| NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | Basis
of Presentation The
Financial Statements and related disclosures have been prepared pursuant to the rules and regulations of the SEC. The Financial
Statements have been prepared using the accrual basis of accounting in accordance with Generally Accepted Accounting Principles
(GAAP) of the United States (See Note 3 regarding the assumption that the Company is a going concern). Principles
of Consolidation The
accompanying consolidated financial statements represent the consolidated financial position and results of operations of the
Sputnik, FVCO and its wholly owned subsidiary, APPS FC, LLC. For
financial reporting purposes, the June 26, 2017 Exchange Transaction will be accounted for as a reverse merger rather
than a business combination, because the sellers of FVCO effectively control the combined companies immediately following the
transaction. As such, FVCO is deemed to be the accounting acquirer in the transaction and, consequently, the transaction is being
treated as a reverse acquisition by SPNI. Accordingly, the assets and liabilities and the historical operations that will be reflected
in SPNIs ongoing financial statements will be those of FVCO and will be recorded at the historical cost basis of FVCO.
The historical financial statements of SPNI before the transaction will be replaced with the historical financial statements of
FVCO before the transaction and in all future filings with the United States Securities and Exchange Commission (SEC).
The historical financial statements for periods prior to June 26, 2017 are those of FVCO except that the equity section and earnings
per share have been retroactively restated to reflect the recapitalization. Use
of Estimates The
preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities
at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual
results could differ from those estimates and assumptions. Fiscal
Year End The
Company elected December 31 as its fiscal year. Cash
and Cash Equivalents The
Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents.
Cash was $54,254 and $0 at September 30, 2017 and December 31, 2016, respectively and the Company had no cash equivalents as of
September 30, 2017 or December 31, 2016. Fair
Value of Financial Instruments The
Companys balance sheet includes certain financial instruments. The carrying amounts of current assets and current liabilities
approximate their fair value because of the relatively short period of time between the origination of these instruments and their
expected realization. ASC
820, Fair Value Measurements and Disclosures
· Level
1 - Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets
or liabilities
· Level
2 - Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly
or indirectly, including quoted prices for similar assets or liabilities in active markets; quoted prices for identical or
similar assets or liabilities in markets that are not active; inputs other than quoted prices that are observable for the
asset or liability (e.g., interest rates); and inputs that are derived principally from or corroborated by observable market
data by correlation or other means.
· Level
3 - Inputs that are both significant to the fair value measurement and unobservable.
Fair
value estimates discussed herein are based upon certain market assumptions and pertinent information available to management as
of December 31, 2016. The respective carrying value of certain on-balance-sheet financial instruments approximated their fair
values due to the short-term nature of these instruments. Income
Taxes The
Company accounts for income taxes under ASC 740 Income Taxes Basic
and Diluted Net Loss per Share The
Company computes basic and diluted earnings per share amounts in accordance with ASC Topic 260, Earnings per Share The
Company has incurred a net operating loss for September 30, 2017 and 2016, and dilutive earnings per share would be anti-dilutive,
therefore, dilutive earnings per share have not been presented. There are no options or warrants outstanding. The Company has
common stock equivalents, in the form or convertible preferred stock, series A. Common stock equivalents were 96,851,250 and 44,351,250
at September 30, 2017 and 2016, respectively. There are only 50,000,000 shares of common stock authorized. It is the current intention
of the Company to file an Information Statement on Schedule 14C to, among other things, increase the number of authorized shares
of Common Stock to one billion shares, in the next ninety days. Commitments
and Contingencies The
Company follows ASC 450, Loss Contingencies, to report accounting for contingencies. Liabilities for loss contingencies arising
from claims, assessments, litigation, fines and penalties and other sources are recorded when it is probable that a liability
has been incurred and the amount of the assessment can be reasonably estimated. There were no commitments or contingencies as
of September 30, 2017 and December 31, 2016. Related
Parties The
Company follows subtopic ASC 850, Related Party Disclosure, for the identification of related parties and disclosure of related
party transactions. See Note 6 for related party transactions. Cash
Flows Reporting The
Company follows ASC 230, Statement of Cash Flows, for cash flows reporting, classifies cash receipts and payments according to
whether they stem from operating, investing, or financing activities and provides definitions of each category, and uses the indirect
or reconciliation method (Indirect method) as defined by ASC 230, Statement of Cash Flows, to report net cash flow
from operating activities by adjusting net income to reconcile it to net cash flow from operating activities by removing the effects
of (a) all deferrals of past operating cash receipts and payments and all accruals of expected future operating cash receipts
and payments and (b) all items that are included in net income that do not affect operating cash receipts and payments. The Company
reports the reporting currency equivalent of foreign currency cash flows, using the current exchange rate at the time of the cash
flows and the effect of exchange rate changes on cash held in foreign currencies is reported as a separate item in the reconciliation
of beginning and ending balances of cash and cash equivalents and separately provides information about investing and financing
activities not resulting in cash receipts or payments in the period. Share-based
Expense ASC
718, Compensation Stock Compensation The
Company accounts for stock-based compensation issued to non-employees and consultants in accordance with the provisions of ASC
505-50, Equity Based Payments to Non-Employees. There
was no share-based expense for the periods ending September 30, 2017 and 2016. RECENT
ACCOUNTING PRONOUNCEMENTS From
time to time, new accounting pronouncements issued by the FASB or other standard setting bodies are adopted by the Company as
of the specified effective date. Unless otherwise discussed, we believe that the impact of recently issued standards that are
not yet effective will not have a material impact on our financial position or results of operations upon adoption. In
May 2014, the Financial Accounting Standards Board, or FASB, issued Accounting Standards Update No. 2014-09, Revenue from Contracts
with Customers (Topic 606) , or ASU 606. ASU 606 provides guidance outlining a single comprehensive model for entities to use
in accounting for revenue arising from contracts with customers that supersedes most current revenue recognition guidance. This
guidance requires us to recognize revenue when we transfer promised goods or services to customers in an amount that reflects
the consideration to which the entity expects to be entitled in exchange for those goods or services. The original effective date
of the guidance would have required us to adopt at the beginning of our first quarter of fiscal 2017; however, the FASB approved
an optional one-year deferral of the effective date. Additionally, the new guidance requires enhanced disclosures, including revenue
recognition policies to identify performance obligations to customers and significant judgments in measurement and recognition.
The new guidance may be applied retrospectively to each prior period presented or retrospectively with the cumulative effect recognized
as of the date of adoption. In
June 2014, FASB issued Accounting Standards Update (ASU) No. 2014-12 Compensation Stock Compensation (Topic 718), Accounting
for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service
Period. Compensation
Stock Compensation In
August 2014, FASB issued Accounting Standards Update (ASU) No. 2014-15 Preparation of Financial Statements Going Concern
(Subtopic 205-40), Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern. Presentation of
Financial StatementsLiquidation Basis of Accounting In
August 2014, FASB issued ASU 2014-15, Disclosure of Uncertainties about an Entitys Ability to Continue as a Going Concern,
or ASU 2014-15. ASU 2014-15 explicitly requires a companys management to assess an entitys ability to continue as
a going concern, and to provide related footnote disclosures in certain circumstances. The new standard will be effective in the
first annual period ending after December 15, 2016, although early application is permitted. We do not expect the adoption of
this standard to have a material impact on our consolidated statements of financial position, results of operations or cash flows. In
April 2015, FASB issued ASU No. 2015-03, Interest Imputation of Interest (Subtopic 835-30): Simplifying the presentation
of Debt Issuance Costs, to reduce the complexity of having different balance sheet presentation requirements for debt issuance
costs and debt discounts and premiums. The guidance requires debt issuance costs related to a recognized debt liability be reported
on the balance sheet as a direct deduction from the carrying amount of that debt liability. ASU 2015-03 is effective for public
companies for annual reporting periods beginning after December 15, 2015, and interim periods within those fiscal years. The Company
has adopted the amendments of ASU 2015-03 effective January 1, 2016. In
November 2015, FASB issued ASU No. 2015-17, Balance Sheet Classification of Deferred Taxes. ASU 2015-17 simplifies the presentation
of deferred taxes by requiring deferred tax assets and liabilities be classified as noncurrent on the balance sheet. ASU 2015-17
is effective for public companies for annual reporting periods beginning after December 15, 2016, and interim periods within those
fiscal years. The guidance may be adopted prospectively or retrospectively and early adoption is permitted. We believe the adoption
of this standard will have no material impact on our consolidated statements of financial position, results of operations or cash
flows. In
February 2016, FASB issued ASU No. 2016-02, Leases (Topic 842). The core principle of Topic 842 is that a lessee should recognize
the assets and liabilities that arise from leases. ASU 2016-02 is effective for public companies for annual reporting periods
beginning after December 15, 2018, and interim periods within those fiscal years. The guidance may be adopted prospectively or
retrospectively and early adoption is permitted. The Company is currently assessing the impact the adoption of ASU 2016-02 will
have on its consolidated financial statements. |
