Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2014 | 1-May-14 | |
Document and Entity Information [Abstract] | ' | ' |
Entity Registrant Name | 'ACRO INC. | ' |
Entity Central Index Key | '0001228386 | ' |
Amendment Flag | 'false | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 31-Mar-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Entity Filer Category | 'Smaller Reporting Company | ' |
Entity Common Stock, Shares Outstanding | ' | 19,349,000 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
CURRENT ASSETS: | ' | ' |
Other accounts receivable | $793 | $793 |
Property and equipment, net | ' | ' |
TOTAL ASSETS | 793 | 793 |
CURRENT LIABILITIES: | ' | ' |
Related parties | 301,500 | 275,182 |
Accounts payable | 2,750 | 2,750 |
Related party - convertible promissory note | 27,294 | ' |
TOTAL CURRENT LIABILITIES | 331,544 | 277,932 |
SHAREHOLDERS' DEFICIENCY: | ' | ' |
Share capital - Common stock of $ 0.01 par value - 700,000,000 shares authorized; 19,349,000 shares issued and outstanding as of March 31, 2014 and December 31, 2013. | 193,488 | 193,488 |
Additional paid-in capital | 4,097,913 | 4,097,913 |
Capital reserve | 895,227 | 895,227 |
Deficit accumulated during the development stage | -5,517,379 | -5,463,767 |
TOTAL SHAREHOLDERS' DEFICIENCY | -330,751 | -277,139 |
TOTAL LIABILITIES AND SHAREHOLDERS' DEFICIENCY | $793 | $793 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
Balance Sheets [Abstract] | ' | ' |
Common stock; par value | $0.01 | $0.01 |
Common stock; shares authorized | 700,000,000 | 700,000,000 |
Common stock; shares issued | 19,349,000 | 19,349,000 |
Common stock; shares outstanding | 19,349,000 | 19,349,000 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Loss (Unaudited) (USD $) | 3 Months Ended | 142 Months Ended | ||||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | ||||
Statements of Comprehensive Loss [Abstract] | ' | ' | ' | |||
Revenues | ' | ' | $227,803 | |||
Costs and expenses: | ' | ' | ' | |||
Research and development | ' | ' | -585,401 | |||
Sales and marketing | ' | ' | -324,350 | |||
General and administrative | -24,680 | [1] | -97,005 | [1] | -4,052,777 | [1] |
Impairment of Intangible assets | ' | ' | -62,507 | |||
Total operating expenses | -24,680 | -97,005 | -5,025,035 | |||
Operating loss | -24,680 | -97,005 | -4,797,232 | |||
Interest and other expenses, net | -1,638 | -33,429 | -138,205 | |||
Expenses for Benefit Conversion Feature | -27,294 | ' | -813,347 | |||
Income from forgiveness of debts | ' | ' | 299,000 | |||
Loss before taxes on income | -53,612 | -130,434 | -5,449,784 | |||
Taxes on income | ' | ' | -67,595 | |||
Net loss and net Comprehensive loss | ($53,612) | ($130,434) | ($5,517,379) | |||
Basic and diluted net loss per common share | $0 | ($0.01) | ($0.65) | |||
Nunumber of shares used in computing basic and diluted net loss per share | 19,349,000 | 19,349,000 | 8,524,382 | |||
[1] | * * Includes $0, $0 and $1,118,263 stock-based compensation for the three months periods ended March 31, 2014, 2013, and for the cumulative period from May 22, 2002 (date of inception) to March 31, 2014, respectively. |
Consolidated_Statements_of_Com1
Consolidated Statements of Comprehensive Loss (Unaudited) (Parenthetical) (USD $) | 3 Months Ended | 142 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | |
Statements of Comprehensive Loss [Abstract] | ' | ' | ' |
Stock-based compensation | ' | ' | $1,118,263 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (Unaudited) (USD $) | 3 Months Ended | 142 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' | ' |
Net loss for the period | ($53,612) | ($130,434) | ($5,517,379) |
AdAdjustments to reconcile net loss to net cash used in operating activities: | ' | ' | ' |
Services contributed by officers | ' | ' | 3,500 |
Depreciation and amortization | ' | 223 | 267,048 |
Expenses for beneficial conversion feature | 27,294 | ' | 813,347 |
Stock-based compensation | ' | ' | 1,118,263 |
Interest expenses | 1,638 | 32,360 | 5,914 |
Income from settlement of liability | ' | ' | -299,000 |
Changes in assets and liabilities: | ' | ' | ' |
Increase in pre-paid expensesand accounts receivables | ' | ' | -793 |
Increase in related party and accounts payable | 24,680 | 97,851 | 690,507 |
Net cash used in operating activities | ' | ' | -2,700,223 |
CASH FLOWS FOR INVESTING ACTIVITIES: | ' | ' | ' |
Purchase and production of property and equipment | ' | ' | -147,048 |
Purchase of intangible assets | ' | ' | -120,000 |
Net cash used in investing activities | ' | ' | -267,048 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' | ' |
Decrease in convertible promissory note | ' | ' | -1,096 |
Proceeds from issue of common stock | ' | ' | 3,206,907 |
Offering costs | ' | ' | -238,540 |
Net cash provided by financing activities | ' | ' | 2,967,271 |
Decrease in cash and cash equivalents | ' | ' | ' |
Cash and cash equivalents at the beginning of the period | ' | ' | ' |
Cash and cash equivalents at the end of the period | 0 | 0 | 0 |
APPENDIX A - Supplemental disclosure of non-cash financing activities and cash flow information: | ' | ' | ' |
Conversion of shareholders' loans to equity | ' | ' | 19,000 |
Conversion of convertible promissory note to equity | ' | ' | $185,773 |
General
General | 3 Months Ended | ||
Mar. 31, 2014 | |||
General [Abstract] | ' | ||
GENERAL | ' | ||
Note 1:- GENERAL | |||
a. | General | ||
ACRO Inc. (A Development Stage Company) was incorporated on May 22, 2002, under the laws of the State of Nevada, as Medina International Corp. On May 4, 2006, the Company changed its name to ACRO Inc. The Company was originally an oil and gas consulting company in Canada and in the United States. However, during 2006, following a change of control and a private placement financing, ACRO Inc. ceased to engage in oil and gas consulting and engaged in development of products for the detection of military and commercial explosives for the homeland security market. | |||
Hereinafter, ACRO Inc. and its wholly owned subsidiary in Israel Acrosec Ltd. (“Acrosec”), will be referred to as "the Company." | |||
The Company’s common stock was first listed on the Over-the-Counter Bulletin Board, or "OTC Bulletin Board" in April 2003. It now trades on the OTCQB under the symbol "ACRI." | |||
Since its inception, the Company has had no significant revenues and in accordance with ASC 915 codified from Statement of Financial Accounting Standard (“SFAS”) No. 7 “Accounting and Reporting by Development Stage Enterprises”, the Company is considered a development stage company. | |||
b. | Going concern | ||
The accompanying financial statements have been prepared assuming the Company will continue as a “going concern”. The company continues to incur losses ($ 54 thousands in the three months ended March 31, 2014 and $1,023 thousands in the year ended December 31, 2013) from operations and has a net capital deficiency of $331 thousands for the three months ended March 31, 2014 and $277 thousands in the year ended December 31, 2013) that raises substantial doubt about its ability to continue as a “going concern”. Management’s plans with regard to these matters include financing from a major shareholder, Top Alpha Capital S.M. Ltd. (“Top Alpha”). There is no assurance that the Company will be successful in obtaining sufficient revenues from its products or financing on terms acceptable to the Company. The financial statements do not include any adjustments that might result from the outcome of this uncertainty. |
Significant_Accounting_Policie
Significant Accounting Policies | 3 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Significant Accounting Policies [Abstract] | ' | ||||||||
SIGNIFICANT ACCOUNTING POLICIES | ' | ||||||||
Note 2:- SIGNIFICANT ACCOUNTING POLICIES | |||||||||
a. | Basis of Presentation | ||||||||
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles for interim financial information and with Rule 8-03 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America. In the opinion of management, all adjustments (consisting of normal and recurring adjustments) necessary for a fair presentation have been included. Operating results for the three months ended March 31, 2014 are not necessarily indicative of the results that may be expected for the year ended December 31, 2014. The accompanying consolidated financial statements and the notes thereto should be read in conjunction with the Company's audited consolidated financial statements as of and for the year ended December 31, 2013 included in the Company's Form 10-K filed March 28, 2014. | |||||||||
b. | Use of Estimates | ||||||||
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. The reported amounts of revenues and expenses during the reporting period may be affected by the estimates and assumptions management is required to make. Estimates and assumptions are reviewed periodically and the effects of revisions are reflected in the period that they are determined to be necessary. Actual results could differ from those estimates. | |||||||||
c. | Financial Statements in U.S. dollars | ||||||||
The majority of the Company's financing is received in U.S. dollars. Accordingly, the Company has determined the U.S. dollar as the currency of its primary economic environment and thus, its functional and reporting currency. Non-dollar transactions and balances have been re-measured into U.S. dollars. All transaction gains and losses from the re-measurement of monetary balance sheet items denominated in non-dollar currencies are reflected in the statements of operations as financial income or expenses, as appropriate. | |||||||||
d. | Principles of Consolidation | ||||||||
The consolidated financial statements include the accounts of the Company and its wholly-owned Israeli subsidiary, Acrosec Ltd. ("Acrosec"). All material intercompany transactions and balances have been eliminated in consolidation. | |||||||||
e. | Exchange Rates | ||||||||
Exchange and linkage differences are charged or credited to operations as incurred. | |||||||||
Exchange rates: | |||||||||
31-Mar-14 | December 31, | ||||||||
2013 | |||||||||
New Israeli Shekel (NIS) | $ | 0.287 | $ | 0.288 | |||||
Three Months Ended | |||||||||
March 31, | |||||||||
Increase (Decrease) in Rate of Exchange: | 2014 | 2013 | |||||||
NIS | -0.34% | 2.24% | |||||||
Related_Party_Transactions
Related Party Transactions | 3 Months Ended | ||
Mar. 31, 2014 | |||
Related Parties Transaction [Abstract] | ' | ||
RELATED PARTIES TRANSACTIONS | ' | ||
Note 3: – RELATED PARTIES TRANSACTIONS | |||
a. | On April 1, 2012, the Company approved a contract with the Company CEO, President and CFO, Mr. Porat, at an annual salary of $ 70,000. The term of employment was for two years, effective as of February 1, 2012. | ||
b. On February 1, 2014 the Company approved a new employment agreement with Mr. Porat. Pursuant to this new employment agreement, Mr. Porat shall continue to serve as President, CEO and CFO of the Company at an annual salary of $90,000. The new employment agreement is effective as of February 1, 2014 and shall be in effect for a term of two years. | |||
During the three-month period ended March 31, 2014 and 2013, the Company incurred an expense of $20,833 and $17,500, respectively, for consulting services provided by Mr. Porat. | |||
Other_Significant_Current_Peri
Other Significant Current Period Events | 3 Months Ended |
Mar. 31, 2014 | |
Other Significant Current Period Events [Abstract] | ' |
OTHER SIGNIFICANT CURRENT PERIOD EVENTS | ' |
Note 4: – OTHER SIGNIFICANT CURRENT PERIOD EVENTS | |
a. See Note 3b. |
Significant_Accounting_Policie1
Significant Accounting Policies (Policies) | 3 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Significant Accounting Policies [Abstract] | ' | ||||||||
Basis of Presentation | ' | ||||||||
a. | Basis of Presentation | ||||||||
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles for interim financial information and with Rule 8-03 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America. In the opinion of management, all adjustments (consisting of normal and recurring adjustments) necessary for a fair presentation have been included. Operating results for the three months ended March 31, 2014 are not necessarily indicative of the results that may be expected for the year ended December 31, 2014. The accompanying consolidated financial statements and the notes thereto should be read in conjunction with the Company's audited consolidated financial statements as of and for the year ended December 31, 2013 included in the Company's Form 10-K filed March 28, 2014. | |||||||||
Use of estimates | ' | ||||||||
b. | Use of Estimates | ||||||||
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. The reported amounts of revenues and expenses during the reporting period may be affected by the estimates and assumptions management is required to make. Estimates and assumptions are reviewed periodically and the effects of revisions are reflected in the period that they are determined to be necessary. Actual results could differ from those estimates. | |||||||||
Financial Statements in U.S. dollars | ' | ||||||||
c. | Financial Statements in U.S. dollars | ||||||||
The majority of the Company's financing is received in U.S. dollars. Accordingly, the Company has determined the U.S. dollar as the currency of its primary economic environment and thus, its functional and reporting currency. Non-dollar transactions and balances have been re-measured into U.S. dollars. All transaction gains and losses from the re-measurement of monetary balance sheet items denominated in non-dollar currencies are reflected in the statements of operations as financial income or expenses, as appropriate. | |||||||||
Principles of Consolidation | ' | ||||||||
d. | Principles of Consolidation | ||||||||
The consolidated financial statements include the accounts of the Company and its wholly-owned Israeli subsidiary, Acrosec Ltd. ("Acrosec"). All material intercompany transactions and balances have been eliminated in consolidation. | |||||||||
Exchange Rates | ' | ||||||||
e. | Exchange Rates | ||||||||
Exchange and linkage differences are charged or credited to operations as incurred. | |||||||||
Exchange rates: | |||||||||
31-Mar-14 | December 31, | ||||||||
2013 | |||||||||
New Israeli Shekel (NIS) | $ | 0.287 | $ | 0.288 | |||||
Three Months Ended | |||||||||
March 31, | |||||||||
Increase (Decrease) in Rate of Exchange: | 2014 | 2013 | |||||||
NIS | -0.34% | 2.24% |
Significant_Accounting_Policie2
Significant Accounting Policies (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Significant Accounting Policies [Abstract] | ' | ||||||||
Multiple foreign currency exchange rates | ' | ||||||||
31-Mar-14 | December 31, | ||||||||
2013 | |||||||||
New Israeli Shekel (NIS) | $ | 0.287 | $ | 0.288 | |||||
Three Months Ended | |||||||||
March 31, | |||||||||
Increase (Decrease) in Rate of Exchange: | 2014 | 2013 | |||||||
NIS | -0.34% | 2.24% |
General_Details
General (Details) (USD $) | 3 Months Ended | 12 Months Ended | 142 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | Mar. 31, 2014 | |
General (Textual) | ' | ' | ' | ' |
Net Income (loss) | ($53,612) | ($130,434) | ($1,023,000) | ($5,517,379) |
Net capital deficiency | ($330,751) | ' | ($277,139) | ($330,751) |
Significant_Accounting_Policie3
Significant Accounting Policies (Details) (New Israeli Shekel (NIS) [Member]) | 3 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | |
New Israeli Shekel (NIS) [Member] | ' | ' | ' |
Exchange rates: | ' | ' | ' |
New Israeli Shekel (NIS) | 0.287 | ' | 0.288 |
Increase (Decrease) in Rate of Exchange: | ' | ' | ' |
NIS | 0.34% | 2.24% | ' |
Related_Party_Transactions_Det
Related Party Transactions (Details) (USD $) | 3 Months Ended | 0 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Feb. 01, 2014 | Apr. 01, 2012 | |
CEO, President and CFO [Member] | CEO, President and CFO [Member] | |||
Related party transactions (Textual) | ' | ' | ' | ' |
Annual salary of company CEO, President and CFO | ' | ' | $90,000 | $70,000 |
Term of employment | ' | ' | '2 years | '2 years |
Consulting services expense | $20,833 | $17,500 | ' | ' |