Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Apr. 30, 2016 | Jun. 17, 2016 | |
Document And Entity Information | ||
Entity Registrant Name | INNOVATIVE DESIGNS INC | |
Entity Central Index Key | 1,190,370 | |
Document Type | 10-Q/A | |
Trading Symbol | IVDN | |
Document Period End Date | Apr. 30, 2016 | |
Amendment Flag | true | |
Current Fiscal Year End Date | --10-31 | |
Entity a Well-known Seasoned Issuer | No | |
Entity a Voluntary Filer | No | |
Entity's Reporting Status Current | Yes | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 25,340,310 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2,016 | |
Amendment Description | The purpose of this Amendment No. 1 to Innovative Designs, Inc. Quarterly Report on Form 10-Q for the three months ended April 30, 2016 is to amend the financial statements and the Managements Discussion and Analysis of Financial Condition and Results of Operations. We are filing this Amendment No. 1 to reflect the restatement of our financial statements contained herein. During September of 2016, management of the Company concluded that because of an error in calculating costs for House Wrap that was produced during the current fiscal year, the Company should restate its previously issued financial statements for the three month period ended April 30, 2016. Please see Note 3 Restatement contained in the Notes to the Financial Statements appearing in this Form 10-Q/A Amendment 1 which further describes the effect of these restatements. No other changes have been made to the Form 10-Q. This Amendment No. 1 to the Form 10-Q is presented as of the filing date of the original Form 10-Q and does not modify or update in any way the disclosures made in the original Form 10-Q. Pursuant to Rule 12b-15 under the Securities and Exchange Act of 1934, as amended, this Form 10-Q/A includes new certifications by our principal executive officer and principal financial officer under Sections 302 and 906 of the Sarbanes-Oxley Act of 2002. Except for the items noted above no other information included in the Companys original Form 10-Q is being amended by this Form 10-Q/A. |
CONDENSED BALANCE SHEETS (Unaud
CONDENSED BALANCE SHEETS (Unaudited) - USD ($) | Apr. 30, 2016 | Oct. 31, 2015 |
CURRENT ASSETS | ||
Cash | $ 969,415 | $ 1,151,904 |
Accounts receivable | 101,757 | 85,827 |
Inventory - net of obsolete inventory reserve of $40,000 | 999,324 | 924,054 |
Inventory on consignment | 1,625 | |
Deposits on inventory | 78,320 | |
Prepaid expenses | 17,804 | 7,619 |
Total current assets | 2,089,925 | 2,247,724 |
PROPERTY AND EQUIPMENT - NET | 155,894 | 51,200 |
OTHER ASSETS | ||
Deposits on equipment | 587,000 | 420,000 |
TOTAL ASSETS | 2,832,819 | 2,718,924 |
CURRENT LIABILITIES | ||
Accounts payable | 84,911 | 119,360 |
Current portion of notes payable | 15,467 | 14,657 |
Accrued interest expense | 48,413 | 78,251 |
Due to shareholders | 244,500 | 354,130 |
Accrued expenses | 128,015 | 92,533 |
Total current liabilities | 521,306 | 658,931 |
Long-term portion of notes payable | 213,411 | 235,146 |
TOTAL LIABILITIES | 734,717 | 894,077 |
STOCKHOLDERS' EQUITY | ||
Preferred stock, $0.0001 par value, 25,000,000 shares authorized | ||
Common stock, $0.0001 par value, 100,000,000 shares authorized, and 25,340,310 and 24,371,310 issued and outstanding as of April 30, 2016 and October 31, 2015 | 2,534 | 2,437 |
Additional paid-in capital | 9,440,677 | 8,902,744 |
Accumulated deficit | (7,345,109) | (7,080,334) |
Total stockholders' equity | 2,098,102 | 1,824,847 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 2,832,819 | $ 2,718,924 |
CONDENSED BALANCE SHEETS (Unau3
CONDENSED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) | Apr. 30, 2016 | Oct. 31, 2015 |
Statement of Financial Position [Abstract] | ||
Inventory obsolete reserve | $ 40,000 | $ 40,000 |
Preferred stock, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Preferred stock, authorized | 25,000,000 | 25,000,000 |
Common stock, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Common stock, authorized | 100,000,000 | 100,000,000 |
Common stock, issued | 25,340,310 | 24,371,310 |
Common stock, outstanding | 25,340,310 | 24,371,310 |
CONDENSED STATEMENTS OF OPERATI
CONDENSED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Apr. 30, 2016 | Apr. 30, 2015 | Apr. 30, 2016 | Apr. 30, 2015 | |
Income Statement [Abstract] | ||||
REVENUES - NET | $ 110,278 | $ 216,377 | $ 338,164 | $ 502,781 |
OPERATING EXPENSES: | ||||
Cost of sales | 70,225 | 120,178 | 168,979 | 252,914 |
Selling, general and administrative expenses | 152,090 | 164,874 | 395,954 | 316,781 |
Total operating expense | 222,315 | 285,052 | 564,933 | 569,695 |
LOSS FROM OPERATIONS | (112,037) | (68,675) | (226,769) | (66,914) |
OTHER INCOME/(EXPENSE) | ||||
Miscellaneous income | 385 | |||
Interest expense | (19,526) | (21,773) | (38,006) | (39,509) |
Total other expense | (19,526) | (21,773) | (38,006) | (39,124) |
NET LOSS | $ (131,563) | $ (90,448) | $ (264,775) | $ (106,038) |
PER SHARE INFORMATION | ||||
Net Loss Per Common Share (in dollars per share) | $ (0.005) | $ (0.004) | $ (0.011) | $ (0.005) |
Weighted Average Number of Common Shares Outstanding (in shares) | 25,185,643 | 23,108,564 | 24,896,722 | 22,870,758 |
CONDENSED STATEMENTS OF CHANGES
CONDENSED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Unaudited) - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] | Total |
Balance at beginning at Oct. 31, 2014 | $ 2,244 | $ 7,522,487 | $ (6,568,734) | $ 955,997 |
Balance at beginning (in shares) at Oct. 31, 2014 | 22,438,043 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Shares issued for services | $ 10 | 98,990 | 99,000 | |
Shares issued for services (in shares) | 107,000 | |||
Shares issued for debt conversion | $ 12 | 91,988 | 92,000 | |
Shares issued for debt conversion (in shares) | 122,667 | |||
Sale of stock | $ 171 | 1,189,279 | 1,189,450 | |
Sale of stock (in shares) | 1,703,600 | |||
Net loss (restated) | (511,600) | (511,600) | ||
Balance at end at Oct. 31, 2015 | $ 2,437 | 8,902,744 | (7,080,334) | 1,824,847 |
Balance at end (in shares) at Oct. 31, 2015 | 24,371,310 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Shares issued for services | $ 12 | 76,188 | 76,200 | |
Shares issued for services (in shares) | 120,000 | |||
Sale of stock | $ 85 | 461,745 | 461,830 | |
Sale of stock (in shares) | 849,000 | |||
Net loss (restated) | (264,775) | (264,775) | ||
Balance at end at Apr. 30, 2016 | $ 2,534 | $ 9,440,677 | $ (7,345,109) | $ 2,098,102 |
Balance at end (in shares) at Apr. 30, 2016 | 25,340,310 |
CONDENSED STATEMENTS OF CASH FL
CONDENSED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) | 6 Months Ended | |
Apr. 30, 2016 | Apr. 30, 2015 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net loss | $ (264,775) | $ (106,038) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Common stock issued for services | 52,200 | 12,000 |
Amortization | 656 | |
Depreciation | 7,605 | 4,811 |
Increase (decrease) from changes in: | ||
Accounts receivable | (15,930) | 16,522 |
Other receivable | 30,000 | |
Inventory | (75,270) | 15,527 |
Inventory on consignment | (1,625) | |
Deposits on inventory | 78,320 | |
Prepaid expenses | (10,185) | (8,106) |
Accounts payable | (34,449) | (56,356) |
Accrued interest | (29,838) | 21,867 |
Accrued expenses | 35,482 | 61,646 |
Net cash used in operating activities | (258,465) | (7,471) |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Deposits on equipment | (167,000) | |
Capital expenditures | (88,299) | |
Net cash used in investing activities | (255,299) | |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Proceeds from sale of stock | 461,830 | 564,450 |
Payments on shareholder advances | (109,630) | (50,000) |
Proceeds from shareholder advances | 69,130 | |
Payments on notes payable | (20,925) | (110,118) |
Net cash provided by financing activities | 331,275 | 473,462 |
Net (decrease) increase in cash | (182,489) | 465,991 |
CASH, BEGINNING OF YEAR | 1,151,904 | 988,681 |
CASH, END OF THE PERIOD | 969,415 | 1,454,672 |
Supplemental disclosure of cash flow information: | ||
Cash paid for interest | 67,844 | 17,642 |
Supplemental schedule of noncash financing activies: | ||
Stock issued for services related to fixed asset additions | $ 24,000 |
ACCOUNTING CHARGES AND ERROR CO
ACCOUNTING CHARGES AND ERROR CORRECTIONS | 6 Months Ended |
Apr. 30, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
ACCOUNTING CHARGES AND ERROR CORRECTIONS | NOTE 1. In the opinion of management, the accompanying unaudited financial statements contain all adjustments necessary to present fairly Innovative Designs, Inc.s financial position as of April 30, 2016, the changes therein for the three and nine month periods then ended and the results of operations for the three and nine month periods ended April 30, 2016 and 2015. |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 6 Months Ended |
Apr. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION | NOTE 2. The financial statements included in the Form 10-Q are presented in accordance with the requirements of the Form and do not include all of the disclosures required by accounting principles generally accepted in the United States of America. For additional information, reference is made to the Companys annual report on Form 10-K for the fiscal year ended October 31, 2015. The results of operations for the three and six month periods ended April 30, 2016 and 2015 are not necessarily indicative of operating results for the full year. |
RESTATEMENT
RESTATEMENT | 6 Months Ended |
Apr. 30, 2016 | |
Accounting Changes and Error Corrections [Abstract] | |
RESTATEMENT | NOTE 3. RESTATEMENT The Company is filing this amendment to its Quarterly Report on Form 10-Q/A for the period ended April 30, 2016 to amend and restate the financial statements and other financial information for the three months ended April 30, 2016. During 2016, the Company improperly calculated costs associated with House Wrap that was produced during the current fiscal year. The Company has reviewed all accounting transactions for the quarters ended January 31, 2016 and April 30, 2016, and has determined that inventory, accrued expenses, cost of sales, net income and earnings per share needed to be restated for the quarter ended April 30, 2016 related to improperly calculated costs. Three Month Periods Ended April 30, Six Month Periods Ended April 30, 2016 2016 as reported as adjusted as reported as adjusted Statement of Operations Cost of sales $ 84,197 $ 70,225 $ 182,951 $ 168,979 Loss from operations (126,009 ) (112,037 ) (240,741 ) (226,769 ) Net loss $ (145,535 ) $ (131,563 ) $ (278,747 ) $ (264,775 ) Net Loss Per Common Share $ (0.006 ) $ (0.005 ) $ (0.011 ) $ (0.011 ) April 30, 2016 as reported as adjusted Balance Sheet Inventory - net of obsolete reserve of $40,000 $ 1,008,165 $ 999,324 Total Asset 2,841,660 2,832,819 Accrued expenses 150,828 128,015 Total Liabilities 757,530 734,717 Stockholders Equity 2,084,130 2,098,102 Total Liabilities And Stockholders Equity $ 2,841,660 $ 2,832,819 April 30, 2016 as reported as adjusted Statement of Stockholders' Equity Net loss $ (278,747 ) $ (264,775 ) Stockholders deficit (7,359,081 ) (7,345,109 ) Total stockholders equity $ 2,084,130 $ 2,098,102 |
INVENTORY
INVENTORY | 6 Months Ended |
Apr. 30, 2016 | |
Inventory Disclosure [Abstract] | |
INVENTORY | NOTE 4. INVENTORY Inventory consists principally of purchased finished goods. Inventory is stated at the lower of cost or net realizable value on a first-in, first-out basis. Innovative Designs, Inc. (the Company) has decided to discontinue the manufacturing of its hunting and swimming line of apparel. The Company has booked a reserve against this inventory at April 30, 2016 and October 31, 2015 of $40,000. Management will continue to evaluate its obsolete inventory reserve throughout the year and make adjustments as needed. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 6 Months Ended |
Apr. 30, 2016 | |
PER SHARE INFORMATION | |
EARNINGS PER SHARE | NOTE 5. EARNINGS PER SHARE The Company calculates net income (loss) per share in accordance with Financial Accounting Standards Board (FASB) Accounting Standard Codification (ASC) Topic 260 Earnings per Share |
INCOME TAXES
INCOME TAXES | 6 Months Ended |
Apr. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | NOTE 6. INCOME TAXES The Company accounts for income taxes in accordance with ASC Topic 740 "Income Taxes" Deferred income taxes are provided for differences between the tax bases of assets and liabilities and the financial reporting amounts at the end of the period, and for net operating loss and tax credit carryforwards available to offset future taxable income. Changes in enacted tax rates or laws result in adjustments to recorded deferred tax assets and liabilities in the periods in which the tax laws are enacted or tax rates are changed. The Company will continue to evaluate its income tax obligation throughout the year and will record a tax provision when it is necessary. |
SHIPPING AND HANDLING COSTS
SHIPPING AND HANDLING COSTS | 6 Months Ended |
Apr. 30, 2016 | |
Shipping And Handling Costs | |
SHIPPING AND HANDLING COSTS | NOTE 7. SHIPPING AND HANDLING COSTS The Company pays shipping and handling costs on behalf of customers for purchased apparel merchandise. These costs are billed back to the customer through the billing invoice. The shipping and handling costs associated with merchandise ordered by the Company are included as part of inventory as these costs are allocated across the merchandise received. With House Wrap orders, the customer pays the shipping cost. The shipping and handling costs billed back to customer orders was approximately $17,000 and $10,000 for the six month periods ended April 30, 2016 and 2015, respectively. These amounts are included in both revenue and selling, general and administrative expenses. |
COMMON STOCK
COMMON STOCK | 6 Months Ended |
Apr. 30, 2016 | |
Stockholders' Equity Note [Abstract] | |
COMMON STOCK | NOTE 8. COMMON STOCK During the three month period ended January 31, 2016, the Company sold its stock to seven investors. The stock was issued for prices from $0.54 - $0.60 per share. A total of 579,000 shares of common stock were sold, resulting in proceeds of $314,830. In addition, the Company issued 90,000 shares to three individuals for services performed during the period. The shares issued were valued at $0.50 - $0.73 per share or an aggregate price of $52,200. We believe that Section 4(2) of the Securities Act of 1933, as amended, was available because these transactions did not involve a public offering and there was no general solicitation or general advertising involved in these transactions. We placed legends on the stock certificates stating that the securities were not registered under the Securities Act and set forth the restrictions on their transferability and sale. During the three month period ended April 30, 2016, the Company sold its stock to four investors. The stock was issued for prices from $0.52-$0.80 per share. A total of 300,000 shares of common stock were sold, resulting in proceeds of $171,000. We believe that Section 4(2) of the Securities Act of 1933, as amended, was available because these transactions did not involve a public offering and there was no general solicitation or general advertising involved in these transactions. We placed legends on the stock certificates stating that the securities were not registered under the Securities Act and set forth the restrictions on their transferability and sale. |
DEPOSITS ON EQUIPMENT
DEPOSITS ON EQUIPMENT | 6 Months Ended |
Apr. 30, 2016 | |
Deposit Assets [Abstract] | |
DEPOSITS ON EQUIPMENT | NOTE 9. DEPOSITS ON EQUIPMENT On July 12, 2015 the Company reached an agreement with Ketut Jaya to purchase the machinery and equipment utilized to produce the INSULTEX material. The purchase price is $700,000 and to be made in four installments. The first installment of $300,000 is to be made at the execution of the agreement. The second installment of $200,000 is to be made when the machinery and equipment is ready to be shipped to the United States. The third installment of $100,000 is to be made once the machinery and equipment is producing INSULTEX, and the fourth and final installment of $100,000 is to made after the first commercial production run of INSULTEX is completed. As of April 30, 2016, the Company has made payments of $570,000. Additionally, the Company has incurred $17,000 of additional expenses related to shipping, site improvements and installation of the equipment. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 6 Months Ended |
Apr. 30, 2016 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | NOTE 10. SEGMENT INFORMATION We have organized our operations into two segments. We rely on an internal management reporting process that provides segment information for purposes of making financial decisions and allocating resources. The following tables present our business segment information for the six month periods ended April 30, 2016 and 2015: 2016 2015 Revenues: Apparel $ 193,201 $ 325,616 Housewrap 144,963 177,165 Total Revenues $ 338,164 $ 502,781 Assets: Apparel $ 1,970,346 $ 2,084,565 Housewrap 862,473 354,635 Total $ 2,832,819 $ 2,439,200 Capital Expenditures: Housewrap $ 88,299 $ - Total $ 88,299 $ - Depreciation: Apparel $ 921 $ 945 Housewrap 6,684 3,866 Total $ 7,605 $ 4,811 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Apr. 30, 2016 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | NOTE 11. SUBSEQUENT EVENTS The Company has evaluated subsequent events in accordance with ASC Topic 855, Subsequent Events On May 24, 2016, the Company was informed by staff of the Federal Trade Commission that a non-public investigation concerning the R value of the Companys INSULTEX House Wrap products was complete. The Company is commencing discussion with the staff of the Federal Trade Commission regarding potential resolution to these matters. |
RESTATEMENT (Tables)
RESTATEMENT (Tables) | 6 Months Ended |
Apr. 30, 2016 | |
Accounting Changes and Error Corrections [Abstract] | |
Schedule of amended and restated financial statements | The Company has reviewed all accounting transactions for the quarters ended January 31, 2016 and April 30, 2016, and has determined that inventory, accrued expenses, cost of sales, net income and earnings per share needed to be restated for the quarter ended April 30, 2016 related to improperly calculated costs. Three Month Periods Ended April 30, Six Month Periods Ended April 30, 2016 2016 as reported as adjusted as reported as adjusted Statement of Operations Cost of sales $ 84,197 $ 70,225 $ 182,951 $ 168,979 Loss from operations (126,009 ) (112,037 ) (240,741 ) (226,769 ) Net loss $ (145,535 ) $ (131,563 ) $ (278,747 ) $ (264,775 ) Net Loss Per Common Share $ (0.006 ) $ (0.005 ) $ (0.011 ) $ (0.011 ) April 30, 2016 as reported as adjusted Balance Sheet Inventory - net of obsolete reserve of $40,000 $ 1,008,165 $ 999,324 Total Asset 2,841,660 2,832,819 Accrued expenses 150,828 128,015 Total Liabilities 757,530 734,717 Stockholders Equity 2,084,130 2,098,102 Total Liabilities And Stockholders Equity $ 2,841,660 $ 2,832,819 April 30, 2016 as reported as adjusted Statement of Stockholders' Equity Net loss $ (278,747 ) $ (264,775 ) Stockholders deficit (7,359,081 ) (7,345,109 ) Total stockholders equity $ 2,084,130 $ 2,098,102 |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 6 Months Ended |
Apr. 30, 2016 | |
Segment Reporting [Abstract] | |
Schedule of business segment information | The following tables present our business segment information for the six month periods ended April 30, 2016 and 2015: 2016 2015 Revenues: Apparel $ 193,201 $ 325,616 Housewrap 144,963 177,165 Total Revenues $ 338,164 $ 502,781 Assets: Apparel $ 1,970,346 $ 2,084,565 Housewrap 871,314 354,635 Total $ 2,841,660 $ 2,439,200 Capital Expenditures: Housewrap $ 112,299 $ - Total $ 112,299 $ - Depreciation: Apparel $ 921 $ 945 Housewrap 6,684 3,866 Total $ 7,605 $ 4,811 |
RESTATEMENT (Details)
RESTATEMENT (Details) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Apr. 30, 2016 | Apr. 30, 2015 | Apr. 30, 2016 | Apr. 30, 2015 | Oct. 31, 2015 | |
Statement of Operations | |||||
Cost of sales | $ 70,225 | $ 120,178 | $ 168,979 | $ 252,914 | |
Loss from operations | (112,037) | (68,675) | (226,769) | (66,914) | |
Net loss | $ (131,563) | $ (90,448) | $ (264,775) | $ (106,038) | $ (511,600) |
Net Loss Per Common Share | $ (0.005) | $ (0.004) | $ (0.011) | $ (0.005) | |
As Reported [Member] | |||||
Statement of Operations | |||||
Cost of sales | $ 84,197 | $ 182,951 | |||
Loss from operations | (126,009) | (240,741) | |||
Net loss | $ (145,535) | $ (278,747) | |||
Net Loss Per Common Share | $ (0.006) | $ (0.011) | |||
As Adjusted [Member] | |||||
Statement of Operations | |||||
Cost of sales | $ 70,225 | $ 168,979 | |||
Loss from operations | (112,037) | (226,769) | |||
Net loss | $ (131,563) | $ (264,775) | |||
Net Loss Per Common Share | $ (0.005) | $ (0.011) |
RESTATEMENT (Details 1)
RESTATEMENT (Details 1) - USD ($) | Apr. 30, 2016 | Oct. 31, 2015 | Apr. 30, 2015 | Oct. 31, 2014 |
Balance Sheet | ||||
Inventory - net of obsolete inventory reserve of $40,000 | $ 999,324 | $ 924,054 | ||
Total Asset | 2,832,819 | 2,718,924 | $ 2,439,200 | |
Accrued expenses | 128,015 | 92,533 | ||
Total Liabilities | 734,717 | 894,077 | ||
Stockholders Equity | 2,098,102 | 1,824,847 | $ 955,997 | |
Total Liabilities And Stockholders Equity | 2,832,819 | 2,718,924 | ||
Inventory obsolete reserve | 40,000 | $ 40,000 | ||
As Reported [Member] | ||||
Balance Sheet | ||||
Inventory - net of obsolete inventory reserve of $40,000 | 1,008,165 | |||
Total Asset | 2,841,660 | |||
Accrued expenses | 150,828 | |||
Total Liabilities | 757,530 | |||
Stockholders Equity | 2,084,130 | |||
Total Liabilities And Stockholders Equity | 2,841,660 | |||
Inventory obsolete reserve | 40,000 | |||
As Adjusted [Member] | ||||
Balance Sheet | ||||
Inventory - net of obsolete inventory reserve of $40,000 | 999,324 | |||
Total Asset | 2,832,819 | |||
Accrued expenses | 128,015 | |||
Total Liabilities | 734,717 | |||
Stockholders Equity | 2,098,102 | |||
Total Liabilities And Stockholders Equity | 2,832,819 | |||
Inventory obsolete reserve | $ 40,000 |
RESTATEMENT (Details 2)
RESTATEMENT (Details 2) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Apr. 30, 2016 | Apr. 30, 2015 | Apr. 30, 2016 | Apr. 30, 2015 | Oct. 31, 2015 | Oct. 31, 2014 | |
Net loss | $ (131,563) | $ (90,448) | $ (264,775) | $ (106,038) | $ (511,600) | |
Stockholders deficit | (7,345,109) | (7,345,109) | (7,080,334) | |||
Total stockholders equity | 2,098,102 | 2,098,102 | $ 1,824,847 | $ 955,997 | ||
As Reported [Member] | ||||||
Net loss | (145,535) | (278,747) | ||||
Stockholders deficit | (7,359,081) | (7,359,081) | ||||
Total stockholders equity | 2,084,130 | 2,084,130 | ||||
As Adjusted [Member] | ||||||
Net loss | (131,563) | (264,775) | ||||
Stockholders deficit | (7,345,109) | (7,345,109) | ||||
Total stockholders equity | $ 2,098,102 | $ 2,098,102 |
INVENTORY (Details Narrative)
INVENTORY (Details Narrative) - USD ($) | Apr. 30, 2016 | Oct. 31, 2015 |
Inventory Disclosure [Abstract] | ||
Inventory valuation reserves | $ 40,000 | $ 40,000 |
SHIPPING AND HANDLING COSTS (De
SHIPPING AND HANDLING COSTS (Details Narrative) - USD ($) | 6 Months Ended | |
Apr. 30, 2016 | Apr. 30, 2015 | |
Shipping And Handling Costs | ||
Shipping and handling costs | $ 17,000 | $ 10,000 |
COMMON STOCK (Details Narrative
COMMON STOCK (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |
Apr. 30, 2016 | Jan. 31, 2016 | Apr. 30, 2016 | Oct. 31, 2015 | |
Value of shares issued during the period | $ 461,830 | $ 1,189,450 | ||
Value of shares issued for services | $ 76,200 | $ 99,000 | ||
Seven Investors [Member] | ||||
Number of shares issued during the period | 579,000 | |||
Value of shares issued during the period | $ 314,830 | |||
Seven Investors [Member] | Minimum [Member] | ||||
Share price (in dollars per share) | $ 0.54 | |||
Seven Investors [Member] | Maximum [Member] | ||||
Share price (in dollars per share) | $ 0.60 | |||
Three Individuals [Member] | ||||
Number of shares issued for services | 90,000 | |||
Value of shares issued for services | $ 52,200 | |||
Three Individuals [Member] | Minimum [Member] | ||||
Share price (in dollars per share) | $ 0.50 | |||
Three Individuals [Member] | Maximum [Member] | ||||
Share price (in dollars per share) | $ 0.73 | |||
Four Investors [Member] | ||||
Number of shares issued during the period | 300,000 | |||
Value of shares issued during the period | $ 171,000 | |||
Four Investors [Member] | Minimum [Member] | ||||
Share price (in dollars per share) | $ 0.52 | $ 0.52 | ||
Four Investors [Member] | Maximum [Member] | ||||
Share price (in dollars per share) | $ 0.80 | $ 0.80 |
DEPOSITS ON EQUIPMENT (Details
DEPOSITS ON EQUIPMENT (Details Narrative) | 6 Months Ended |
Apr. 30, 2016USD ($) | |
Deposit Assets [Abstract] | |
Description of assets contract | The purchase price is $700,000 and to be made in four installments. The first installment of $300,000 is to be made at the execution of the agreement. The second installment of $200,000 is to be made when the machinery and equipment is ready to be shipped to the United States. The third installment of $100,000 is to be made once the machinery and equipment is producing INSULTEX, and the fourth and final installment of $100,000 is to made after the first commercial production run of INSULTEX is completed. |
Purchase price of equipment | $ 700,000 |
First installment for equipment | 300,000 |
Second installment for equipment | 200,000 |
Third installment for equipment | 100,000 |
Fourth installment for equipment | 100,000 |
Deposits on equipment | 570,000 |
Shipping, site improvements and installation of the equipment expenses | $ 17,000 |
SEGMENT INFORMATION (Details Na
SEGMENT INFORMATION (Details Narrative) | 6 Months Ended |
Apr. 30, 2016N | |
Segment Reporting [Abstract] | |
Number of reportable segments | 2 |
SEGMENT INFORMATION (Details)
SEGMENT INFORMATION (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Apr. 30, 2016 | Apr. 30, 2015 | Apr. 30, 2016 | Apr. 30, 2015 | Oct. 31, 2015 | |
Total Revenues | $ 110,278 | $ 216,377 | $ 338,164 | $ 502,781 | |
Total Assets | 2,832,819 | 2,439,200 | 2,832,819 | 2,439,200 | $ 2,718,924 |
Total Capital Expenditures | 88,299 | ||||
Total Depreciation | 7,605 | 4,811 | |||
Apparel [Member] | |||||
Total Revenues | 193,201 | 325,616 | |||
Total Assets | 1,970,346 | 2,084,565 | 1,970,346 | 2,084,565 | |
Total Depreciation | 921 | 945 | |||
Housewrap [Member] | |||||
Total Revenues | 144,963 | 177,165 | |||
Total Assets | $ 862,473 | $ 354,635 | 862,473 | 354,635 | |
Total Capital Expenditures | 88,299 | ||||
Total Depreciation | $ 6,684 | $ 3,866 |