| Note 2 - Significant Accounting Policies | NOTE 2. SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation: These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Companys Annual Report on Form 10-K for the fiscal year ended September 27, 2020. Principles of Consolidation: Accounting Method: Estimates and Assumptions: Fiscal Year End: Financial and Concentrations Risk: Trade Accounts Receivable: Inventory: Property and Equipment: January 3, 2021 September 27, 2020 Depreciable Lives Land $ 6,389,470 $ 6,389,470 not applicable Mineral rights 276,000 276,000 25 years Ground improvements 2,334,172 2,334,172 7-25 years Buildings and structures 3,798,098 3,798,098 10-39 years Animal shelters and habitats 2,098,947 2,098,947 10-39 years Park animals 1,147,833 1,166,583 5-10 years Equipment - concession and related 232,281 232,281 3-15 years Equipment and vehicles - yard and field 556,168 556,168 3-15 years Vehicles - buses and rental 237,075 237,075 3-5 years Rides and entertainment 224,578 224,578 5-7 years Furniture and fixtures 26,057 26,057 5-10 years Projects in process 277,905 34,290 Property and equipment, cost 17,598,584 17,373,719 Less accumulated depreciation (3,885,202) (3,718,919) Property and equipment, net $ 13,713,382 $ 13,654,800 Depreciation expense for the three months ended January 3, 2021 and December 29, 2019 totaled $167,200 and $117,300, respectively. Impairment of Long-Lived Assets: Other Current Liabilities: January 3, 2021 September 27, 2020 Deferred revenue $ 299,254 $ 273,386 Accrued wages and payroll taxes 182,243 42,774 Accrued income taxes 138,602 46,402 Accrued sales taxes 50,759 69,101 Accrued property taxes 931 68,530 Other accrued liabilities 93,150 99,197 Other current liabilities $ 764,939 $ 599,390 Financial Instruments: Revenue Recognition: Revenues from Contracts with Customers Revenues from park admission fees are recognized at the point in time control transfers to the customer, which is generally when the customer accepts access to the park and the Company is entitled to payment. Park admission fee revenues from advance online ticket purchases are deferred until the customers visit to the parks. Revenues from retail and concession sales are generally recognized upon the concurrent receipt of payment and delivery of goods to the customer. Sales taxes billed and collected are not included in revenue. The Company periodically sells surplus animals created from the natural breeding process that occurs within the parks. All animal sales are reported as a separate revenue line item. Animal sales are recognized at a point in time when control transfer to the customer, which is generally determined when title, ownership and risk of loss pass to the customer, all of which generally occurs upon delivery of the animal. Based on the Companys assessment of control indicators, sales are recognized when animals are delivered to the customer. The Company provides disaggregation of revenue based on geography in NOTE 10: BUSINESS SEGMENTS, as it believes this best depicts how the nature, amount, timing, and uncertainty of revenue and cash flows are affected by economic factors. Deferred revenues from advance online admission tickets were $299,254 and $273,386 as of January 3, 2021 and September 27, 2020, respectively, and are included within Other Current Liabilities in the accompanying consolidated balance sheets. Advertising and Marketing Costs: Stock Based Compensation: A Stock Option and Award Plan (the Plan) providing for incentive stock options and performance bonus awards for executives, employees, and directors was approved by the Companys Board of Directors on February 1, 2005, however, the Plan has not been submitted to the stockholders for approval. The Plan sets aside five million (5,000,000) shares for award of stock options, including qualified incentive stock options and performance stock bonuses. To date, no grants or awards have been made pursuant to the Plan and the Company did not submit the Plan for consideration to the Companys stockholders at its last meeting of stockholders. Income Taxes: A tax position is recognized as a benefit only if it is more-likely-than-not that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than fifty percent likely of being realized on examination. For tax positions not meeting the more-likely-than-not test, no tax benefit is recorded. The Company has no unrecognized tax benefits under guidance related to tax uncertainties. The Company does not anticipate the unrecognized tax benefits will significantly change in the next twelve months. Any tax penalties or interest expense will be recognized in income tax expense. No interest and penalties related to unrecognized tax benefits were accrued as of January 3, 2021 or September 27, 2020. Basic and Diluted Net Income (Loss) Per Share: Basic and diluted net income (loss) per share is computed by dividing net income (loss) available to common stockholders by the applicable weighted average number of common shares outstanding in each period. Dividend Policy: Recent Accounting Pronouncements: Income Taxes In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740) Simplifying the Accounting for Income Taxes (Update 2019-12) Financial Instruments Credit Losses In June 2016, the FASB issued ASU 2016-13, Financial Instruments Credit Losses (Topic 326) Reference Rate Reform In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting Equity Securities, Equity Method Investments and Certain Derivatives In January 2020, the FASB issued ASU 2020-01, Clarifying the Interactions Between Topic 321, Topic 323, and Topic 815 Except as noted, the Company does not expect recently issued accounting standards or interpretations to have a material impact on the Companys financial position, results of operations, cash flows or financial statement disclosures. |
