| Significant and Critical Accounting Policies and Practices (Policies) | 6 Months Ended |
| Sep. 30, 2015 |
| Significant And Critical Accounting Policies And Practices Policies | |
| Basis of Presentation - Unaudited Interim Financial Information | Basis of Presentation - Unaudited
Interim Financial Information The accompanying
unaudited interim consolidated financial statements and related notes have been prepared in accordance with accounting principles
generally accepted in the United States of America (“U.S. GAAP”) for interim financial information, and with the rules
and regulations of the United States Securities and Exchange Commission (“SEC”) to Form 10-Q and Article 8 of Regulation
S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial
statements. The unaudited interim financial statements furnished reflect all adjustments (consisting of normal recurring
accruals) which are, in the opinion of management, necessary to a fair statement of the results for the interim periods presented. Interim
results are not necessarily indicative of the results for the full year. These unaudited interim consolidated financial
statements should be read in conjunction with the CompanyÂ’s consolidated financial statements for the fiscal year ended March
31, 2015 and notes thereto contained in the CompanyÂ’s Form 10-K filed with the SEC on July 14, 2015. |
| Fiscal Year End | Fiscal Year End |
| Use of Estimates and Assumptions and Critical Accounting Estimates and Assumptions | Use of Estimates and Assumptions
and Critical Accounting Estimates and Assumptions Critical accounting estimates are estimates
for which (a) the nature of the estimate is material due to the levels of subjectivity and judgment necessary to account for highly
uncertain matters or the susceptibility of such matters to change and (b) the impact of the estimate on financial condition or
operating performance is material. The CompanyÂ’s critical accounting estimates and assumptions affecting the financial statements
were:
(i) Assumption as a going concern
(ii) Allowance for doubtful accounts
(iii) Inventory Obsolescence and Markdowns
(iv) Fair value of long-lived assets:
(v) Valuation allowance for deferred tax assets:
(vi) Estimates and assumptions used in valuation of equity instruments: Management bases its estimates on historical
experience and on various assumptions that are believed to be reasonable in relation to the financial statements taken as a whole
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 evaluates the key
factors and assumptions used to develop the estimates utilizing currently available information, changes in facts and circumstances,
historical experience and reasonable assumptions. After such evaluations, if deemed appropriate, those estimates are adjusted accordingly. Actual results could differ from those
estimates. |
| Principles of Consolidation | Principles of Consolidation The Company applies the guidance of Topic
810 “Consolidation” The Company's consolidated subsidiary
and/or entity is as follows:
Name of consolidated subsidiary or entity State or other jurisdiction of incorporation or organization Date of incorporation or formation (date of acquisition, if applicable) Attributable interest
LiveXLive, Corp. (formerly FestreamTV, Corp.) Delaware February 24, 2015 100 %
KoKo (Camden) Holdings (US), Inc. Delaware March 17, 2014 100 %
Koko (Camden) Limited United Kingdom November 7, 2013 100 %
Obar (Camden) Holdings Limited United Kingdom October 17, 2012 50 %
Obar (Camden) Limited United Kingdom November 13, 2003 50 % The consolidated financial statements
include all accounts of the Company and the consolidated subsidiaries and/or entities as of reporting period ending date(s) and
for the reporting period(s) then ended. All inter-company balances and transactions
have been eliminated. |
| Reverse Acquisitions | Reverse Acquisitions Identification of the
Accounting Acquirer The Company considers factors in ASC
paragraphs 805-10-55-10 through 55-15 in identifying accounting acquirer. The Company uses the existence of a controlling financial
interest to identify the acquirer—the entity that obtains control of the acquiree. Other pertinent facts and circumstances
also shall be considered in identifying the acquirer in a business combination effected by exchanging equity interests, including
the following: a. The relative voting rights in the combined entity after the business combination. The acquirer usually is the
combining entity whose owners as a group retain or receive the largest portion of the voting rights in the combined entity taking
into consideration the existence of any unusual or special voting arrangements and options, warrants, or convertible securities.
b. The existence of a large minority voting interest in the combined entity if no other owner or organized group of owners has
a significant voting interest. The acquirer usually is the combining entity whose single owner or organized group of owners holds
the largest minority voting interest in the combined entity. c. The composition of the governing body of the combined entity. The
acquirer usually is the combining entity whose owners have the ability to elect or appoint or to remove a majority of the members
of the governing body of the combined entity. d. The composition of the senior management of the combined entity. The acquirer
usually is the combining entity whose former management dominates the management of the combined entity. e. The terms of the exchange
of equity interests. The acquirer usually is the combining entity that pays a premium over the pre-combination fair value Pursuant to ASC Paragraph 805-40-05-2
as one example of a reverse acquisition, a private operating entity may arrange for a public entity to acquire its equity interests
in exchange for the equity interests of the public entity. In this situation, the public entity is the legal acquirer because it
issued its equity interests, and the private entity is the legal acquiree because its equity interests were acquired. However,
application of the guidance in paragraphs 805-10-55-11 through 55-15 results in identifying: a. The public entity as the acquiree acquirer Measuring the Consideration
Transferred and Non-controlling Interest Pursuant to ASC Paragraphs 805-40-30-2
and 30-3 in a reverse acquisition, the accounting acquirer usually issues no consideration for the acquiree acquisition-date
fair value Acquisition-Related
Costs Pursuant to
FASB ASC Paragraph 805-10-25-23 acquisition-related costs are costs the acquirer incurs to effect a business combination.
Those costs include finderÂ’s fees; advisory, legal, accounting, valuation, and other professional or consulting fees; general
administrative costs, including the costs of maintaining an internal acquisitions department; and costs of registering and issuing
debt and equity securities. The acquirer shall account for acquisition related costs as expenses in the periods in which the costs
are incurred and the services are received, with one exception. The costs to issue debt or equity securities shall be recognized
in accordance with other applicable GAAP. Presentation of Consolidated
Financial Statements Post Reverse Acquisition Pursuant to ASC Paragraphs 805-40-45-1
and 45-2 consolidated financial statements following a reverse acquisition are issued under the name of the legal parent (accounting
acquiree) but described in the notes as a continuation of the financial statements of the legal subsidiary (accounting acquirer),
with one adjustment, which is to retroactively adjust the accounting acquirerÂ’s legal capital to reflect the legal capital
of the accounting acquiree. That adjustment is required to reflect the capital of the legal parent (the accounting acquiree). Comparative
information presented in those consolidated financial statements also is retroactively adjusted to reflect the legal capital of
the legal parent (accounting acquiree). The consolidated financial statements reflect all of the following: a. The assets and liabilities
of the legal subsidiary (the accounting acquirer) recognized and measured at their pre-combination carrying amounts. b. The assets
and liabilities of the legal parent (the accounting acquiree) recognized and measured in accordance with the guidance in Topic
805 "business combinations" fair value non-controlling interest Pursuant to ASC Paragraphs 805-40-45-4
and 45-5 In calculating the weighted-average number of common shares outstanding (the denominator of the earnings-per-share (“EPS”)
calculation) during the period in which the reverse acquisition occurs: a. The number of common shares outstanding from the beginning
of that period to the acquisition date |
| Fair Value of Financial Instruments | 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 amounts of the CompanyÂ’s
financial assets and liabilities, such as cash, accounts receivable, prepaid expenses, accounts payable, accrued expenses, and
payroll liabilities approximate their fair values because of the short maturity of these 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. |
| Fair Value of Non-Financial Assets or Liabilities Measured on a Recurring Basis | Fair Value of Non-Financial Assets
or Liabilities Measured on a Recurring Basis The CompanyÂ’s non-financial assets
include inventories. The Company identifies potentially excess and slow-moving inventories by evaluating turn rates, inventory
levels and other factors. Excess quantities are identified through evaluation of inventory aging, review of inventory turns and
historical sales experiences. The Company provides lower of cost or market reserves for such identified excess and slow-moving
inventories. The Company establishes a reserve for inventory shrinkage, if any, based on the historical results of physical inventory
cycle counts. |
| Carrying Value, Recoverability and Impairment of Long-Lived Assets | Carrying Value, Recoverability
and Impairment of Long-Lived Assets The Company has adopted Section 360-10-35
of the FASB Accounting Standards Codification for its long-lived assets. Pursuant to ASC Paragraph 360-10-35-17 an impairment loss
shall be recognized only if the carrying amount of a long-lived asset (asset group) is not recoverable and exceeds its fair value.
The carrying amount of a long-lived asset (asset group) is not recoverable if it exceeds the sum of the undiscounted cash flows
expected to result from the use and eventual disposition of the asset (asset group). That assessment shall be based on the carrying
amount of the asset (asset group) at the date it is tested for recoverability. An impairment loss shall be measured as the amount
by which the carrying amount of a long-lived asset (asset group) exceeds its fair value. Pursuant to ASC Paragraph 360-10-35-20
if an impairment loss is recognized, the adjusted carrying amount of a long-lived asset shall be its new cost basis. For a depreciable
long-lived asset, the new cost basis shall be depreciated (amortized) over the remaining useful life of that asset. Restoration
of a previously recognized impairment loss is prohibited. Pursuant to ASC Paragraph 360-10-35-21,
the CompanyÂ’s long-lived asset (asset group) is tested for recoverability whenever events or changes in circumstances indicate
that its carrying amount may not be recoverable. The Company considers the following to be some examples of such events or changes
in circumstances that may trigger an impairment review: (a) significant decrease in the market price of a long-lived asset (asset
group); (b) A significant adverse change in the extent or manner in which a long-lived asset (asset group) is being used or in
its physical condition; (c) A significant adverse change in legal factors or in the business climate that could affect the value
of a long-lived asset (asset group), including an adverse action or assessment by a regulator; (d) An accumulation of costs significantly
in excess of the amount originally expected for the acquisition or construction of a long-lived asset (asset group); (e) A current-period
operating or cash flow loss combined with a history of operating or cash flow losses or a projection or forecast that demonstrates
continuing losses associated with the use of a long-lived asset (asset group); and (f) A current expectation that, more likely
than not, a long-lived asset (asset group) will be sold or otherwise disposed of significantly before the end of its previously
estimated useful life. The Company tests its long-lived assets for potential impairment indicators at least annually and more frequently
upon the occurrence of such events. Pursuant to ASC Paragraphs 360-10-45-4
and 360-10-45-5, an impairment loss recognized for a long-lived asset (asset group) to be held and used shall be included in income
from continuing operations before income taxes in the income statement of a business entity. If a subtotal such as income from
operations is presented, it shall include the amount of that loss. A gain or loss recognized on the sale of a long-lived asset
(disposal group) that is not a component of an entity shall be included in income from continuing operations before income taxes
in the income statement of a business entity. If a subtotal such as income from operations is presented, it shall include the amounts
of those gains or losses. |
| Cash Equivalents | Cash
Equivalents The Company considers all highly
liquid investments with maturities of three months or less at the time of purchase to be cash equivalents. |
| Accounts Receivable and Allowance for Doubtful Accounts | Accounts Receivable and Allowance
for Doubtful Accounts Pursuant to FASB ASC paragraph 310-10-35-47,
trade receivables that management has the intent and ability to hold for the foreseeable future shall be reported in the balance
sheet at outstanding principal adjusted for any charge-offs and the allowance for doubtful accounts. The Company follows FASB ASC
paragraphs 310-10-35-7 through 310-10-35-10 to estimate the allowance for doubtful accounts. Pursuant to FASB ASC paragraph 310-10-35-9,
losses from uncollectible receivables shall be accrued when both of the following conditions are met: (a) information available
before the financial statements are issued or are available to be issued (as discussed in Section 855-10-25) indicates that it
is probable that an asset has been impaired at the date of the financial statements, and (b) the amount of the loss can be reasonably
estimated. Those conditions may be considered in relation to individual receivables or in relation to groups of similar types of
receivables. If the conditions are met, accrual shall be made even though the particular receivables that are uncollectible may
not be identifiable. The Company reviews individually each trade receivable for collectability and performs on-going credit evaluations
of its customers and adjusts credit limits based upon payment history and the customerÂ’s current credit worthiness, as determined
by the review of their current credit information; and determines the allowance for doubtful accounts based on historical write-off
experience, customer specific facts and general economic conditions that may affect a clientÂ’s ability to pay. Bad debt expense
is included in general and administrative expenses, if any. Pursuant to FASB ASC paragraph 310-10-35-41,
credit losses for trade receivables (uncollectible trade receivables), which may be for all or part of a particular trade receivable,
shall be deducted from the allowance. The related trade receivable balance shall be charged off in the period in which the trade
receivables are deemed uncollectible. Recoveries of trade receivables previously charged off shall be recorded when received. The
Company charges off its trade account receivables against the allowance after all means of collection have been exhausted and the
potential for recovery is considered remote. There was no allowance for doubtful accounts
at September 30, 2015 or March 31, 2015. |
| Inventories | Inventories Inventory Valuation The Company values inventories, consisting
of consumables and purchased merchandise for resale, at the lower of cost or market. Cost is determined on the first-in and first-out
(“FIFO”) method. The Company reduces inventories for the diminution of value, resulting from product obsolescence,
damage or other issues affecting marketability, equal to the difference between the cost of the inventory and its estimated market
value. Factors utilized in the determination of estimated market value include (i) current sales data, (ii) estimates
of future demand, (iii) competitive pricing pressures, and (iv) product expiration dates. Inventory Obsolescence
and Markdowns The Company evaluates its current level
of inventories considering historical sales and other factors and, based on this evaluation, classify inventory markdowns in the
statements of income as a component of cost of sales pursuant to Paragraph 420-10-S99 of the FASB Accounting Standards Codification
to adjust inventories to net realizable value. These markdowns are estimates, which could vary significantly from actual requirements
if future economic conditions, customer demand or competition differ from expectations. The Company normally carries approximately
four weeksÂ’ worth of pre-packaged and fresh food, soft drinks and liquor supplies and replenishes them when the number of
individual items falls below the reorder point. Lower of Cost or Market
Adjustments There was no lower of cost or market
adjustments for the reporting period ended September 30, 2015 or 2014. Slow-Moving or Obsolescence
Markdowns The Company
recorded no inventory obsolescence adjustments for the reporting period ended September 30, 2015 or 2014. |
| Property and Equipment | 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 is computed by the straight-line method (after taking into account their respective estimated residual values) over
the estimated useful lives of the respective assets as follows:
Estimated Useful
Leasehold improvement 25
Furniture and fixtures 5
Production and entertainment equipment 10 (*) Amortized on a straight-line
basis over the term of the lease or the estimated useful lives, whichever is shorter. Upon sale or retirement, the related
cost and accumulated depreciation are removed from the accounts and any gain or loss is reflected in the statements of operations. |
| Leases | Leases Lease agreements are evaluated to determine
whether they are capital leases or operating leases in accordance with paragraph 840-10-25-1 of the FASB Accounting Standards Codification
(“Paragraph 840-10-25-1”). Pursuant to Paragraph 840-10-25-1, a lessee and a lessor shall consider whether a lease
meets any of the following four criteria as part of classifying the lease at its inception under the guidance in the Lessees Subsection
of this Section (for the lessee) and the Lessors Subsection of this Section (for the lessor): a. Transfer of ownership. The lease
transfers ownership of the property to the lessee by the end of the lease term. This criterion is met in situations in which the
lease agreement provides for the transfer of title at or shortly after the end of the lease term in exchange for the payment of
a nominal fee, for example, the minimum required by statutory regulation to transfer title. b. Bargain purchase option. The
lease contains a bargain purchase option. c. Lease term. The lease term is equal to 75 percent or more of the estimated economic
life of the leased property. d. Minimum lease payments. The present value at the beginning of the lease term of the minimum
lease payments, excluding that portion of the payments representing executory costs such as insurance, maintenance, and taxes to
be paid by the lessor, including any profit thereon, equals or exceeds 90 percent of the excess of the fair value of the leased
property to the lessor at lease inception over any related investment tax credit retained by the lessor and expected to be realized
by the lessor. In accordance with paragraphs 840-10-25-29 and 840-10-25-30, if at its inception a lease meets any of the four lease
classification criteria in Paragraph 840-10-25-1, the lease shall be classified by the lessee as a capital lease; and if none of
the four criteria in Paragraph 840-10-25-1 are met, the lease shall be classified by the lessee as an operating lease. Pursuant
to Paragraph 840-10-25-31 a lessee shall compute the present value of the minimum lease payments using the lessee's incremental
borrowing rate unless both of the following conditions are met, in which circumstance the lessee shall use the implicit rate: a. It
is practicable for the lessee to learn the implicit rate computed by the lessor. b. The implicit rate computed by the lessor
is less than the lessee's incremental borrowing rate. Capital lease assets are depreciated on a straight line method, over the
capital lease assets estimated useful lives consistent with the CompanyÂ’s normal depreciation policy for tangible fixed assets.
Interest charges are expensed over the period of the lease in relation to the carrying value of the capital lease obligation. Operating leases primarily relate to
the CompanyÂ’s leases of nightclub and concert performance venue spaces. When the terms of an operating lease include tenant
improvement allowances, periods of free rent, rent concessions, and/or rent escalation amounts, the Company establishes a deferred
rent liability for the difference between the scheduled rent payment and the straight-line rent expense recognized, which is amortized
over the underlying lease term on a straight-line basis as a reduction of rent expense. |
| Intangible Assets Other Than Goodwill | Intangible Assets Other Than Goodwill The Company has adopted Subtopic 350-30
of the FASB Accounting Standards Codification for intangible assets other than goodwill. Under the requirements, the Company amortizes
the acquisition costs of intangible assets other than goodwill on a straight-line basis over their estimated useful lives, the
terms of the exclusive licenses and/or agreements, or the terms of legal lives of the patents, whichever is shorter. Upon becoming
fully amortized, the related cost and accumulated amortization are removed from the accounts. |
| Website Development Costs | Website Development Costs The Company has adopted Subtopic 350-50
of the FASB Accounting Standards Codification for website development costs. Under the requirements of Sections 350-50-15 and 350-50-25,
the Company capitalizes costs incurred to develop a website as website development costs, which are amortized on a straight-line
basis over the estimated useful lives of three (3) years. Upon becoming fully amortized, the related cost and accumulated amortization
are removed from the accounts. |
| Related Parties | 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 (“Affiliate” means, with respect to any specified Person, any other
Person that, directly or indirectly through one or more intermediaries, controls, is controlled by or is under common control with
such Person, as such terms are used in and construed under Rule 405 under the Securities Act); 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 825–10–15, 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 | 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 CompanyÂ’s 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. |
| Revenue Recognition | Revenue Recognition The Company follows paragraph 605-10-S99-1
of the FASB Accounting Standards Codification for revenue recognition. The Company will recognize revenue when it is realized or
realizable and earned. The Company considers revenue realized or realizable and earned when all of the following criteria are met:
(i) persuasive evidence of an arrangement exists, (ii) the product has been shipped or the services have been rendered to the customer,
(iii) the sales price is fixed or determinable, and (iv) collectability is reasonably assured. In addition to the aforementioned
general policy, the following are the specific revenue recognition policies: Revenue from ticket sales from events
and concerts is recognized when the performance occurs. Ticket sales collected in advance of an event date are recorded as deferred
revenue. The Company evaluates the criteria outlined
in Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") Subtopic 605-45,
"Revenue Recognition—Principal Agent Considerations," in determining whether it is appropriate to record the gross
amount of revenues and related costs or the net revenues. Under the guidance of ASC Subtopic 605-45, if the Company is the primary
obligor to perform the services being sold, has general inventory risk as it pertains to recruiting and compensating the talent,
has the ability to control the ticket pricing, has discretion in selecting the talent, is involved in the production of the event,
generally bears the majority of the credit or collection risk, or has several but not all of these indicators, revenue is recorded
gross. If the Company does not have several of these indicators, it records revenues or losses on a net basis. In accordance with the guidance Subtopic
605-45, for the majority of the Company's events, the Company has several of the above indicators and therefore it recognizes revenue
gross as a principal. Additionally, the Company charges for and collects ticketing and credit card processing surcharges and records
the amounts in revenue on a gross basis. Actual expenses paid to the ticket service provider and credit card merchant processors
are reflected in expenses. Net sales of products and services represent
the invoiced value of goods or services, net of value added taxes (“VAT”). The Company is subject to VAT which is levied
on all of the CompanyÂ’s products and services at the rate of 20% on the invoiced value of sales. Sales or Output VAT is borne
by customers in addition to the invoiced value of sales and purchases and Purchase or Input VAT is borne by the Company in addition
to the invoiced value of purchases. |
| Stock-Based Compensation for Obtaining Employee Services | Stock-Based Compensation for Obtaining
Employee Services The Company accounts for share-based
payment transactions issued to employees under the guidance of the Topic 718 Compensation—Stock Compensation of the FASB
Accounting Standards Codification (“ASC Topic 718”). Pursuant to ASC Section 718-10-20 an
employee is an individual over whom the grantor of a share-based compensation award exercises or has the right to exercise sufficient
control to establish an employer-employee relationship based on common law as illustrated in case law and currently under U.S.
Internal Revenue Service (“IRS”) Revenue Ruling 87-41. A nonemployee director does not satisfy this definition of employee.
Nevertheless, nonemployee directors acting in their role as members of a board of directors are treated as employees if those directors
were elected by the employerÂ’s shareholders or appointed to a board position that will be filled by shareholder election
when the existing term expires. However, that requirement applies only to awards granted to nonemployee directors for their services
as directors. Awards granted to nonemployee directors for other services shall be accounted for as awards to non-employees. Pursuant to ASC Paragraphs 718-10-30-2
and 718-10-30-3 a share-based payment transaction with employees shall be measured based on the fair value of the equity instruments
issued and an entity shall account for the compensation cost from share-based payment transactions with employees in accordance
with the fair value-based method, i.e., the cost of services received from employees in exchange for awards of share-based compensation
generally shall be measured based on the grant-date fair value of the equity instruments issued or the fair value of the liabilities
incurred/settled. Pursuant to ASC Paragraphs 718-10-30-6
and 718-10-30-9 the measurement objective for equity instruments awarded to employees is to estimate the fair value at the grant
date of the equity instruments that the entity is obligated to issue when employees have rendered the requisite service and satisfied
any other conditions necessary to earn the right to benefit from the instruments (for example, to exercise share options). That
estimate is based on the share price and other pertinent factors, such as expected volatility, at the grant date. As such, the
fair value of an equity share option or similar instrument shall be estimated using a valuation technique such as an option pricing
model. For this purpose, a similar instrument is one whose fair value differs from its intrinsic value, that is, an instrument
that has time value. If the CompanyÂ’s common shares
are traded in one of the national exchanges the grant-date share price of the CompanyÂ’s common stock will be used to measure
the fair value of the common shares issued, however, if the CompanyÂ’s common shares are thinly traded the use of share prices
established in its most recent private placement memorandum (“PPM”), or weekly or monthly price observations would
generally be more appropriate than the use of daily price observations as such shares could be artificially inflated due to a larger
spread between the bid and asked quotes and lack of consistent trading in the market. Pursuant to ASC Paragraph 718-10-55-21,
if an observable market price is not available for a share option or similar instrument with the same or similar terms and conditions,
an entity shall estimate the fair value of that instrument using a valuation technique or model that meets the requirements in
paragraph 718-10-55-11 and takes into account, at a minimum, all of the following factors:
a. The exercise price of the option.
b. The expected term of the option, taking into account both the contractual term of the option and the effects of employeesÂ’ expected exercise and post-vesting employment termination behavior: The expected life of options and similar instruments represents the period of time the option and/or warrant are expected to be outstanding. Pursuant to paragraph 718-10-S99-1, it may be appropriate to use the simplified method i.e., expected term = ((vesting term + original contractual term) / 2)
c. The current price of the underlying share.
d. The expected volatility of the price of the underlying share for the expected term of the option. Pursuant to ASC Paragraph 718-10-55-25 a newly publicly traded entity might base expectations about future volatility on the average volatilities of similar entities for an appropriate period following their going public. A nonpublic entity might base its expected volatility on the average volatilities of otherwise similar public entities. For purposes of identifying otherwise similar entities, an entity would likely consider characteristics such as industry, stage of life cycle, size, and financial leverage. Because of the effects of diversification that are present in an industry sector index, the volatility of an index should not be substituted for the average of volatilities of otherwise similar entities in a fair value measurement. Pursuant to paragraph 718-10-S99-1 if shares of a company are thinly traded the use of weekly or monthly price observations would generally be more appropriate than the use of daily price observations as the volatility calculation using daily observations for such shares could be artificially inflated due to a larger spread between the bid and asked quotes and lack of consistent trading in the market. The Company uses the average historical volatility of the comparable companies over the expected term of the share options or similar instruments as its expected volatility.
e. The expected dividends on the underlying share for the expected term of the option. The expected dividend yield is based on the CompanyÂ’s current dividend yield as the best estimate of projected dividend yield for periods within the expected term of the share options and similar instruments.
f. The risk-free interest rate(s) for the expected term of the option. Pursuant to ASC 718-10-55-28 a U.S. entity issuing an option on its own shares must use as the risk-free interest rates the implied yields currently available from the U.S. Treasury zero-coupon yield curve over the contractual term of the option if the entity is using a lattice model incorporating the optionÂ’s contractual term. If the entity is using a closed-form model, the risk-free interest rate is the implied yield currently available on U.S. Treasury zero-coupon issues with a remaining term equal to the expected term used as the assumption in the model. Pursuant to ASC Paragraphs 718-10-30-11
and 718-10-30-17, a restriction that stems from the forfeitability of instruments to which employees have not yet earned the right,
such as the inability either to exercise a non-vested equity share option or to sell non-vested shares, is not reflected in estimating
the fair value of the related instruments at the grant date. Instead, those restrictions are taken into account by recognizing
compensation cost only for awards for which employees render the requisite service and a non-vested equity share or non-vested
equity share unit awarded to an employee shall be measured at its fair value as if it were vested and issued on the grant date. Pursuant to ASC Paragraphs 718-10-35-2
and 718-10-35-3, the compensation cost for an award of share-based employee compensation classified as equity shall be recognized
over the requisite service period, with a corresponding credit to equity (generally, paid-in capital). The requisite service period
is the period during which an employee is required to provide service in exchange for an award, which often is the vesting period.
The total amount of compensation cost recognized at the end of the requisite service period for an award of share-based compensation
shall be based on the number of instruments for which the requisite service has been rendered (that is, for which the requisite
service period has been completed). An entity shall base initial accruals of compensation cost on the estimated number of instruments
for which the requisite service is expected to be rendered. That estimate shall be revised if subsequent information indicates
that the actual number of instruments is likely to differ from previous estimates. The cumulative effect on current and prior periods
of a change in the estimated number of instruments for which the requisite service is expected to be or has been rendered shall
be recognized in compensation cost in the period of the change. Previously recognized compensation cost shall not be reversed if
an employee share option (or share unit) for which the requisite service has been rendered expires unexercised (or unconverted). Under the requirement of ASC Paragraph
718-10-35-8, the Company made a policy decision to recognize compensation cost for an award with only service conditions that has
a graded vesting schedule on a straight-line basis over the requisite service period for the entire award. |
| Equity Instruments Issued to Parties Other Than Employees for Acquiring Goods or Services | Equity Instruments Issued to Parties
Other Than Employees for Acquiring Goods or Services The Company accounts for equity instruments
issued to parties other than employees for acquiring goods or services under the guidance of Sub-topic 505-50 of the FASB Accounting
Standards Codification (“Sub-topic 505-50”). Pursuant to ASC paragraph 505-50-25-7,
if fully vested, non-forfeitable equity instruments are issued at the date the grantor and grantee enter into an agreement for
goods or services (no specific performance is required by the grantee to retain those equity instruments), then, because of the
elimination of any obligation on the part of the counterparty to earn the equity instruments, a measurement date has been reached.
A grantor shall recognize the equity instruments when they are issued (in most cases, when the agreement is entered into). Whether
the corresponding cost is an immediate expense or a prepaid asset (or whether the debit should be characterized as contra-equity
under the requirements of paragraph 505-50-45-1) depends on the specific facts and circumstances. Pursuant to ASC paragraph 505-50-45-1,
a grantor may conclude that an asset (other than a note or a receivable) has been received in return for fully vested, non-forfeitable
equity instruments that are issued at the date the grantor and grantee enter into an agreement for goods or services (and no specific
performance is required by the grantee in order to retain those equity instruments). Such an asset shall not be displayed as contra-equity
by the grantor of the equity instruments. The transferability (or lack thereof) of the equity instruments shall not affect the
balance sheet display of the asset. This guidance is limited to transactions in which equity instruments are transferred to other
than employees in exchange for goods or services. Pursuant to Paragraphs 505-50-25-8 and
505-50-25-9, an entity may grant fully vested, non-forfeitable equity instruments that are exercisable by the grantee only after
a specified period of time if the terms of the agreement provide for earlier exercisability if the grantee achieves specified performance
conditions. Any measured cost of the transaction shall be recognized in the same period(s) and in the same manner as if the entity
had paid cash for the goods or services or used cash rebates as a sales discount instead of paying with, or using, the equity instruments.
A recognized asset, expense, or sales discount shall not be reversed if a stock option that the counterparty has the right to exercise
expires unexercised. Pursuant to ASC Paragraphs 505-50-30-2
and 505-50-30-11, share-based payment transactions with nonemployees shall be measured at the fair value of the consideration received
or the fair value of the equity instruments issued, whichever is more reliably measurable. The issuer shall measure the fair value
of the equity instruments in these transactions using the stock price and other measurement assumptions as of the earlier of the
following dates, referred to as the measurement date: (a) The date at which a commitment for performance by the counterparty to
earn the equity instruments is reached (a performance commitment); or (b) The date at which the counterparty's performance is complete.
If the CompanyÂ’s common shares are traded in one of the national exchanges the grant-date share price of the CompanyÂ’s
common stock will be used to measure the fair value of the common shares issued, however, if the CompanyÂ’s common shares
are thinly traded the use of share prices established in the Company’s most recent private placement memorandum (“PPM”),
or weekly or monthly price observations would generally be more appropriate than the use of daily price observations as such shares
could be artificially inflated due to a larger spread between the bid and asked quotes and lack of consistent trading in the market. Pursuant to ASC Paragraph 718-10-55-21,
if an observable market price is not available for a share option or similar instrument with the same or similar terms and conditions,
an entity shall estimate the fair value of that instrument using a valuation technique or model that meets the requirements in
paragraph 718-10-55-11 and takes into account, at a minimum, all of the following factors:
a. The exercise price of the option.
b. The expected term of the option, taking into account both the contractual term of the option and the effects of employeesÂ’ expected exercise and post-vesting employment termination behavior: Pursuant to Paragraph 718-10-50-2(f)(2)(i) of the FASB Accounting Standards Codification the expected term of share options and similar instruments represents the period of time the options and similar instruments are expected to be outstanding taking into consideration of the contractual term of the instruments and holderÂ’s expected exercise behavior into the fair value (or calculated value) of the instruments. The Company uses historical data to estimate holderÂ’s expected exercise behavior. If the Company is a newly formed corporation or shares of the Company are thinly traded the contractual term of the share options and similar instruments is used as the expected term of share options and similar instruments as the Company does not have sufficient historical exercise data to provide a reasonable basis upon which to estimate expected term.
c. The current price of the underlying share.
d. The expected volatility of the price of the underlying share for the expected term of the option. Pursuant to ASC Paragraph 718-10-55-25 a newly publicly traded entity might base expectations about future volatility on the average volatilities of similar entities for an appropriate period following their going public. A nonpublic entity might base its expected volatility on the average volatilities of otherwise similar public entities. For purposes of identifying otherwise similar entities, an entity would likely consider characteristics such as industry, stage of life cycle, size, and financial leverage. Because of the effects of diversification that are present in an industry sector index, the volatility of an index should not be substituted for the average of volatilities of otherwise similar entities in a fair value measurement. Pursuant to paragraph 718-10-S99-1 if shares of a company are thinly traded the use of weekly or monthly price observations would generally be more appropriate than the use of daily price observations as the volatility calculation using daily observations for such shares could be artificially inflated due to a larger spread between the bid and asked quotes and lack of consistent trading in the market. The Company uses the average historical volatility of the comparable companies over the expected term of the share options or similar instruments as its expected volatility.
e. The expected dividends on the underlying share for the expected term of the option. The expected dividend yield is based on the CompanyÂ’s current dividend yield as the best estimate of projected dividend yield for periods within the expected term of the share options and similar instruments.
f. The risk-free interest rate(s) for the expected term of the option. Pursuant to ASC 718-10-55-28 a U.S. entity issuing an option on its own shares must use as the risk-free interest rates the implied yields currently available from the U.S. Treasury zero-coupon yield curve over the contractual term of the option if the entity is using a lattice model incorporating the optionÂ’s contractual term. If the entity is using a closed-form model, the risk-free interest rate is the implied yield currently available on U.S. Treasury zero-coupon issues with a remaining term equal to the expected term used as the assumption in the model. Pursuant to ASC paragraph 505-50-S99-1,
if the Company receives a right to receive future services in exchange for unvested, forfeitable equity instruments, those equity
instruments are treated as unissued for accounting purposes until the future services are received (that is, the instruments are
not considered issued until they vest). Consequently, there would be no recognition at the measurement date and no entry should
be recorded. |
| Deferred Tax Assets and Income Tax Provision | Deferred Tax Assets and 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 managementÂ’s
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. Tax years
that remain subject to examination by major tax jurisdictions The CompanyÂ’s tax years 2011 to
2014 remain subject to examination by major tax jurisdictions pursuant to the ASC Paragraph 740-10-50-15. |
| Limitation on Utilization of NOLs due to Change in Control | 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 NOL’s to annual limitations which could
reduce or defer the NOL. Section 382 imposes limitations on a corporationÂ’s 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. |
| Foreign Currency Translation | Foreign Currency Translation The Company follows Section 830-10-45
of the FASB Accounting Standards Codification (“Section 830-10-45”) for foreign currency translation to translate the
financial statements of the foreign subsidiary from the functional currency, generally the local currency, into U.S. Dollars. Section
830-10-45 sets out the guidance relating to how a reporting entity determines the functional currency of a foreign
entity (including of a foreign entity in a highly inflationary economy), re-measures the books of record (if necessary), and
characterizes transaction gains and losses. Pursuant to Section 830-10-45, the assets, liabilities, and operations of a foreign
entity shall be measured using the functional currency of that entity. An entityÂ’s functional currency is the currency
of the primary economic environment in which the entity operates; normally, that is the currency of the environment, or local
currency, in which an entity primarily generates and expends cash. The functional currency of each foreign
subsidiary is determined based on managementÂ’s judgment and involves consideration of all relevant economic facts and circumstances
affecting the subsidiary. Generally, the currency in which the subsidiary transacts a majority of its transactions, including billings,
financing, payroll and other expenditures, would be considered the functional currency, but any dependency upon the parent and
the nature of the subsidiaryÂ’s operations must also be considered. If a subsidiaryÂ’s functional currency
is deemed to be the local currency, then any gain or loss associated with the translation of that subsidiaryÂ’s financial
statements is included in accumulated other comprehensive income. However, if the functional currency is deemed to be the U.S. Dollar,
then any gain or loss associated with the re-measurement of these financial statements from the local currency to the functional
currency would be included in the consolidated statements of income and comprehensive income (loss). If the Company disposes of
foreign subsidiaries, then any cumulative translation gains or losses would be recorded into the consolidated statements of income
and comprehensive income (loss). If the Company determines that there has been a change in the functional currency of
a subsidiary to the U.S. Dollar, any translation gains or losses arising after the date of change would be included within
the statement of income and comprehensive income (loss). Based on an assessment of the factors
discussed above, the management of the Company determined the relevant subsidiariesÂ’ local currencies to be their respective
functional currencies. The financial records of the Company's
UK operating subsidiary are maintained in their local currency, the British Pound (“GBP”), which is the functional
currency. Assets and liabilities are translated from the local currency into the reporting currency, U.S. dollars, at
the exchange rate prevailing at the balance sheet date. Revenues and expenses are translated at weighted average exchange
rates for the period to approximate translation at the exchange rates prevailing at the dates those elements are recognized in
the consolidated financial statements. Foreign currency Unless otherwise noted, the rate presented
below per U.S. $1.00 was the midpoint of the interbank rate as quoted by OANDA Corporation ( www.oanda.com
September 30, 2015 March 31, 2015 September 30, 2014 March 31, 2014
Balance sheets 0.6612 0.6741 0.6158 0.6009
Statements of operations and comprehensive income (loss) 0.6495 0.6209 0.5965 0.6297 |
| Earnings per Share | Earnings per Share Earnings per share ("EPS")
is computed pursuant to section 260-10-45 of the FASB Accounting Standards Codification. Basic EPS is computed by dividing earnings
by the weighted average number of shares of common stock outstanding during the period. Diluted EPS is computed by dividing earnings
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 contingent shares issuance arrangement, stock
options or warrants. Pursuant to ASC Paragraphs 260-10-45-45-22
and 23, the dilutive effect of outstanding call options and warrants (and their equivalents) issued by the reporting entity shall
be reflected in diluted EPS by application of the treasury stock method unless the provisions of paragraphs 260-10-45-35 through
45-36 and 260-10-55-8 through 55-11 require that another method be applied. Equivalents of options and warrants include non-vested
stock granted to employees, stock purchase contracts, and partially paid stock subscriptions (see paragraph 260–10–55–23).
Anti-dilutive contracts, such as purchased put options and purchased call options, shall be excluded from diluted EPS. Under the
treasury stock method: a. Exercise of options and warrants shall be assumed at the beginning of the period (or at time of
issuance, if later) and common shares shall be assumed to be issued. b. The proceeds from exercise shall be assumed to be
used to purchase common stock at the average market price during the period. (See paragraphs 260-10-45-29 and 260-10-55-4 through
55-5.) c. The incremental shares (the difference between the number of shares assumed issued and the number of shares assumed
purchased) shall be included in the denominator of the diluted EPS computation. The CompanyÂ’s contingent shares
issuance arrangement, warrants are as follows:
Contingent shares issuance
For the For the
Warrant Shares
Upon consummation of the reverse merger on April 28, 2014, the Company assumed the September 23, 2011 warrant to purchase 1,125,000 shares of the CompanyÂ’s common stock with an exercise price of $0.15 per share expiring ten (10) years from date of issuance 1,125,000 1,125,000
Warrants to purchase 400,000 shares of the CompanyÂ’s common stock with an exercise price of $0.01 per share expiring four (4) years from date of issuance on December 1, 2014, March 19, 2015, March 20, 2015 and July 28, 2015 400,000 -
Total contingent share issuance arrangements, stock options or warrants 1,525,000 1,125,000 There were approximately 1,183,414 and
956,250 incremental common shares under the Treasury Stock Method for the reporting period ended September 30, 2015 and 2014, respectively,
which were excluded from the diluted earnings per share calculation as they were anti-dilutive. |
| Cash Flows Reporting | Cash Flows Reporting The Company adopted paragraph 230-10-45-24
of the FASB Accounting Standards Codification 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 paragraph 230-10-45-25 of the FASB Accounting Standards Codification
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 pursuant to paragraph 830-230-45-1 of the FASB
Accounting Standards Codification. |
| Subsequent Events | 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 | Recently Issued Accounting Pronouncements 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. The
core principle of the guidance is that an entity should recognize revenue to depict the transfer of 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. 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 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 the FASB Accounting Standards Update 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” (“ASU 2014-12”). The amendments
clarify the proper method of accounting for share-based payments when the terms of an award provide that a performance target could
be achieved after the requisite service period. The Update requires that a performance target that affects vesting and that
could be achieved after the requisite service period be treated as a performance condition. The performance target should not be
reflected in estimating the grant-date fair value of the award. Compensation cost should be recognized in the period in which it
becomes probable that the performance target will be achieved and should represent the compensation cost attributable to the period(s)
for which the requisite service has already been rendered. The amendments
in this Update are effective for annual periods and interim periods within those annual periods beginning after December 15,
2015. Earlier adoption is permitted. In August 2014, the FASB issued the FASB
Accounting Standards Update No. 2014-15 “Presentation of Financial Statements—Going Concern (Subtopic 205-40):
Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (“ASU 2014-15”). In connection with preparing financial
statements for each annual and interim reporting period, an entityÂ’s management should evaluate whether there are conditions
or events, considered in the aggregate, that raise substantial doubt about the entityÂ’s ability to continue as a going concern
within one year after the date that the financial statements are issued financial statements are available to be issued financial statements
are issued financial statements are available to be issued probable When management identifies conditions
or events that raise substantial doubt about an entityÂ’s ability to continue as a going concern, management should consider
whether its plans that are intended to mitigate those relevant conditions or events will alleviate the substantial doubt. The mitigating
effect of managementÂ’s plans should be considered only to the extent that (1) it is probable that the plans will be effectively
implemented and, if so, (2) it is probable that the plans will mitigate the conditions or events that raise substantial doubt about
the entityÂ’s ability to continue as a going concern. If conditions or events raise substantial
doubt about an entityÂ’s ability to continue as a going concern, but the substantial doubt is alleviated as a result of consideration
of managementÂ’s plans, the entity should disclose information that enables users of the financial statements to understand
all of the following (or refer to similar information disclosed elsewhere in the footnotes):
a. Principal conditions or events that raised substantial doubt about the entityÂ’s ability to continue as a going concern (before consideration of managementÂ’s plans)
b. ManagementÂ’s evaluation of the significance of those conditions or events in relation to the entityÂ’s ability to meet its obligations
c. ManagementÂ’s plans that alleviated substantial doubt about the entityÂ’s ability to continue as a going concern. If conditions or events raise substantial
doubt about an entityÂ’s ability to continue as a going concern, and substantial doubt is not alleviated after consideration
of managementÂ’s plans, an entity should include a statement in the footnotes indicating that there is substantial
doubt about the entityÂ’s ability to continue as a going concern
a. Principal conditions or events that raise substantial doubt about the entityÂ’s ability to continue as a going concern
b. ManagementÂ’s evaluation of the significance of those conditions or events in relation to the entityÂ’s ability to meet its obligations
c. ManagementÂ’s plans that are intended to mitigate the conditions or events that raise substantial doubt about the entityÂ’s ability to continue as a going concern. The amendments in this Update are effective
for the annual period ending after December 15, 2016, and for annual periods and interim periods thereafter. Early application
is permitted. In November 2014, the FASB issued the
FASB Accounting Standards Update No. 2014-16 “ Derivatives and Hedging (Topic 815) : Determining Whether the
Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share Is More Akin to Debt or to Equity” (“ASU
2014-16”). The amendments in ASU No. 2014-16 clarify
that an entity must take into account all relevant terms and features when reviewing the nature of the host contract. Additionally,
the amendments state that no one term or feature would define the host contractÂ’s economic characteristics and risks. Instead,
the economic characteristics and risks of the hybrid financial instrument as a whole would determine the nature of the host contract. The amendments in this Update are effective
for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015.
Early adoption, including adoption in an interim period, is permitted. In January 2015, the FASB issued the
FASB Accounting Standards Update No. 2015-01 “Income Statement—Extraordinary and Unusual Items (Subtopic 225-20): Simplifying
Income Statement Presentation by Eliminating the Concept of Extraordinary Items” (“ASU 2015-01”). This Update eliminates from GAAP the
concept of extraordinary items and the requirements in Subtopic 225-20 for reporting entities to separately classify, present,
and disclose extraordinary events and transactions. The amendments in this Update are effective
for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption is permitted
provided that the guidance is applied from the beginning of the fiscal year of adoption. In February 2015, the FASB issued the
FASB Accounting Standards Update No. 2015-02 “ Consolidation (Topic 810) - Amendments to the Consolidation Analysis”
(“ASU 2015-02”) to improve certain areas of consolidation guidance for reporting organizations (i.e., public,
private, and not-for-profit) that are required to evaluate whether to consolidate certain legal entities such as limited partnerships,
limited liability corporations, and securitization structures (e.g., collateralized debt/loan obligations). All legal entities
are subject to reevaluation under the revised consolidation model. Specifically, the amendments:
• Eliminating the presumption that a general partner should consolidate a limited partnership.
• Eliminating the indefinite deferral of FASB Statement No. 167, thereby reducing the number of Variable Interest Entity (VIE) consolidation models from four to two (including the limited partnership consolidation model).
• Clarifying when fees paid to a decision maker should be a factor to include in the consolidation of VIEs. Note: a VIE is a legal entity in which consolidation is not based on a majority of voting rights.
• Amending the guidance for assessing how related party relationships affect VIE consolidation analysis.
• Excluding certain money market funds from the consolidation guidance. The amendments in this Update are effective
for public business entities for fiscal years, and for interim periods within those fiscal years, beginning after December 15,
2015. Early adoption is permitted, including adoption in an interim period. Management does not believe that any
recently issued, but not yet effective accounting pronouncements, when adopted, will have a material effect on the accompanying
consolidated financial statements. |
