencies are translated into U.S. dollars at rates of exchange in effect at the balance sheet dates. Exchange gains and losses are recorded in the statements of operations. |
Income Tax, Policy [Policy Text Block] | Income taxes Income taxes are accounted for under the liability method of accounting for income taxes. Under the liability method, deferred tax liabilities and assets are recognized for the estimated future tax consequences attributable to differences between the amounts reported in the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply when the asset is realized or the liability is settled. The effect of a change in income tax rates on deferred tax liabilities and assets is recognized in income in the period in which the change occurs. Deferred tax assets are recognized to the extent that they are considered more likely than not to be realized. Per FASB ASC 740 “Income taxes” under the liability method, it is the Company’s policy to provide for uncertain tax positions and the related interest and penalties based upon management’s assessment of whether a tax benefit is more likely than not to be sustained upon examination by tax authorities. At December 31, 2016, the Company believes it has appropriately accounted for any unrecognized tax benefits. To the extent the Company prevails in matters for which a liability for an unrecognized benefit is established or is required to pay amounts in excess of the liability, the Company’s effective tax rate in a given financial statement period may be affected. Interest and penalties associated with the Company’s tax positions are recorded as Interest Expense. |
Comprehensive Income, Policy [Policy Text Block] | Comprehensive income (loss) The Company accounts for comprehensive income under the provisions of ASC Topic 220-10, Comprehensive Income - Overall, which establishes standards for reporting and display of comprehensive income, its components and accumulated balances. The Company is disclosing this information on its Statements of Operations and Comprehensive Loss. |
Financial Instruments and Concentration Of Risk [Policy Text Block] | Financial instruments and concentration of risks Fair value of financial instruments is made at a specific point in time, based on relevant information about financial markets and specific financial instruments. As these estimates are subjective in nature, involving uncertainties and matters of significant judgment, they cannot be determined with precision. Changes in assumptions can significantly affect estimated fair values. The carrying value of cash and cash equivalents and accounts payable and accrued liabilities approximates their fair value because of the short-term nature of these instruments. The fair value of long term notes receivable is estimated using discounted cash flow model. The Company is exposed to interest rates risk on its cash and cash equivalents. Management does not believe that the impact of interest rate fluctuate will be significant. The Company has cash and cash equivalents with various financial institutions, which may exceed insured limits throughout the year. The Company is exposed to credit loss for amounts in excess of insured limits in the event of non-performance by the institution. However, the Company does not anticipate non-performance. The Company operates and incurs significant expenditures outside of the United States of America and is exposed to foreign currency risks due to the currency exchange fluctuation between the subsidiaries’ functional currency and the Company’s reporting currency. |
Fair Value of Financial Instruments, Policy [Policy Text Block] | Fair value of financial instruments Fair Value of Financial Instruments the Company adopted SFAS ASC 820-10-50, “Fair Value Measurements”. This guidance defines fair value, establishes a three-level valuation hierarchy for disclosures of fair value measurement and enhances disclosure requirements for fair value measures. The three levels are defined as follows: · Level one Quoted market prices in active markets for identical assets or liabilities; · Level two Inputs other than level one inputs that are either directly or indirectly observable; and · Level three Unobservable inputs developed using estimates and assumptions, which are developed by the reporting entity and reflect those assumptions that a market participant would use. For the period ended December 31, 2016 and 2015, the fair value of cash and cash equivalents are recognized on the balance sheets as level one per the fair value hierarchy; and the fair value of notes receivable are recognized in the balance sheets as level three per the fair value hierarchy. |
Share-based Compensation, Option and Incentive Plans, Director Policy [Policy Text Block] | Stock-based compensation The Company has adopted the fair value method of accounting for stock-based compensation as recommended by ASC 718 Compensation Stock Compensation |
Earnings Per Share, Policy [Policy Text Block] | Earning (Loss) per share Basic loss per share is computed on the basis of the weighted average number of common shares outstanding during each period. Diluted loss per share is computed on the basis of the weighted average number of common shares and dilutive securities outstanding. |
Recently Adopted Accounting Pronouncements [Policy Text Block] | Recently Adopted Accounting Pronouncements In June 2014, the FASB issued ASU 2014-12, Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period. The standard provides guidance that a performance target that affects vesting of a share-based payment and that could be achieved after the requisite service condition is a performance condition. As a result, the target is not reflected in the estimation of the award's grant date fair value. Share-based compensation cost for such award would be recognized over the required service period, if it is probable that the performance condition will be achieved. ASU 2014-12 is effective for annual reporting periods beginning after December 15, 2015. Early adoption is permitted. The guidance should be applied on a prospective basis to awards that are granted or modified on or after the effective date of the standard. The Company adopted ASU 2014-09 on January 1, 2016 and the adoption of this pronouncement did not have a material effect on the Company's financial position or results of operations. In August 2014, the FASB issued ASU 2014-15, Presentation of Financial StatementsGoing Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern. The ASU provides guidance on determining when and how reporting entities must disclose going-concern uncertainties in their financial statements. The new standard requires management to perform interim and annual assessments of an entity's ability to continue as a going concern within one year of the date of issuance of the entity's financial statements (or within one year after the date on which the financial statements are available to be issued, when applicable). Further, an entity must provide certain disclosures if there is "substantial doubt about the entity's ability to continue as a going concern." The ASU is effective for annual periods ending after December 15, 2016, and interim periods thereafter and early adoption is permitted. The Company has adopted the methodologies prescribed by this ASU by the date required and there is no material impact on the Company’s financial statements. In January 2015, the FASB issued ASU 2015-01, Income Statement-Extraordinary and Unusual Items (Subtopic 225-20), Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items, which eliminates the concept of extraordinary items. Under this new guidance, entities will no longer be required to separately classify, present and disclose extraordinary events and transactions. The amendments in this update are effective for annual and interim periods beginning after December 15, 2015. The Company adopted ASU 2015-01 on January 1, 2016 and the adoption of this pronouncement did not have a material effect on the Company's financial position or results of operations. In February 2015, the FASB issued ASU No. 2015-02, "Consolidation (Topic 810): Amendments to the Consolidation Analysis"("ASU 2015-02"). ASU 2015-02 makes several modifications to the consolidation guidance for variable interest entities ("VIEs") and general partners' investments in limited partnerships, as well as modifications to the evaluation of whether limited partnerships are VIEs or voting interest entities. It is effective for annual and interim periods beginning after December 15, 2015. Early adoption is permitted. The Company adopted ASU 2015-02 on January 1, 2016 and the adoption of this pronouncement did not have a material effect on the Company's financial position or results of operations. In April 2015, FASB issued ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs (“ASU 2015-03”). In August 2015, FASB issued ASU 2015-15, Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements (“ASU 2015-15”). ASU 2015-03 will require that debt issuance costs be presented in the balance sheet as a deduction from the carrying amount of the debt. ASU 2015-15 allows an entity to present debt issuance costs associated with a revolving line of credit arrangement as an asset, regardless of whether a balance is outstanding. The recognition and measurement guidance for debt issuance costs are not affected by ASU 2015-03 or ASU 2015-15. These ASU’s are effective for annual reporting periods beginning after December 15, 2015, including interim periods within that reporting period, with early adoption permitted. ASU 2015-03 requires the Company to reclassify its deferred financing costs associated with its long-term debt from other assets to long-term debt on a retrospective basis. The new standard does not affect the Company’s results of operations or cash flows. The Company adopted ASU 2015-15 on January 1, 2016 and the adoption of this pronouncement did not have a material effect on the Company's financial position or results of operations. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Issued Accounting Pronouncements In May 2014, the Financial Accounting Standards Board issued Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers (ASU 2014-09). This accounting standard supersedes all existing US GAAP revenue recognition guidance. Under ASU 2014-09, a company will recognize revenue when it transfers the control of promised goods or services to customers in an amount that reflects the consideration which the company expects to collect in exchange for those goods or services. ASU 2014-09 will require additional disclosures in the notes to the financial statements and is effective for annual and interim reporting periods beginning after December 15, 2017. Early adoption is permitted only as of annual reporting periods, and interim periods therein, beginning after December 15, 2016. The Company is evaluating the impact of ASU 2014-09 and an estimate of the impact to the financial statements cannot be made at this time. On March 30, 2016, the FASB issued ASU 2016-09, Improvements to Employee Share-Based Payment Accounting, which amends ASC Topic 718, Compensation Stock Compensation. The ASU simplifies several aspects of the accounting for employee share-based payment transactions. ASU 2016-09 is effective for public business entities for annual reporting periods beginning after December 15, 2016, and interim periods within that reporting period. Early adoption will be permitted in any interim or annual period, with any adjustments reflected as of the beginning of the fiscal year of adoption. The Company is currently evaluating the impact of the adoption of this guidance on its financial statements, if any. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. The new guidance is intended to reduce diversity in practice in how certain transactions are classified in the statement of cash flows. ASU 2016-15 is effective for public business entities for fiscal years beginning after 15 December 2017, and interim periods within those years. For all other entities, it is effective for fiscal years beginning after 15 December 2018, and interim periods within fiscal years beginning after 15 December 2019. Early adoption is permitted. Entities will have to apply the guidance retrospectively, but if it is impracticable to do so for an issue, the amendments related to that issue would be applied prospectively. The Company is currently evaluating the impact of the adoption of this guidance on its financial statements, if any. On November 17, 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. Entities will be required to show the changes in the total of cash, cash equivalents, restricted cash and restricted cash equivalents in the statement of cash flows. As a result, entities will no longer present transfers between cash and cash equivalents and restricted cash and restricted cash equivalents in the statement of cash flows. The Company is currently evaluating the impact of the adoption of this guidance on its financial statements, if any. |
STOCKHOLDERS' EQUITY (Tables)
STOCKHOLDERS' EQUITY (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Stockholders' Equity Note [Abstract] | |
Schedule Of Share Based Compensation Stock Options Activity 1 [Table Text Block] | Weighted Average Number of Options Exercise Price Balance, December 31, 2014 200,000 0.60 Expired (200,000) 0.60 Balance, December 31, 2015 and 2016 - $ - |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | The Company is subject to the tax laws of Cayman Islands and the tax rate is 0 2016 2015 $ $ Net Income (loss) for the year (37,706) (167,809) Statutory Cayman Islands corporate tax rate 0 % 0 % Expected tax recovery |
NATURE OF OPERATIONS AND GOIN18
NATURE OF OPERATIONS AND GOING CONCERN (Details Textual) | 12 Months Ended | ||||||
Dec. 31, 2014CAD | Dec. 31, 2013USD ($) | Dec. 31, 2012USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2011 | Jan. 15, 2000 | |
Nature Of Operation [Line Items] | |||||||
Investments in and Advances to Affiliates, at Fair Value, Gross Additions | $ | $ 187,200 | $ 200,000 | |||||
Business Combination, Consideration Transferred | CAD | CAD 263,968 | ||||||
Debt Instrument, Face Amount | CAD | CAD 831,031 | ||||||
Working Capital Deficiency | $ | $ 6,790 | $ 46,408 | |||||
NAI Interactive Ltd [Member] | |||||||
Nature Of Operation [Line Items] | |||||||
Noncontrolling Interest, Ownership Percentage by Parent | 100.00% | ||||||
Cwn China [Member] | |||||||
Nature Of Operation [Line Items] | |||||||
Noncontrolling Interest, Ownership Percentage by Parent | 85.00% | 83.00% | |||||
Equity Method Investment, Ownership Percentage | 83.00% | 80.00% | |||||
CWN Capital [Member] | |||||||
Nature Of Operation [Line Items] | |||||||
Percentage of Equity Issued | 23.80% |
NOTES RECEIVABLE (Details Textu
NOTES RECEIVABLE (Details Textual) | 1 Months Ended | 12 Months Ended | |||
Apr. 28, 2016 | Apr. 28, 2014USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Apr. 28, 2014CAD | |
Investment Income, Interest | $ 38,324 | $ 0 | |||
Accounts, Notes, Loans and Financing Receivable, Net, Noncurrent | 597,876 | 582,384 | |||
Accretion Expense | 83,517 | 3,641 | |||
CWN Capital [Member] | |||||
Sale of Stock, Percentage of shares sold | 23.80% | ||||
Non-Interest Bearing Promissory Notes [Member] | |||||
Receivable with Imputed Interest, Face Amount | $ 618,952 | CAD 831,031 | |||
Foreign Currency Transaction Loss, before Tax | $ 21,349 | 110,912 | |||
Receivable with Imputed Interest, Effective Yield (Interest Rate) | 8.00% | 7.00% | |||
Receivable with Imputed Interest, Due Date | Apr. 28, 2018 | ||||
Accounts, Notes, Loans and Financing Receivable, Net, Noncurrent | $ 597,876 | $ 582,384 |
STOCKHOLDERS' EQUITY (Details)
STOCKHOLDERS' EQUITY (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Balance - Number of Options (Beginning balance) | 0 | 200,000 |
Expired - Number of Options | (200,000) | |
Balance - Number of Options (Ending balance) | 0 | 0 |
Balance - Weighted Average Exercise Price (Beginning balance) | $ 0 | $ 0.6 |
Expired - Weighted Average Exercise Price | 0.60 | |
Balance - Weighted Average Exercise Price (Ending balance) | $ 0 | $ 0 |
STOCKHOLDERS' EQUITY (Details T
STOCKHOLDERS' EQUITY (Details Textual) - USD ($) | Jun. 10, 2010 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2010 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures | 1,090,000 | |||
Ordinary price per share on date of grant | $ 0.60 | |||
Share Based Compensation Arrangement By Share Based Payment Award Vesting Percentage 1 | 20.00% | |||
Share Based Compensation Arrangement By Share Based Payment Award Vesting Percentage 2 | 80.00% | |||
Stock based compensation | $ 0 | $ 1,056 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 0.30 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Date | Jun. 10, 2015 | |||
Common Stock, Shares Authorized | 100,000,000 | 100,000,000 | ||
Common Stock, Par Or Stated Value Per Share | $ 0.001 | $ 0.001 | ||
Common Stock, Shares, Issued | 10,950,000 | 10,950,000 | ||
Common Stock, Shares, Outstanding | 10,950,000 | 10,950,000 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Related Party Transaction [Line Items] | ||
Directors' remuneration | $ 36,000 | $ 0 |
Noninterest Advance To Related Party | $ 38,628 | $ 2,628 |
INCOME TAXES (Details)
INCOME TAXES (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Effective Income Tax Rate Reconciliation [Line Items] | ||
Net Income (loss) for the year | $ (37,706) | $ (167,809) |
Statutory Cayman Islands corporate tax rate | 0.00% | 0.00% |
Expected tax recovery | $ 0 | $ 0 |
INCOME TAXES (Details Textual)
INCOME TAXES (Details Textual) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Income Taxes [Line Items] | ||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate | 0.00% | 0.00% |
SUBSEQUENT EVENTS (Details Text
SUBSEQUENT EVENTS (Details Textual) - Apr. 16, 2017 - Subsequent Event [Member] - Ningbo International Limited [Member] | USD ($) | CAD |
Receivable on or bebore April 30,2017 [Member] | Non interest Bearing Unsecured Promissory Notes [Member] | ||
Subsequent Event [Line Items] | ||
Financing Receivable, Net | $ | $ 111,720 | |
Recieved on or bebore Dec 31,2018 [Member] | Non interest Bearing Unsecured Promissory Notes [Member] | ||
Subsequent Event [Line Items] | ||
Financing Receivable, Net | 77,480 | CAD 100,000 |
Recieved on or bebore Dec 31,2019 [Member] | Non interest Bearing Unsecured Promissory Notes [Member] | ||
Subsequent Event [Line Items] | ||
Financing Receivable, Net | 77,480 | 100,000 |
Recieved on or bebore Dec 31,2020 [Member] | Non interest Bearing Unsecured Promissory Notes [Member] | ||
Subsequent Event [Line Items] | ||
Financing Receivable, Net | $ 358,272 | 481,031 |
Non-Interest Bearing Promissory Notes [Member] | Receivable on or bebore April 30,2017 [Member] | ||
Subsequent Event [Line Items] | ||
Financing Receivable, Net | CAD | CAD 150,000 |