| Summary of Significant Accounting Policies | NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES The accompanying financial statements have
been prepared by management without audit pursuant to the rules and regulations of the Securities and Exchange Commission. Certain
information and disclosures normally included in financial statements prepared in accordance with generally accepted accounting
principles have been condensed or omitted as allowed by such rules and regulations, and management believes that the disclosures
are adequate to make the information presented not misleading. These financial statements include all of the adjustments, which,
in the opinion of management, are necessary to a fair presentation of financial position and results of operations. All such adjustments
are of a normal and recurring nature. Interim results are not necessarily indicative of results for a full year. This summary of significant accounting policies of the Company is
presented to assist in understanding the Company’s financial statements. The financial statements and notes are representations
of the Company’s management, which is responsible for their integrity and objectivity. These accounting policies conform
to generally accepted accounting principles and have been consistently applied in the preparation of the financial statements and
the Form 10-K. BASIS OF PRESENTATION AND CONSOLIDATION These financial statements present the Company’s
results of operations, financial position and cash flows on a basis. CASH AND CASH EQUIVALENTS Cash and cash equivalents include cash on hand
and cash in time deposits, certificates of deposit and all highly liquid instruments with original maturities of three months or
less. USE OF ESTIMATES The preparation of these financial statements
in accordance with accounting principles generally accepted in the United States of America requires management to make estimates
and assumptions that affect the reported assets and liabilities, disclosure of contingent assets and liabilities as of the date
of the financial statements and the reported amounts of net revenues and expenses during the reporting period. Actual results may
differ from those estimates and such differences may be material. The more significant estimates and assumptions by management
include, among others, useful lives and residual values of fixed assets, valuation of inventories, accounts receivable, stock based
compensation, and allowance for bad debt. The current economic environment has increased the degree of uncertainty inherent in
these estimates and assumptions. TRANSLATION ADJUSTMENT The Company's functional currency is the Chinese
Renminbi (RMB). The reporting currency is that of the US Dollar. Capital accounts of the consolidated financial statements are
translated into United States dollars from RMB at their historical exchange rates when the capital transactions occurred. Assets
and liabilities are translated at the exchange rates as of the balance sheet date. Income and expenditures are translated at the
average exchange rate of the year. The RMB is not freely convertible into foreign currency and all foreign currency exchange transactions
must take place through authorized institutions. No representation is made that the RMB amounts could have been, or could be, converted
into US dollar at the rates used in translation. RECLASSIFICATIONS Certain items previously reported under specific
financial statement captions have been reclassified to conform to the current year presentation. FAIR VALUE OF FINANCIAL INSTRUMENTS The Company applies the provisions of FASB
ASC Topic 825, which requires all entities to disclose the fair value of financial instruments, both assets and liabilities recognized
and not recognized on the balance sheet, for which it is practicable to estimate fair value, and defines fair value of a financial
instrument as the amount at which the instrument could be exchanged in a current transaction between willing parties. As of December
31, 2018 and December 31, 2017 the fair value of cash and cash equivalents, accounts receivable, other current receivable, accounts
payable and accrued expenses, settlement payable, lease payable, notes payable and other payables approximated the carrying value
due to the short maturity of the instruments, quoted market prices or interest rates which fluctuate with market rates except for
related party debt or receivables for which it is not practicable to estimate fair value. FAIR VALUE MEASUREMENTS FASB ASC Topic 820, “Fair Value Measurements
and Disclosures”, establishes a framework for measuring fair value and requires additional disclosures about the use of fair
value measurements. Various inputs are considered when determining
the fair 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 carrying value of financial assets and
liabilities recorded at fair value is measured on a recurring or non-recurring 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
had no financial assets and liabilities carried at fair value on a recurring basis. 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. BASIC AND DILUTED EARNINGS PER SHARE Earnings per share (EPS) is calculated in accordance
with the FASB ASC Topic 260, “Earnings Per Share.” Basic net income (loss) per share is based upon the weighted average
number of common shares outstanding. Diluted net income (loss) per share is based on the assumption that all dilutive convertible
shares and stock options were converted or exercised. Dilution is computed by applying the treasury stock method. Under this method,
options and warrants are assumed to be exercised at the beginning of the period (or at the time of issuance, if later), and as
if funds obtained thereby were used to purchase common stock at the average market price during the period. Potentially dilutive
securities to purchase 100,000 shares of common stock were not included in the calculation of the diluted earnings per share as
their effect would be anti-dilutive for the year ended December 31, 2018. During the year ended December 31, 2018, the average
market price of the common stock was less than the exercise price of the stock options and the Company was in net loss position.
Accordingly, the stock options were anti-dilutive and have not been included in the calculation of diluted earnings per share. INCOME TAXES The Company follows Section 740-10-30
of the FASB Accounting Standards Codification, which requires recognition of deferred tax assets and liabilities for the expected
future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred
tax assets and liabilities are based on the differences between the financial statement and tax bases of assets and liabilities
using enacted tax rates in effect for the fiscal year in which the differences are expected to reverse. Deferred tax assets are
reduced by a valuation allowance to the extent management concludes it is more likely than not that the assets will not be realized.
Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the fiscal years
in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities
of a change in tax rates is recognized in the Statements of Income in the period that includes the enactment date. The Company adopted section 740-10-25
of the FASB Accounting Standards Codification (“Section 740-10-25”) with regards to uncertainty in income taxes. Section
740-10-25 addresses the determination of whether tax benefits claimed or expected to be claimed on a tax return should be recorded
in the financial statements. Under Section 740-10-25, the Company may recognize the tax benefit from an uncertain tax position
only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the
technical merits of the position. The tax benefits recognized in the financial statements from such a position should be
measured based on the largest benefit that has a greater than fifty percent (50%) likelihood of being realized upon ultimate settlement.
Section 740-10-25 also provides guidance on de-recognition, classification, interest and penalties on income taxes, accounting
in interim periods and requires increased disclosures. The Company had no material adjustments to its liabilities for unrecognized
income tax benefits according to the provisions of Section 740-10-25. ADOPTION OF NEW ACCOUNTING STANDARDS In March 2016, the FASB issued ASU 2016-02,
Leases The Company continually assesses any
new accounting pronouncements to determine their applicability to the Company. Where it is determined that a new accounting pronouncement
affects the Company’s financial reporting, the Company undertakes a study to determine the consequence of the change to its
financial statements and assures that there are proper controls in place to ascertain that the Company’s financials properly
reflect the change. The Company reports comprehensive income in
accordance with FASB ASC Topic 220 “Comprehensive Income," which established standards for reporting and displaying
comprehensive income and its components in a financial statement that is displayed with the same prominence as other financial
statements. Total comprehensive income is defined as all
changes in stockholders' equity during a period, other than those resulting from investments by and distributions to stockholders
(i.e., issuance of equity securities and dividends). Generally, for the Company, total comprehensive income (loss) equals net income
(loss) plus or minus adjustments for currency translation. While total comprehensive income is the activity
in a period and is largely driven by net earnings in that period, accumulated other comprehensive income or loss (“AOCI”)
represents the cumulative balance of other comprehensive income as of the balance sheet date. For the Company, AOCI is primarily
the cumulative balance related to the currency adjustments and increased overall equity by $587,508 and $587,508 as of December
31, 2018 and December 31, 2017, respectively. GOING CONCERN The accompanying financial statements have
been prepared in conformity with generally accepted accounting principles, which contemplate continuation of the Company as a going
concern. However, as of December 31, 2018, the Company had negative working capital of $1,477, an accumulated deficit of $1,045,165,
and a stockholders’ deficit of $1,477 and as of December 31, 2017, the Company had negative working capital of $492, an accumulated
deficit of $1,044,180 and a stockholders’ deficit of $492. The Company’s ability to continue as a going concern ultimately
is dependent on the management’s ability to obtain equity or debt financing, attain further operating efficiencies, and achieve
profitable operations. The financial statements do not include any adjustments relating to the recoverability and classification
of recorded asset amounts or amounts and classification of liabilities that might be necessary should the Company not be able to
continue as a going concern. Management has taken certain restructuring
steps to provide the necessary capital to continue its operations. These steps included: 1) disposal of the construction-in-progress
new hospital. 2) plan to convert existed related parties’ loans into equity, 3) plan to increase sales revenue with additional
medical equipment, no assurances can be given that the steps taken will provide necessary capital for the Company to continue its
operations. |
