| Summary of Significant Accounting Policies | Note 2. Summary of Significant Accounting
Policies Business Condition (OR Going Concern) The accompanying financial statements have
been prepared in conformity with generally accepted accounting principles (“GAAP”), which contemplates our continuation
as a going concern. We have incurred losses to date of $3,270,837 and have negative working capital. To date we have funded our
operations through advances from related parties, issuance of convertible debt, and the sale of our common stock. We intend to
raise additional funding through third party equity or debt financing. There is no certainty that funding will be available as
needed. These factors raise substantial doubt about our ability to continue operating as a going concern. Our ability to continue
our operations as a going concern, realize the carrying value of our assets, and discharge our liabilities in the normal course
of business is dependent upon our ability to raise capital sufficient to fund our commitments and ongoing losses, and ultimately
generate profitable operations. Principles of Consolidation The accompanying consolidated financial statements
include the accounts of the Company and our wholly owned subsidiaries, LifeApps Inc. and Sports One Group Inc. All material inter-company
transactions and balances have been eliminated in consolidation. Use of Estimates The preparation of financial statements in
accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities
in the balance sheets and revenues and expenses during the years reported. Actual results may differ from these estimates. Financial Instruments The estimated fair values for financial instruments
were determined at discrete points in time based on relevant market information. These estimates involved uncertainties and could
not be determined with precision. The carrying amounts of accounts payable and accrued liabilities approximated fair value because
of the short-term maturities of these instruments. The fair value of notes payable approximated to their carrying value as generally
their interest rates reflected our effective annual borrowing rate. Fair Value Measurements: ASC Topic 820, Fair Value Measurements and
Disclosures ("ASC 820"), provides a comprehensive framework for measuring fair value and expands disclosures which are
required about fair value measurements. Specifically, ASC 820 sets forth a definition of fair value and establishes a hierarchy
prioritizing the inputs to valuation techniques, giving the highest priority to quoted prices in active markets for identical assets
and liabilities and the lowest priority to unobservable value inputs. ASC 820 defines the hierarchy as follows: Level 1 – Quoted prices are
available in active markets for identical assets or liabilities as of the reported date. The types of assets and liabilities included
in Level 1 are highly liquid and actively traded instruments with quoted prices, such as equities listed on the New York Stock
Exchange. Level 2 – Pricing inputs are
other than quoted prices in active markets, but are either directly or indirectly observable as of the reported date. The types
of assets and liabilities in Level 2 are typically either comparable to actively traded securities or contracts, or priced with
models using highly observable inputs. Level 3 – Significant inputs
to pricing that are unobservable as of the reporting date. The types of assets and liabilities included in Level 3 are those with
inputs requiring significant management judgment or estimation, such as complex and subjective models and forecasts used to determine
the fair value of financial transmission rights. Our financial instruments consist of cash,
short-term trade receivables, prepaid expenses, payables, accruals and convertible notes payable. The carrying values of cash and
cash equivalents, short-term trade receivables, prepaid expenses, payables, and accruals approximate fair value because of the
short-term maturities of these instruments. Intangibles Intangibles, which include websites and databases
acquired, internet domain name costs, and customer lists, are being amortized over the expected useful lives which we estimate
to be three to five years. In accordance with Financial Accounting Standards Board (“FASB”), Accounting Standards Codification
(“ASC”) Topic 350 Intangibles – Goodwill and Other Fixed Assets Fixed assets consists of furniture and equipment
and are stated at cost less accumulated depreciation and accumulated impairment loss, if any. Depreciation is calculated on a straight
line basis over the estimated useful lives of the assets. The estimated useful lives used for financial statement purposes 3 years.
The Company’s fixed assets were fully depreciated and abandoned in prior years. Derivative Financial Instruments: We do not use derivative instruments to hedge
exposures to cash flow, market or foreign currency risks. We evaluate all of our financial instruments to determine if such instruments
are derivatives or contain features that qualify as embedded derivatives. For derivative financial instruments that are accounted
for as liabilities, the derivative instrument is initially recorded at its fair value and is then re-valued at each reporting date,
with changes in the fair value reported in the statements of operations. For stock-based derivative financial instruments, we used
a Black Scholes valuation model to value the derivative instruments at inception and on subsequent valuation dates. The classification
of derivative instruments, including whether such instruments should be recorded as liabilities or as equity, is evaluated at the
end of each reporting period. Derivative liabilities are classified in the balance sheet as current or non-current based on whether
or not net-cash settlement or conversion of the instrument could be required within 12 months of the balance sheet date. Revenue Recognition ASC Topic 606, “Revenue
from Contracts with Customers” establishes principles for reporting information about the nature, amount, timing and uncertainty
of revenue and cash flows arising from the entity's contracts to provide goods or services to customers. Revenues are recognized when control of the promised goods or services
are transferred to a customer, in an amount that reflects the consideration that the Company expects to receive in exchange for
those goods or services. The Company applies the following five steps in order to determine the appropriate amount of revenue to
be recognized as it fulfills its obligations under each of its agreements:
● identify the contract with a customer;
● identify the performance obligations in the contract;
● determine the transaction price;
● allocate the transaction price to performance obligations in the contract; and
● recognize revenue as the performance obligation is satisfied. Revenue is derived primarily from the sale
of sports and fitness apparel and equipment, and software applications designed for use on mobile devices such as smart phones
and tablets. Revenue is recognized only when persuasive evidence of an arrangement exists, the fee is fixed or determinable, the
product or service has been delivered, and collectability is probable. We sell our software directly via Internet
download through third party agents. We recognize revenue when payment is received from the agent. Payment is received net of commission
paid to the agent, usually 70% to us and 30% to the agent. We record the net amount received as revenue. We also publish and sell digital magazines
through the internet. Magazines can be purchased as individual volumes or as a subscription. To date we have not had any subscription
sales. Cost of Revenue Cost of revenue includes the cost of amounts
paid for articles, photography, editorial and production cost of the magazine and ongoing web hosting costs. Cost of revenue related
to product sales includes the direct cost of those products sold. Research and development, Website Development
Costs, and Software Development Costs All research and development costs are expensed
as incurred. Software development costs eligible for capitalization under ASC 350-50, Website Development Cost, and ASC 985-20,
Software-Costs of Software to be Sold, Leased or Marketed, were not material to our financial statements for the for the three
months ended March 31, 2018 and 2017, respectively. We had no research and development expenses for the three months ended March
31, 2018 and 2017, respectively. Advertising Costs We recognize advertising expense when incurred.
We had no advertising expense for the three months ended March 31, 2018 and 2017, respectively. Rent Expense We recognize rent expense on a straight-line
basis over the reasonably assured lease term as defined in ASC Topic 840, Leases (“ASC 840”). Our lease is short term
and will be renewed on a month to month basis. Rent expense was $255 and $2,160 for the three months ended March 31, 2018 and 2017,
respectively. Equity-Based Compensation Stock-based compensation is presented in accordance
with the guidance of ASC Topic 718, Compensation – Stock Compensation Income Taxes The provision for income taxes is determined
in accordance with the provisions of ASC Topic 740, Accounting for Income Taxes ASC 740 prescribes a comprehensive model for
how companies should recognize, measure, present, and disclose in their financial statements, uncertain tax positions taken or
expected to be taken on a tax return. Under ASC 740, tax positions must initially be recognized in the financial statements when
it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions must initially
and subsequently be measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon
ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts. For the periods ended March 31, 2018 and 2017
we did not have any interest, penalties or any significant unrecognized uncertain tax positions. Earnings per share We calculate earnings per share in accordance
with ASC Topic 260 Earnings Per Share Recent Pronouncements From time to time, new accounting pronouncements
are issued that we adopt as of the specified effective date. We believe that the impact of recently issued standards that are not
yet effective may have an impact on our results of operations and financial position. In February 2016, the FASB issued ASU No. 2016-02,
Leases The amendments in ASU 2016-02 are effective
for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Lessees (for capital and
operating leases) and lessors (for sales-type, direct financing, and operating leases) must apply a modified retrospective transition
approach for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial
statements. The modified retrospective approach would not require any transition accounting for leases that expired before the
earliest comparative period presented. Lessees and lessors may not apply a full retrospective transition approach. The Company
is evaluating the potential impact of ASU 2016-02 on its Consolidated Financial Statements. In November 2016, the FASB issued ASU No.
2016-18, Statement of Cash Flows - Restricted Cash , which requires entities to show the changes in the total
of cash, cash equivalents, restricted cash and restricted cash equivalents in the statement of cash flows. The guidance will be
effective for the Company in its first quarter of fiscal 2018. Early adoption is permitted, including adoption in an interim period,
but any adjustments must be reflected as of the beginning of the fiscal year that includes that interim period. The new standard
must be adopted retrospectively. The adoption of this standard did not have an effect on the Company’s financial statements. In January 2017, the FASB issued ASU No. 2017-04, Intangibles
- Goodwill and Other, which eliminates step two of the quantitative goodwill impairment test. Step two required
determination of the implied fair value of a reporting unit, and then a comparison of this implied fair value with the carrying
amount of goodwill for the reporting unit, in order to determine any goodwill impairment. Under the new guidance, an
entity is only required to complete a one-step quantitative test, by comparing the fair value of a reporting unit with its carrying
amount, and any goodwill impairment charge is determined by the amount by which the carrying amount exceeds the reporting unit’s
fair value. However, the loss should not exceed the total amount of goodwill allocated to the reporting unit. The standard is effective
for the Company in the first quarter of 2020, with early adoption permitted as of January 1, 2017, and is to be applied on a prospective
basis. In March 2017, the FASB issued ASU No. 2017-07, Improving
the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost , which changes how employers that
sponsor defined benefit pension or other postretirement benefit plans present the net periodic benefit cost in the statement of
operations. The new guidance requires entities to report the service cost component in the same line item or items as other compensation
costs. The other components of net benefit cost are required to be presented in the statement of operations separately from the
service cost component and outside the subtotal of loss from operations. ASU 2017-07 also provides that only the service cost
component is eligible for capitalization. The standard is effective for the Company in the first quarter of 2018, with adoption
to be applied on a retrospective basis. The adoption of this standard did not have an effect on the Company’s financial statements. In May 2017, the FASB issued ASU No. 2017-09, Compensation-Stock
Compensation: Scope of Modification Accounting , which provides clarification on when modification accounting should be used
for changes to the terms or conditions of a share-based payment award. This ASU does not change the accounting for
modifications but clarifies that modification accounting guidance should only be applied if there is a change to the value, vesting
conditions or award classification and would not be required if the changes are considered non-substantive. The amendments of this
ASU are effective for the Company in the first quarter of 2018, with early adoption permitted. The adoption of this standard did not have
an effect on the Company’s financial statements. In August 2017, the FASB issued ASU
No. 2017-12, Derivatives and Hedging - Targeted Improvements to Accounting for Hedging Activities , which modifies the
presentation and disclosure of hedging results. Further, it provides partial relief on the timing of certain aspects of hedge
documentation and eliminates the requirement to recognize hedge ineffectiveness separately in income. The amendments in this ASU
are effective for the Company in the first quarter of 2019. In September 2017, the FASB has issued ASU
No. 2017-13, Revenue Recognition (Topic 605), Revenue from Contracts with Customers (Topic 606), Leases (Topic 840), and Leases
(Topic 842): Amendments to SEC Paragraphs Pursuant to the Staff Announcement at the July 20, 2017 EITF Meeting and Rescission of
Prior SEC Staff Announcements and Observer Comments.” The amendments in ASU No. 2017-13 amends the early adoption date option
for certain companies related to the adoption of ASU No. 2014-09 and ASU No. 2016-02. Both of the below entities may still adopt
using the public company adoption guidance in the related ASUs, as amended. The effective date is the same as the effective date
and transition requirements for the amendments for ASU 2014-09 and ASU 2016-02. Other accounting standards that have been issued
or proposed by the FASB or other standards-setting bodies that do not require adoption until a future date are not expected to
have a material impact on the Company’s consolidated financial statements upon adoption. |
