| Summary of Significant Accounting Policies | NOTE 1 SUMMARY
OF SIGNIFICANT ACCOUNTING POLICIES Organization
and Nature of Business On February 25, 2008, Advanced Credit
Technologies, Inc. (the "Company") was incorporated in the State of Nevada. Advanced Credit
Technologies, Inc. provides a state of the art credit management platform that is a web based delivery system. Industries
that benefit from the Company's technology include realtors, auto dealers and loan originators. Basis
of Presentation The accompanying unaudited condensed
consolidated financial statements have been prepared in accordance with United States of America generally accepted accounting
principles (GAAP) and the rules of the Securities and Exchange Commission, and should be read in conjunction with
the audited financial statements and notes thereto contained in the Companys most recent Annual Financial Statements filed
with the SEC on Form 10-K for fiscal year 2015. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary
for a fair presentation of financial position and the results of operations for the interim period presented have been reflected
herein. Operating results for the three
month period ending March 31, 2017 are not necessarily indicative of the results that may be expected for the full year. Reclassification Certain reclassifications have been
made to conform previously reported data to the current presentation. These reclassifications have no effect on our net income
(loss) or financial position as previously reported. Use of Estimates In
preparing these financial statements, management makes estimates and assumptions that affect the reported amounts of assets and
liabilities in the balance sheets and revenues and expenses during the year reported. Actual results may differ from these estimates.
The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes
to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of
assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results
experienced by the Company may differ materially and adversely from the Company's estimates. To the extent there are material differences
between the estimates and the actual results, future results of operations will be affected. Net Loss per Common Share: Cash
and Cash Equivalents Cash
equivalents are comprised of certain highly liquid investments with maturities of three months or less when purchased. The Company
maintains its cash in bank deposit accounts, which at times, may exceed federally insured limits. The Company has not experienced
any losses related to this concentration of risk. As of March 31, 2017 and December 31, 2016, the Company had $0 in deposits in
excess of federally-insured limits. Research
and Development, Software Development Costs, and Internal Use Software Development Costs Software development
costs are accounted for in accordance with ASC Topic No. 985. Software development costs are capitalized once technological feasibility
of a product is established and such costs are determined to be recoverable. For products where proven technology exists, this
may occur very early in the development cycle. Factors we consider in determining when technological feasibility has been established
include (i) whether a proven technology exists; (ii) the quality and experience levels of the individuals developing
the software; (iii) whether the software is similar to previously developed software which has used the same or similar technology;
and (iv) whether the software is being developed with a proven underlying engine. Technological feasibility is evaluated on
a product-by-product basis. Capitalized costs for those products that are canceled or abandoned are charged immediately to cost
of sales. The recoverability of capitalized software development costs is evaluated on the expected performance of the specific
products for which the costs relate. Internal
use software development costs are accounted for in accordance with ASC Topic No. 350 which requires the capitalization of certain
external and internal computer software costs incurred during the application development stage. The application development stage
is characterized by software design and configuration activities, coding, testing and installation. Training costs and maintenance
are expensed as incurred, while upgrades and enhancements are capitalized if it is probable that such expenditures will result
in additional functionality. In accounting
for website software development costs, we have adopted the provisions of ASC Topic No. 350. ASC Topic No. 350 provides that certain
planning and training costs incurred in the development of website software be expensed as incurred, while application development
stage costs are to be capitalized. During the three months ending March 31, 2017 and 2016, we expensed $0 and $0 expenditure on
research and development, respectively. During the three months ending March
31, 2017 and 2016, we have capitalized external and internal use software and website development costs totaling $0 and $0,
respectively. The estimated useful life of costs capitalized is evaluated for each specific project and ranges from one to three
years. Advertising Expenses Advertising costs are expensed as
incurred. Advertising expenses included in the Statement of Operations for the three months ending March 31, 2017 and 2016
is $0 and $0, respectively. Fixed Assets The Company
records its fixed assets at historical cost. The Company expenses maintenance and repairs as incurred. Upon disposition of fixed
assets, the gross cost and accumulated depreciation are written off and the difference between the proceeds and the net book value
is recorded as a gain or loss on sale of assets. The Company depreciates its fixed assets over their respective estimated useful
lives ranging from 3 to 5 years. Intangible and Long-Lived Assets The Company
follows FASB ASC 360-10, "Property, Plant, and Equipment," Revenue Recognition The Company
recognizes revenue when it is realized or realizable and earned. The Company considers revenue realized or realizable and earned
when it has persuasive evidence of an arrangement, delivery has occurred, the sales price is fixed and determinable, and collectability
is reasonably assured. Determining whether some or all of these criteria have been met involves assumptions and judgments that
can have a significant impact on the timing and amount of revenue the Company reports. Fair Value Measurements For certain
financial instruments, including accounts receivable, accounts payable, accrued expenses, interest payable, advances payable and
notes payable, the carrying amounts approximate fair value due to their relatively short maturities. The Company
has adopted FASB ASC 820-10, "Fair Value Measurements and Disclosures." ·
Level 1 inputs to the valuation
methodology are quoted prices for identical assets or liabilities in active markets. ·
Level 2 inputs to the valuation
methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the
asset or liability, either directly or indirectly, for substantially the full term of the financial instrument. ·
Level 3 inputs to the valuation
methodology are unobservable and significant to the fair value measurement. The Company
did not identify any other non-recurring assets and liabilities that are required to be presented in the balance sheets at fair
value in accordance with FASB ASC 815. In February
2007, the FASB issued FAS No. 159, "The Fair Value Option for Financial Assets and Financial Liabilities," "Financial Instruments." Segment Reporting FASB ASC 280, "Segment
Reporting" Income Taxes Deferred income
taxes are provided using the liability method whereby deferred tax assets are recognized for deductible temporary differences and
operating loss and tax credit carry forwards, and deferred tax liabilities are recognized for taxable temporary differences. Temporary
differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets
are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of
the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of the changes in
tax laws and rates of the date of enactment. When tax returns
are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while
others are subject to uncertainty about the merits of the position taken or the amount of the position that would be ultimately
sustained. The benefit of a tax position is recognized in the financial statements in the period during which, based on all available
evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution
of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions
that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50 percent
likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax
positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits in
the accompanying balance sheets along with any associated interest and penalties that would be payable to the taxing authorities
upon examination. Applicable interest and penalties associated with unrecognized tax benefits are classified as additional income
taxes in the statements of operations. Earnings (Loss) Per Share Earnings per
share is calculated in accordance with the FASB ASC 260-10, "Earnings Per Share." Basic earnings (loss) per share is
based upon the weighted average number of common shares outstanding. Diluted earnings (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. At March 31, 2017 and December 31,
2016, no potentially dilutive shares were outstanding. The computation
of earnings per share of common stock is based on the weighted average number of shares outstanding at the date of the financial
statements. Stock Based Compensation The Company
adopted FASB ASC Topic 718 Compensation Stock Compensation (formerly SFAS 123R), which establishes the use
of the fair value based method of accounting for stock-based compensation arrangements under which compensation cost is determined
using the fair value of stock-based compensation determined as of the date of grant and is recognized over the periods in which
the related services are rendered. For stock based compensation the Company recognizes an expense in accordance with
FASB ASC Topic 718 and values the equity securities based on the fair value of the security on the date of grant. Stock
option awards are valued using the Black-Scholes option-pricing model. The Company
accounts for stock issued to non-employees where the value of the stock compensation is based upon the measurement date as determined
at either (a) the date at which a performance commitment is reached, or (b) at the date at which the necessary performance to earn
the equity instruments is complete. Recent Accounting Pronouncements In
January 2016, the FASB issued ASU No. 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities, which
revises the accounting related to (1) the classification and measurement of investments in equity securities and (2) the presentation
of certain fair value changes for financial liabilities measured at fair value. The ASU also amends certain disclosure requirements
associated with the fair value of financial instruments. The new guidance requires the fair value measurement of investments in
equity securities and other ownership interests in an entity, including investments in partnerships, unincorporated joint ventures
and limited liability companies (collectively, equity securities) that do not result in consolidation and are not accounted for
under the equity method. Entities will need to measure these investments and recognize changes in fair value in net income. Entities
will no longer be able to recognize unrealized holding gains and losses on equity securities they classify under current guidance
as available for sale in other comprehensive income (OCI). They also will no longer be able to use the cost method of accounting
for equity securities that do not have readily determinable fair values. Instead, for these types of equity investments that do
not otherwise qualify for the net asset value practical expedient, entities will be permitted to elect a practicability exception
and measure the investment at cost less impairment plus or minus observable price changes (in orderly transactions). The ASU also
establishes an incremental recognition and disclosure requirement related to the presentation of fair value changes of financial
liabilities for which the fair value option (FVO) has been elected. Under this guidance, an entity would be required to separately
present in OCI the portion of the total fair value change attributable to instrument-specific credit risk as opposed to reflecting
the entire amount in earnings. For derivative liabilities for which the FVO has been elected, however, any changes in fair value
attributable to instrument-specific credit risk would continue to be presented in net income, which is consistent with current
guidance. For the Company, this standard is effective beginning January 1, 2018 via a cumulative-effect adjustment to beginning
retained earnings, except for guidance relative to equity securities without readily determinable fair values which is applied
prospectively. The Company is currently assessing this ASU's impacts on the Company's consolidated results of operations and financial
condition. In March 2016, the FASB issued ASU 2016-08,
Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus
Net). The amendments in this ASU are intended to improve the operability and understandability of the implementation guidance
on principal versus agent considerations by amending certain existing illustrative examples and adding additional illustrative
examples to assist in the application of the guidance. The effective date and transition of these amendments is the same as the
effective date and transition of ASU 2014-09, Revenue from Contracts with Customers (Topic 606). Public entities
should apply the amendments in ASU 2014-09 for annual reporting periods beginning after December 15, 2017, including interim reporting
periods therein. The Company is currently in the process of evaluating the impact of the adoption on its financial statements. In August
2016, the FASB issued ASU No. 2016-15, Classification of Certain Cash Receipts and Cash
Payments, which is intended to reduce diversity in practice in how certain cash receipts
and payments are presented and classified in the statement of cash flows. The standard provides guidance in a number of situations
including, among others, settlement of zero-coupon bonds, contingent consideration payments made after a business combination,
proceeds from the settlement of insurance claims, and distributions received from equity method investees. The ASU also provides
guidance for classifying cash receipts and payments that have aspects of more than one class of cash flows. For the Company, this
ASU is effective January 1, 2018, with early adoption permitted. The standard requires application using a retrospective transition
method. The Company is currently assessing this ASUs impact on its results of operations and financial condition. In November 2016, the FASB issued ASU
No. 2016-18, Restricted Cash, which clarifies guidance on the classification and presentation of restricted cash in the statement
of cash flows. Under the ASU, changes in restricted cash and restricted cash equivalents would be included along with those of
cash and cash equivalents in the statement of cash flows. As a result, entities would no longer present transfers between cash/equivalents
and restricted cash/equivalents in the statement of cash flows. In addition, a reconciliation between the balance sheet and the
statement of cash flows would be disclosed when the balance sheet includes more than one line item for cash/equivalents and restricted
cash/equivalents. For the Company, this ASU is effective January 1, 2018, with early adoption permitted. Entities are required
to apply the standards provisions on a retrospective basis. The Company does not expect this ASU to have a material impact
on the Companys consolidated results of operations and financial condition. |
