HK EBUS (HKEB) 10-Q 14 Oct 16 2017 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Aug. 31, 2016	Oct. 08, 2016
Document and Entity Information:
EntityRegistrantName	HK EBUS Corp
EntityTradingSymbol	hkeb
DocumentType	10-Q
DocumentPeriodEndDate	Aug. 31, 2016
AmendmentFlag	false
EntityCentralIndexKey	1,350,421
CurrentFiscalYearEndDate	--05-31
EntityCommonStockSharesOutstanding		992,192
EntityFilerCategory	Smaller Reporting Company
EntityCurrentReportingStatus	Yes
EntityVoluntaryFilers	No
EntityWellKnownSeasonedIssuer	No
DocumentFiscalYearFocus	2,017
DocumentFiscalPeriodFocus	Q1

BALANCE SHEETS(Unaudited)

BALANCE SHEETS(Unaudited) - USD ($)	Aug. 31, 2016	May 31, 2016
Current assets
Cash	$ 10,874	$ 14,624
Total assets (all current)	10,874	14,624
Current liabilities
Accounts payable	0	791
Due to related party	0	108,859
Total current liabilities	0	109,650
Non-Current Liabilities
Accounts payable.	791	0
Due to related party, net of current portion	188,859	80,000
Total liabilities	189,650	189,650
Stockholders' deficit
Preferred stock, $.00001 par value; 10,000,000 shares authorized, no shares issued and outstanding as of August 31, 2016 and May 31, 2016	0	0
Common stock, $.00001 par value; 300,000,000 shares authorized, 992,192 shares issued and outstanding as of August 31, 2016 and May 31, 2016	991	991
Additional paid-in capital	7,043,222	7,043,222
Accumulated deficit	(7,222,989)	(7,219,239)
Total stockholders' deficit	(178,777)	(175,027)
Total liabilities and stockholders' deficit	$ 10,874	$ 14,624

BALANCE SHEETS PARENTHETICALS

BALANCE SHEETS PARENTHETICALS - $ / shares	Aug. 31, 2016	May 31, 2016
Parentheticals
Preferred Stock, par value	$ 0.00001	$ 0.00001
Preferred Stock, shares authorized	10,000,000	10,000,000
Preferred Stock, shares issued	0	0
Preferred Stock, shares outstanding	0	0
Common Stock, par value	$ 0.00001	$ 0.00001
Common Stock, shares authorized	300,000,000	300,000,000
Common Stock, shares issued	992,192	992,192
Common Stock, shares outstanding	992,192	992,192

STATEMENTS OF OPERATIONS(Unaudi

STATEMENTS OF OPERATIONS(Unaudited) - USD ($)	3 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Revenues {1}
Revenue	$ 0	$ 0
Operating Expenses
General and administrative	3,750	4,159
Total operating expenses	3,750	0
Loss from operations	(3,750)	(4,159)
Net loss	$ (3,750)	$ (4,159)
Basic and diluted loss per common share	$ (0.004)	$ (0.004)
Weighted average number of shares outstanding	992,192	992,192

STATEMENTS OF CASH FLOWS(Unaudi

STATEMENTS OF CASH FLOWS(Unaudited) - USD ($)	3 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Operating Activities
Net Loss	$ (3,750)	$ (4,159)
Changes to operating assets and liabilities:
Accounts payable	0	0
Due to related party	0	10,000
Accrued interest	0	0
Net cash provided by (used in) operating activities	(3,750)	5,841
Net increase in cash	(3,750)	5,841
Cash at the beginning of period	14,624	2,972
Cash at the end of period	10,874	8,813
Supplemental disclosures of cash flow information:
Cash paid for interest	0	0
Cash paid for income taxes	$ 0	$ 0

ORGANIZATION AND NATURE OF OPER

ORGANIZATION AND NATURE OF OPERATIONS	3 Months Ended
	Aug. 31, 2016
ORGANIZATION AND NATURE OF OPERATIONS:
ORGANIZATION, BUSINESS AND OPERATIONS	NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS HK eBus Corporation, formerly known as Rambo Medical Group, Inc., was incorporated in the State of Nevada on November 18, 2005. On October 14, 2009, the Company filed a Certificate of Amendment to its Articles of Incorporation to increase its shares of authorized common stock from 100,000,000 to 300,000,000 and to change its name from Cobra Oil and Gas Company to Viper Resources, Inc. The Company was formed to engage in identifying, investigating, exploring, and where determined advantageous, developing, mining, refining, and marketing oil and gas. The Company may also engage in any other business permitted by law, as designated by the Board of Directors of the Company. On April 25, 2011, the Company’s previous management was replaced in its entirety. In May 2012, the Company’s management determined to discontinue its oil and gas operations, and attempt to acquire other assets or business operations that will maximize shareholder value. On August 31, 2015, the Company changed its name to HK EBUS Corporation and changed its ticker symbol to HKEB.

BASIS OF PRESENTATION AND SUMMA

BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
	Aug. 31, 2016
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 2. BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES A summary of significant accounting policies of HK eBus Corporation (hereinafter the “Company”), a company organized in the state of Nevada (A Development Stage Company) is presented to assist in understanding the Company’s financial statements. The accounting policies presented in these footnotes conform to accounting principles generally accepted in the United States of America and have been consistently applied in the preparation of the accompanying financial statements. These financial statements and notes are representations of the Company’s management who are responsible for their integrity and objectivity. The Company has not realized significant revenues from its planned principal business purpose and is considered to be in its development state in accordance with ASC 915, “Development Stage Entities”, formerly known as SFAS 7, “Accounting and Reporting by Development State Enterprises.” Basis of Presentation Our financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The preparation of our financial statements requires us to make estimates and assumptions that affect, among other areas, the reported amounts of trade receivable reserves and inventory reserves, impairment of long-lived assets, and recoverability of deferred tax assets. These estimates and assumptions also impact revenues, expenses and the disclosures in our financial statements and accompanying notes. Although these estimates are based on our knowledge of current events and actions we may undertake in the future, actual results may ultimately differ from these estimates and assumptions. Development Stage The Company is currently in the development stage and has no significant operations. On August 9, 2013, the Company effected a 1-for-100 reverse split of the outstanding common stock. The accompanying financial statements and notes to the financial statements give retroactive effect to the reverse stock split for all periods presented. Fair Value Measurements In January 2010, the FASB ASC Topic 825, Financial Instruments Fair Value Measurements and Disclosures, Various inputs are considered when determining the value of the Company’s investments and long-term debt. The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in these securities. These inputs are summarized in the three broad levels listed below. Level 1 – observable market inputs that are unadjusted quoted prices for identical assets or liabilities in active markets. Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, credit risk, etc.). Level 3 – significant unobservable inputs (including the Company’s own assumptions in determining the fair value of investments). The Company’s adoption of FASB ASC Topic 825 effectively at the inception did not have a material impact on the Company’s financial statements. The carrying value of financial assets and liabilities recorded at fair value is measured on a recurring or nonrecurring basis. Financial assets and liabilities measured on a non-recurring basis are those that are adjusted to fair value when a significant event occurs. The Company had no financial assets or liabilities carried and measured on a nonrecurring basis during the reporting periods. Financial assets and liabilities measured on a recurring basis are those that are adjusted to fair value each time a financial statement is prepared. The Company does not have financial assets as an investment carried at fair value on a recurring basis as of August 31, 201 6 and 201 5 . The availability of inputs observable in the market varies from instrument to instrument and depends on a variety of factors including the type of instrument, whether the instrument is actively traded, and other characteristics particular to the transaction. For many financial instruments, pricing inputs are readily observable in the market, the valuation methodology used is widely accepted by market participants, and the valuation does not require significant management discretion. For other financial instruments, pricing inputs are less observable in the market and may require management judgment. As of August 31, 201 6 and 201 5 , the Company had assets and liabilities in cash, property and equipment that were fully depreciated, and various payables. Management believes that they are being presented at their fair market value. Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make certain estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. The Company is subject to uncertainty of future events, economic, environmental and political factors and changes in the Company's business environment; therefore, actual results could differ from these estimates. Accordingly, accounting estimates used in the preparation of the Company's financial statements will change as new events occur and that more experience is acquired, as additional information is obtained and as the Company's operating environment changes. Changes are made in estimates as circumstances warrant. Such changes in estimates and refinement of estimation methodologies are reflected in the statements. Cash and Cash Equivalents Cash and cash equivalents include short-term, highly liquid investments with maturities of less than three months when acquired. The Company had $ 10,874 and $ 14,624 in cash on August 31, 201 6 and May 31, 201 6 , respectively. The Company had no cash equivalent on August 31, 201 6 and May 31, 201 6 . Accounts Payable Services and goods received from vendors and billed but not yet paid are recorded as accounts payable in periods when the services and goods were received. As of August 31, 201 6 , $ 791 was recorded as accounts payable. The balance of accounts payable was $ 791 and $791 as of August 31, 201 6 and May 31, 201 6 , respectively.

GOING CONCERN

GOING CONCERN	3 Months Ended
	Aug. 31, 2016
GOING CONCERN
GOING CONCERN	NOTE 3. GOING CONCERN Under the going concern assumption, an entity is ordinarily viewed as continuing in business for the foreseeable future with neither the intention nor the necessity of liquidation, ceasing trading, or seeking protection from creditors pursuant to laws or regulations. Accordingly, assets and liabilities are recorded on the basis that the entity will be able to realize its assets and discharge its liabilities in the normal course of business. The future of the Company is dependent upon its ability to obtain financing and upon future profitable operations from the development of its planned business. Management has plans to seek additional capital through a public or private offering of equity or debt securities, or by other means. These conditions raise substantial doubt about the Company's ability to continue as a going concern. These financial statements do not include any adjustments that might arise from this uncertainty. There can be no assurance that sufficient funds required during the next year or thereafter will be generated from operations or that funds will be available from external sources such as debt or equity financings or other potential sources. The lack of additional capital resulting from the inability to generate cash flow from the operations or to raise capital from external sources would force the Company to substantially curtail or cease operations and would, therefore, have a material adverse effect on its business. Furthermore, there can be no assurance that any such required funds, if available, will be available on attractive terms or that they will not have a significant dilutive effect on the Company's existing stockholders. The financial statements do not include any adjustments relating to the recoverability and classification of recorded assets, or the amounts of and classification of liabilities that might necessary in the event the Company cannot continue in existence.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	3 Months Ended
	Aug. 31, 2016
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS	NOTE 4. RELATED PARTY TRANSACTIONS During the first quarter of 2013, American Compass Inc. (“ACI”), a related party based upon the beneficial ownership of the Company held by certain key management of ACI, paid $15,333 in legal fees on behalf of the Company. During the second quarter of 2013, ACI paid $7,527 in legal fees and $1,000 in auditing fees on behalf of the Company. As of August 31, 2013 ACI paid a total of $25,332 in legal and auditing fees on behalf of the Company. On May 31 , 201 2 , ACI made a non-interest bearing, unsecured loan to the Company in the amount of $ 3 0,000. On December 18 , 201 2 , ACI made another non-interest bearing, unsecured loan to the Company in the amount of $ 2 0,000. On May 16 , 201 3 , ACI made a non-interest bearing, unsecured loan to the Company in the amount of $ 5 ,000. On November 4, 2013, ACI made a non-interest bearing, unsecured loan to the Company in the amount of $10,000. On April 17, 2014, ACI made a non-interest bearing, unsecured loan to the Company in the amount of $10,000. On June 30 , 2014, ACI made a non-interest bearing, unsecured loan to the Company in the amount of $10,000. On November 19, 2014, ACI made a non-interest bearing, unsecured loan to the Company in the amount of $10,000. On June 24, 2015, September 30, 2015, October 21, 2015, and November 18 , 2015 , ACI made non-interest bearing, unsecured loans to the Company in the amounts of $10,000, $10,000, $10,000, and $20,000, respectively. As of August 31, 201 6 , the total balance due to ACI is $1 8 8,859.

COMMON STOCK

COMMON STOCK	3 Months Ended
	Aug. 31, 2016
COMMON STOCK
COMMON STOCK	NOTE 5. COMMON STOCK The Company is authorized to issue 100,000,000 shares of preferred stock with a par value of $.00001. The Company is also authorized to issue 300,000,000 shares of common stock with a par value of $.00001. On May 6, 2008, the Company effected a 35-for-1 forward split of its outstanding shares of common stock. On July 20, 2010, the Company issued 50,000 shares of common stock to investors at a price of $2 per unit for a total of $100,000. The Company issued a total of 0.15 million shares of common stock to compensate its officers during the fiscal year of 2012. In order to seek alternative business development and future merging and stock offering, on August 8, 2013, the Company effected a 1-for-100 reverse stock split of the Company’s outstanding shares of common stock and changed its name to Rambo Medical Group Inc. There were 992,192 and 992,192 shares issued and outstanding as of August 31, 201 6 and May 31, 201 6 respectively.

WARRANTS

WARRANTS	3 Months Ended
	Aug. 31, 2016
WARRANTS:
WARRANTS	NOTE 6 . WARRANTS As of May 31, 2008, the Company had 10,000 common stock purchase warrants outstanding, originally sold as part of a unit, allowing the holder to purchase one share of common stock at an exercise price of $40, anytime through May 15, 2011. In fiscal year 2009, the Company sold 10,000 units to an investor for cash at a price of $25 per unit for aggregate proceeds of $250,000. Each unit consists of one share of common stock and one warrant to purchase one share of common stock at an exercise price of $40, anytime through June 9, 2011. As of May 31, 2009, none of the warrants had been exercised, leaving a year-end balance of 20,000 warrants. The aggregate value of the units equal to $250,000 was assigned to the common stock as the warrants are non-detachable. In fiscal year 2010, the Company sold 20,252 units to investors for cash at prices ranging from $17 - $100 per unit, or an aggregate of $1,250,000. Each unit consists of one share of common stock, and one warrant to purchase one share of common stock at exercise prices ranging from of $20 - $125, anytime through expiration dates from June 2012 through February 2013. The entire value of the units was assigned to the common stock as the warrants are non-detachable. As of May 31, 2010, none of the warrants had been exercised or had expired, leaving a year-end balance of 40,252 warrants. During the year ended May 31, 2011, the Company sold 50,000 units to investors at a price of $2 per unit for an aggregate of $100,000. Each unit consists of one share of common stock, and one warrant to purchase one share of common stock at an exercise price of $2.50, anytime through expiration date of July 2013. The entire value of the units was assigned to the common stock as the warrants are non-detachable. As of May 31, 2011, none of the warrants had been exercised. During the fiscal year of 2011, 10,000 warrants expired, leaving a year-end balance of 80,252 warrants. During the year ended May 31, 2012, 10,000 warrants expired, leaving a year-end balance of 70,252 warrants. During the year ended May 31, 2013, 20,252 warrants expired, leaving a year-end balance of 50,000 warrants. During the year ended May 31, 2014, 50,000 warrants expired, leaving a year-end balance of 0 warrants. During the year ended August 31, 201 6 , there were no warrants outstanding.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	3 Months Ended
	Aug. 31, 2016
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS	NOTE 7 . SUBSEQUENT EVENTS The Company does not have any subsequent events to report as of October 14, 2016. These financial statements were approved by the Company's management and are available for issuance as of October 14, 2016. Subsequent events have been evaluated through October 14, 2016.

ACCOUNTING POLICIES (Policies)

ACCOUNTING POLICIES (Policies)	3 Months Ended
	Aug. 31, 2016
Accounting Policies:
Basis of Presentation	Basis of Presentation Our financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The preparation of our financial statements requires us to make estimates and assumptions that affect, among other areas, the reported amounts of trade receivable reserves and inventory reserves, impairment of long-lived assets, and recoverability of deferred tax assets. These estimates and assumptions also impact revenues, expenses and the disclosures in our financial statements and accompanying notes. Although these estimates are based on our knowledge of current events and actions we may undertake in the future, actual results may ultimately differ from these estimates and assumptions.
Development Stage	Development Stage The Company is currently in the development stage and has no significant operations. On August 9, 2013, the Company effected a 1-for-100 reverse split of the outstanding common stock. The accompanying financial statements and notes to the financial statements give retroactive effect to the reverse stock split for all periods presented.
Fair Value Measurements	Fair Value Measurements In January 2010, the FASB ASC Topic 825, Financial Instruments Fair Value Measurements and Disclosures, Various inputs are considered when determining the value of the Company’s investments and long-term debt. The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in these securities. These inputs are summarized in the three broad levels listed below. Level 1 – observable market inputs that are unadjusted quoted prices for identical assets or liabilities in active markets. Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, credit risk, etc.). Level 3 – significant unobservable inputs (including the Company’s own assumptions in determining the fair value of investments). The Company’s adoption of FASB ASC Topic 825 effectively at the inception did not have a material impact on the Company’s financial statements. The carrying value of financial assets and liabilities recorded at fair value is measured on a recurring or nonrecurring basis. Financial assets and liabilities measured on a non-recurring basis are those that are adjusted to fair value when a significant event occurs. The Company had no financial assets or liabilities carried and measured on a nonrecurring basis during the reporting periods. Financial assets and liabilities measured on a recurring basis are those that are adjusted to fair value each time a financial statement is prepared. The Company does not have financial assets as an investment carried at fair value on a recurring basis as of August 31, 201 6 and 201 5 . The availability of inputs observable in the market varies from instrument to instrument and depends on a variety of factors including the type of instrument, whether the instrument is actively traded, and other characteristics particular to the transaction. For many financial instruments, pricing inputs are readily observable in the market, the valuation methodology used is widely accepted by market participants, and the valuation does not require significant management discretion. For other financial instruments, pricing inputs are less observable in the market and may require management judgment. As of August 31, 201 6 and 201 5 , the Company had assets and liabilities in cash, property and equipment that were fully depreciated, and various payables. Management believes that they are being presented at their fair market value.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make certain estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. The Company is subject to uncertainty of future events, economic, environmental and political factors and changes in the Company's business environment; therefore, actual results could differ from these estimates. Accordingly, accounting estimates used in the preparation of the Company's financial statements will change as new events occur and that more experience is acquired, as additional information is obtained and as the Company's operating environment changes. Changes are made in estimates as circumstances warrant. Such changes in estimates and refinement of estimation methodologies are reflected in the statements.
Cash and Cash Equivalents	Cash and Cash Equivalents Cash and cash equivalents include short-term, highly liquid investments with maturities of less than three months when acquired. The Company had $ 10,874 and $ 14,624 in cash on August 31, 201 6 and May 31, 201 6 , respectively. The Company had no cash equivalent on August 31, 201 6 and May 31, 201 6 .
Accounts Payable	Accounts Payable Services and goods received from vendors and billed but not yet paid are recorded as accounts payable in periods when the services and goods were received. As of August 31, 201 6 , $ 791 was recorded as accounts payable. The balance of accounts payable was $ 791 and $791 as of August 31, 201 6 and May 31, 201 6 , respectively.

ORGANIZATION AND NATURE OF OP14

ORGANIZATION AND NATURE OF OPERATIONS (Details)	Oct. 14, 2009shares
ORGANIZATION AND NATURE OF OPERATIONS DETAILS
Number of shares of authorized common stock existing	100,000,000
Number of shares of authorized common stock increased to after Amendment	300,000,000

CASH AND CASH EQUIVALENTS (Deta

CASH AND CASH EQUIVALENTS (Details) - USD ($)	Aug. 31, 2016	May 31, 2016
CASH AND CASH EQUIVALENTS DETAILS
Cash	$ 10,874	$ 14,624

ACCOUNTS PAYABLE (Details)

ACCOUNTS PAYABLE (Details) - USD ($)	Aug. 31, 2016	May 31, 2016
ACCOUNTS PAYABLE DETAILS
Accounts payable recorded	$ 791
Balance of accounts payable	$ 791	$ 791

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - USD ($)	Aug. 31, 2016	Nov. 18, 2015	Oct. 21, 2015	Sep. 30, 2015	Jun. 24, 2015	Nov. 19, 2014	Jun. 30, 2014	Apr. 17, 2014	Nov. 04, 2013	Aug. 31, 2013	Jun. 30, 2013	May 16, 2013	Mar. 31, 2013	Dec. 18, 2012	May 31, 2012
RELATED PARTY TRANSACTIONS DETAILS
American Compass Inc. (ACI) paid legal fees on behalf of Company											$ 7,527		$ 15,333
ACI paid auditing fees on behalf of Company											$ 1,000
Total legal and auditing fees paid by ACI										$ 25,332
ACI made a non-interest bearing, unsecured loan to the Company		$ 20,000	$ 10,000	$ 10,000	$ 10,000	$ 10,000	$ 10,000	$ 10,000	$ 10,000			$ 5,000		$ 20,000	$ 30,000
Total balance of the loans from ACI	$ 188,859

COMMON STOCK TRANSACTIONS (Deta

COMMON STOCK TRANSACTIONS (Details)	Aug. 31, 2016$ / sharesshares	May 31, 2016shares	Aug. 08, 2013	Dec. 31, 2012shares	Jul. 20, 2010USD ($)$ / shares	May 06, 2008
COMMON STOCK TRANSACTIONS DETAILS
Preferred stock shares issued	100,000,000
Preferred stock shares par value shares | $ / shares	$ 0.00001
Common stock issued shares	300,000,000
Common stock shares par value shares | $ / shares	$ 0.00001
Company effected a forward split for 1						35
Issued shares of common stock to investors, price per unit shares | $ / shares					$ 2
Issued shares of common stock to investors, value | $					$ 100,000
Issued a total shares of common stock to compensate its officers				150,000
Company effected a reverse split for 1			100
Shares issued and outstanding	992,192	992,192

WARRANTS OUTSTANDING (Details)

WARRANTS OUTSTANDING (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	May 31, 2014	May 31, 2013	May 31, 2012	May 31, 2011	May 31, 2010	May 31, 2009	May 31, 2008
WARRANTS OUTSTANDING DETAILS
Number of common stock purchase warrants outstanding	0							10,000
Exercise price of Warrants					$ 2.5		$ 40	$ 40
Number of units sold to an investor for cash					50,000	20,252	10,000
Price per unit sold					$ 2		$ 25
Value of units sold						$ 1,250,000	$ 250,000
Amount assigned to the common stock as the warrants are non-detachable.							$ 250,000
Year-end balance of warrants		0	50,000	70,252	80,252	40,252	20,000
Warrants expired during the period		50,000	20,252	10,000	10,000
Common stock exercise prices minimum range						$ 20
Common stock exercise prices maximum range						125
Minimum range per unit sold to investors for cash						17
Maximum range per unit sold to investors for cash						$ 100