| 2. Summary of Significant Accounting Policies | Note 2 Summary of Significant Accounting Policies Basis of Presentation The Companys financial statements have been prepared in
accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). Principles of Consolidation The Company applies the guidance of Topic 810 Consolidation
The consolidated financial statements include all accounts of the
Company and Innovative Sales as of March 31, 2015 and 2014 and for the reporting periods then ended. All inter-company balances and transactions have been eliminated. Use of Estimates and Assumptions 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 reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of revenues and expenses during the reporting period. The Companys significant estimates include the fair value
of financial instruments; the carrying value and recoverability of long-lived assets, including the values assigned to and the
estimated useful lives of property and equipment and patent; expected term of share options and similar instruments, expected
volatility of the entitys common shares and the method used to estimate it, expected annual rate of quarterly dividends,
and risk free rate(s); income tax rate, income tax provision and valuation allowance of deferred tax assets; and the assumption
that the Company will continue as a going concern. Those significant accounting estimates or assumptions bear the risk of change
due to the fact that there are uncertainties attached to those estimates or assumptions, and certain estimates or assumptions
are difficult to measure or value. Management bases its estimates on historical experience and on
various assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making
judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Management regularly reviews its estimates utilizing currently
available information, changes in facts and circumstances, historical experience and reasonable assumptions. After such reviews,
if deemed appropriate, those estimates are adjusted accordingly. Actual results could differ from those estimates. Fair Value of Financial Instruments The Company follows paragraph 825-10-50-10 of the FASB Accounting
Standards Codification for disclosures about fair value of its financial instruments and has adopted paragraph 820-10-35-37 of
the FASB Accounting Standards Codification (Paragraph 820-10-35-37) to measure the fair value of its financial instruments.
Paragraph 820-10-35-37 of the FASB Accounting Standards Codification establishes a framework for measuring fair value in generally
accepted accounting principles (GAAP), and expands disclosures about fair value measurements. To increase consistency and comparability
in fair value measurements and related disclosures, paragraph 820-10-35-37 of the FASB Accounting Standards Codification establishes
a fair value hierarchy which prioritizes the inputs to valuation techniques used to measure fair value into three (3) broad levels.
The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities
and the lowest priority to unobservable inputs. The three (3) levels of fair value hierarchy defined by paragraph 820-10-35-37
of the FASB Accounting Standards Codification are described below:
Level 1 Quoted market prices available in active markets for identical assets or liabilities as of
the reporting date.
Level 2 Pricing inputs other than quoted prices in active markets included in Level 1, which are either
directly or indirectly observable as of the reporting date.
Level 3 Pricing inputs that are generally observable inputs and not corroborated by market data. Financial assets are considered Level 3 when their fair values
are determined using pricing models, discounted cash flow methodologies or similar techniques and at least one significant model
assumption or input is unobservable. The fair value hierarchy gives the highest priority to quoted prices
(unadjusted) in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. If the inputs
used to measure the financial assets and liabilities fall within more than one level described above, the categorization is based
on the lowest level input that is significant to the fair value measurement of the instrument. The carrying amount of the Companys financial assets and
liabilities, such as cash, prepayments and other current assets, and accrued expenses and other current liabilities approximate
their fair values because of the short maturity of the instruments. Transactions involving related parties cannot be presumed to be
carried out on an arm's-length basis, as the requisite conditions of competitive, free-market dealings may not exist. Representations
about transactions with related parties, if made, shall not imply that the related party transactions were consummated on terms
equivalent to those that prevail in arm's-length transactions unless such representations can be substantiated. Carrying Value, Recoverability and Impairment of Long-Lived
Assets The Company has adopted paragraph 360-10-35-17 of the FASB Accounting
Standards Codification for its long-lived assets. The Companys long-lived assets, which include property and equipment,
and patent, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset
may not be recoverable. The Company assesses the recoverability of its long-lived assets
by comparing the projected undiscounted net cash flows associated with the related long-lived asset or group of long-lived assets
over their remaining estimated useful lives against their respective carrying amounts. Impairment, if any, is based on the excess
of the carrying amount over the fair value of those assets. Fair value is generally determined using the assets expected
future discounted cash flows or market value, if readily determinable. If long-lived assets are determined to be recoverable,
but the newly determined remaining estimated useful lives are shorter than originally estimated, the net book values of the long-lived
assets are depreciated over the newly determined remaining estimated useful lives. The Company considers the following to be some
examples of important indicators that may trigger an impairment review: (i) significant under-performance or losses of assets
relative to expected historical or projected future operating results; (ii) significant changes in the manner or use of assets
or in the Companys overall strategy with respect to the manner or use of the acquired assets or changes in the Companys
overall business strategy; (iii) significant negative industry or economic trends; (iv) increased competitive pressures; and (v)
regulatory changes. The Company evaluates acquired assets for potential impairment indicators at least annually and more frequently
upon the occurrence of such events. The impairment charges, if any, is included in operating expenses
in the accompanying statements of operations. Cash The Company considers all highly liquid investments with maturities
of three months or less at the time of purchase to be cash equivalents. The Company did not have any cash equivalents as of March
31, 2015 and 2014. Property and Equipment Property and equipment is recorded at cost. Expenditures for major
additions and betterments are capitalized. Maintenance and repairs are charged to operations as incurred. Depreciation of property
and equipment is computed by the straight-line method (after taking into account their respective estimated residual values) over
the assets estimated useful life of five (5) to seven (7) years. Upon sale or retirement of property and equipment, the related
cost and accumulated depreciation are removed from the accounts and any gain or loss is reflected in the statements of operations. Patent The Company follows the guidelines as set out in paragraph 350-30-25-3
and paragraph 350-30-35-6 of the FASB Accounting Standards Codification for patent. For acquired patents the Company records the
costs to acquire patents as patent and amortizes the patent acquisition cost over its remaining legal life, or estimated useful
life, or the term of the contract, whichever is shorter. For internal developed patents, all costs incurred to the point when
a patent application is to be filed are expended as incurred as research and development expense; patent application costs, generally
legal costs, thereafter incurred are capitalized, which are to be amortized once the patents are granted or expended if the patent
application is rejected. The Company amortizes the internal developed patents over the shorter of the expected useful lives or
the legal lives of the patents, which are generally 17 to 20 years for domestic patents and 5 to 20 years for foreign patents
from the date when the patents are granted. The costs of defending and maintaining patents are expended as incurred. Upon becoming
fully amortized, the related cost and accumulated amortization are removed from the accounts. Related Parties The Company follows subtopic 850-10 of the FASB Accounting Standards
Codification for the identification of related parties and disclosure of related party transactions. Pursuant to section 850-10-20 the related parties include a) affiliates
of the Company; b) entities for which investments in their equity securities would be required, absent the election of the fair
value option under the Fair Value Option Subsection of section 8251015, to be accounted for by the equity method
by the investing entity; c) trusts for the benefit of employees, such as pension and profit-sharing trusts that are managed by
or under the trusteeship of management; d) principal owners of the Company; e) management of the Company; f) other parties with
which the Company may deal if one party controls or can significantly influence the management or operating policies of the other
to an extent that one of the transacting parties might be prevented from fully pursuing its own separate interests; and g) other
parties that can significantly influence the management or operating policies of the transacting parties or that have an ownership
interest in one of the transacting parties and can significantly influence the other to an extent that one or more of the transacting
parties might be prevented from fully pursuing its own separate interests. The financial statements shall include disclosures of material
related party transactions, other than compensation arrangements, expense allowances, and other similar items in the ordinary
course of business. However, disclosure of transactions that are eliminated in the preparation of consolidated or combined financial
statements is not required in those statements. The disclosures shall include: a) the nature of the relationship(s) involved;
b. a description of the transactions, including transactions to which no amounts or nominal amounts were ascribed, for each of
the periods for which income statements are presented, and such other information deemed necessary to an understanding of the
effects of the transactions on the financial statements; c) the dollar amounts of transactions for each of the periods for which
income statements are presented and the effects of any change in the method of establishing the terms from that used in the preceding
period; and d. amounts due from or to related parties as of the date of each balance sheet presented and, if not otherwise apparent,
the terms and manner of settlement. Commitments and Contingencies The Company follows subtopic 450-20 of the FASB Accounting Standards
Codification to report accounting for contingencies. Certain conditions may exist as of the date the consolidated financial statements
are issued, which may result in a loss to the Company but which will only be resolved when one or more future events occur or
fail to occur. The Company assesses such contingent liabilities, and such assessment inherently involves an exercise of judgment.
In assessing loss contingencies related to legal proceedings that are pending against the Company or unasserted claims that may
result in such proceedings, the Company evaluates the perceived merits of any legal proceedings or unasserted claims as well as
the perceived merits of the amount of relief sought or expected to be sought therein. If the assessment of a contingency indicates that it is probable
that a material loss has been incurred and the amount of the liability can be estimated, then the estimated liability would be
accrued in the Companys consolidated financial statements. If the assessment indicates that a potentially material loss
contingency is not probable but is reasonably possible, or is probable but cannot be estimated, then the nature of the contingent
liability, and an estimate of the range of possible losses, if determinable and material, would be disclosed. Loss contingencies considered remote are generally not disclosed
unless they involve guarantees, in which case the guarantees would be disclosed. Management does not believe, based upon information
available at this time, that these matters will have a material adverse effect on the Companys consolidated financial position,
results of operations or cash flows. However, there is no assurance that such matters will not materially and adversely affect
the Companys business, financial position, and results of operations or cash flows. Income Tax Provision The Company follows paragraph 740-10-30-2 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 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 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 Operations in the period that includes the enactment date. The Company adopted the provisions of paragraph 740-10-25-13 of
the FASB Accounting Standards Codification. Paragraph 740-10-25-13 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 paragraph 740-10-25-13, 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. Paragraph 740-10-25-13 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 paragraph
740-10-25-13. The estimated future tax effects of temporary differences between
the tax basis of assets and liabilities are reported in the accompanying consolidated balance sheets, as well as tax credit carry-backs
and carry-forwards. The Company periodically reviews the recoverability of deferred tax assets recorded on its consolidated balance
sheets and provides valuation allowances as management deems necessary. Management makes judgments as to the interpretation of the tax
laws that might be challenged upon an audit and cause changes to previous estimates of tax liability. In addition, the Company
operates within multiple taxing jurisdictions and is subject to audit in these jurisdictions. In managements opinion, adequate
provisions for income taxes have been made for all years. If actual taxable income by tax jurisdiction varies from estimates,
additional allowances or reversals of reserves may be necessary. Uncertain Tax Positions The Company did not take any uncertain tax positions and had no
adjustments to its income tax liabilities or benefits pursuant to the provisions of Section 740-10-25 for the reporting period
ended March 31, 2015 or 2014. Limitation on Utilization of NOLs due to Change in Control Pursuant to the Internal Revenue Code Section 382 (Section
382), certain ownership changes may subject the NOLs to annual limitations which could reduce or defer the NOL.
Section 382 imposes limitations on a corporations ability to utilize NOLs if it experiences an ownership change.
In general terms, an ownership change may result from transactions increasing the ownership of certain stockholders in the stock
of a corporation by more than 50 percentage points over a three-year period. In the event of an ownership change, utilization
of the NOLs would be subject to an annual limitation under Section 382 determined by multiplying the value of its stock at the
time of the ownership change by the applicable long-term tax-exempt rate. Any unused annual limitation may be carried over to
later years. The imposition of this limitation on its ability to use the NOLs to offset future taxable income could cause the
Company to pay U.S. federal income taxes earlier than if such limitation were not in effect and could cause such NOLs to expire
unused, reducing or eliminating the benefit of such NOLs. Net Income (Loss) per Common Share Net income (loss) per common share is computed pursuant to section
260-10-45 of the FASB Accounting Standards Codification. Basic net income (loss) per common share is computed by dividing net
income (loss) by the weighted average number of shares of common stock outstanding during the period. Diluted net income (loss)
per common share is computed by dividing net income (loss) by the weighted average number of shares of common stock and potentially
outstanding shares of common stock during the period to reflect the potential dilution that could occur from common shares issuable
through stock options and warrants. The following table shows the number of potentially outstanding
dilutive common shares excluded from the diluted net income (loss) per common share calculation as they were anti-dilutive:
Potentially Outstanding Dilutive Common Shares
For Fiscal Year Ended March 31, 2015 For
Fiscal Year Ended March 31, 2014
Warrant Shares
Warrants issued on June 5, 2012 to an institutional investor in connection with the Companys June 5, 2012 equity financing with an exercise price of $0.75 per share expiring two (2) years from the date of issuance 1,200,000
Total potentially outstanding dilutive common shares 1,200,000 Subsequent Events The Company follows the guidance in Section 855-10-50 of the FASB
Accounting Standards Codification for the disclosure of subsequent events. The Company will evaluate subsequent events through
the date when the financial statements were issued. Pursuant to ASU 2010-09 of the FASB Accounting Standards Codification, the
Company as an SEC filer considers its financial statements issued when they are widely distributed to users, such as through filing
them on EDGAR. Recently Issued Accounting Pronouncements In April 2014, the FASB issued ASU No. 2014-08, Presentation of
Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures
of Disposals of Components of an Entity. The amendments in this Update change the requirements for reporting discontinued operations
in Subtopic 205-20. Under the new guidance, a discontinued
operation is defined as a disposal of a component or group of components that is disposed of or is classified as held for sale
and represents a strategic shift that has (or will have) a major effect on an entitys operations and financial results.
The ASU states that a strategic shift could include a disposal of (i) a major geographical area of operations, (ii) a major line
of business, (iii) a major equity method investment, or (iv) other major parts of an entity. Although major is not
defined, the standard provides examples of when a disposal qualifies as a discontinued operation. The ASU also requires additional disclosures about discontinued
operations that will provide more information about the assets, liabilities, income and expenses of discontinued operations. In
addition, the ASU requires disclosure of the pre-tax profit or loss attributable to a disposal of an individually significant
component of an entity that does not qualify for discontinued operations presentation in the financial statements. The ASU is effective for public business entities for annual periods
beginning on or after December 15, 2014, and interim periods within those years. In May 2014, the FASB issued the FASB Accounting Standards Update
No. 2014-09 Revenue from Contracts with Customers (Topic 606) (ASU 2014-09) This guidance amends the existing FASB Accounting Standards Codification,
creating a new Topic 606, Revenue from Contracts with Customer. To achieve that core principle, an entity should apply the following
steps:
1. Identify the contract(s) with the customer
2. Identify the performance obligations in the contract
3. Determine the transaction price
4. Allocate the transaction price to the performance obligations in the contract
5. Recognize revenue when (or as) the entity satisfies a performance obligations The ASU also provides guidance on disclosures that should be provided
to enable financial statement users to understand the nature, amount, timing, and uncertainty of revenue recognition and cash
flows arising from contracts with customers. Qualitative and quantitative information is required about the following:
1. Contracts with customers
2. Significant judgments and changes in judgments
3. Assets recognized from the costs to obtain or fulfill a contract. ASU 2014-09 is effective for periods beginning after December 15,
2016, including interim reporting periods within that reporting period for all public entities. Early application is not permitted. In June 2014, the FASB issued ASU No. 2014-10, Development Stage
Entities (Topic 915): Elimination of Certain Financial Reporting Requirements. The amendments in this Update remove the definition of a development
stage entity from the Master Glossary of the Accounting Standards Codification, thereby removing the financial reporting distinction
between development stage entities and other reporting entities from U.S. GAAP. In addition, the amendments eliminate the requirements
for development stage entities to (1) present inception-to-date information in the statements of income, cash flows, and shareholder
equity, (2) label the financial statements as those of a development stage entity, (3) disclose a description of the development
stage activities in which the entity is engaged, and (4) disclose in the first year in which the entity is no longer a development
stage entity that in prior years it had been in the development stage. The amendments also clarify that the guidance in Topic 275, Risks
and Uncertainties, is applicable to entities that have not commenced planned principal operations. Finally, the amendments remove paragraph 810-10-15-16. Paragraph
810-10-15-16 states that a development stage entity does not meet the condition in paragraph 810-10-15-14(a) to be a variable
interest entity if (1) the entity can demonstrate that the equity invested in the legal entity is sufficient to permit it to finance
the activities that it is currently engaged in and (2) the entitys governing documents and contractual arrangements allow
additional equity investments. The amendments in this Update also
eliminate an exception provided to development stage entities in Topic 810, Consolidation, for determining whether an entity is
a variable interest entity on the basis of the amount of investment equity that is at risk. The amendments to eliminate that exception
simplify U.S. GAAP by reducing avoidable complexity in existing accounting literature and improve the relevance of information
provided to financial statement users by requiring the application of the same consolidation guidance by all reporting entities.
The elimination of the exception may change the consolidation analysis, consolidation decision, and disclosure requirements for
a reporting entity that has an interest in an entity in the development stage. The amendments related to the elimination of inception-to-date
information and the other remaining disclosure requirements of Topic 915 should be applied retrospectively except for the clarification
to Topic 275, which shall be applied prospectively. For public business entities, those amendments are effective for annual reporting
periods beginning after December 15, 2014, and interim periods therein. Early application of each of the amendments is permitted for any
annual reporting period or interim period for which the entitys financial statements have not yet been issued (public business
entities) or made available for issuance (other entities). Upon adoption, entities will no longer present or disclose any information
required by Topic 915. In July 2015, the FASB issued ASU 2015-12, Plan Accounting:
Defined Benefits Pension Plans (Topic 960), Defined Contribution Pension Plans (Topic 962) and Health and Welfare Benefit Plans
(Topic 965): I. Fully Benefit-Responsive Investment Contracts; II. Plan Investment Disclosures; and III. Measurement Date
Practical Expedient On July 22, 2015, the FASB issued Accounting Standards Update No.
2015-11, Simplifying the Measurement of Inventory In June 2015, the FASB issued ASU 2015-10, Technical Corrections
and Improvements In May 2015, the FASB issued Accounting Standards Update No. 2015-09,
Financial ServicesInsurance (Topic 944): Disclosures about Short-Duration Contracts, In May 2015, the FASB issued ASU 2015-08, Business Combinations
(Topic 805) - Pushdown Accounting - Amendments to SEC Paragraphs Pursuant to Staff Bulletin No. 115 Business Combinations (Topic 805): Pushdown Accounting In May 2015, the FASB issued ASU 2015-07, Fair Value Measurement
(Topic 820) - Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent) In April 2015, the FASB issued ASU No. 2015-06, Earnings Per
Share (Topic 260) - Effects on Historical Earnings per Unit of Master Limited Partnership Dropdown Transactions In April 2015, the Financial Accounting Standards Board, or FASB,
issued Accounting Standards Update No. 2015-05, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40):
Customers Accounting for Fees Paid in a Cloud Computing Arrangement In April 2015, the FASB issued ASU No. 2015-04 (ASU 2015-04), Compensation-Retirement
Benefits (Topic 715): Practical Expedient for the Measurement Date of an Employers Defined Benefit Obligation and Plan
Assets In April 2015, the FASB issued Accounting Standards Update No.
2015-03, Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs In February 2015, the FASB issued Accounting Standards Update
No. 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis In January 2015, the FASB issued ASU No. 2015-01, Income StatementExtraordinary
and Unusual Items ("ASU No. 2015-01"), which eliminates from U.S. GAAP the concept of extraordinary items. Extraordinary
items are events and transactions that are distinguished by their unusual nature and by the infrequency of their occurrence. ASU
No. 2015-01 simplifies income statement presentation by altogether removing the concept of extraordinary items from consideration.
ASU No. 2015-01 is effective for annual periods and interim periods within those annual periods beginning after December 15, 2015.
We will adopt ASU No. 2015-01 as of our quarter ending March 31, 2016. We believe that the adoption of this update will not have
a material impact on our financial statements. Management does not believe that any other recently issued, but
not yet effective accounting pronouncements, if adopted, would have a material effect on the accompanying financial statements. |
