Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Aug. 31, 2018 | Feb. 28, 2018 | Feb. 11, 2018 | |
Document And Entity Information | |||
Entity Registrant Name | Blake Insomnia Therapeutics, Inc. | ||
Entity Central Index Key | 1,556,416 | ||
Document Type | 10-K | ||
Document Period End Date | Aug. 31, 2018 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --08-31 | ||
Is Entity a Well-known Seasoned Issuer? | No | ||
Is Entity a Voluntary Filer? | No | ||
Is Entity's Reporting Status Current? | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Public Float | $ 0 | ||
Entity Common Stock, Shares Outstanding | 32,517 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2,018 | ||
Entity Emerging Growth Company | true | ||
Entity Small Business | true | ||
Entity Shell Company | false | ||
Entity Ex Transition Period | true |
Balance Sheets (Audited)
Balance Sheets (Audited) - USD ($) | Aug. 31, 2018 | Aug. 31, 2017 |
Current Assets | ||
Cash | $ 84 | |
Total Current Assets | 84 | |
TOTAL ASSETS | 84 | |
Current Liabilities | ||
Notes payable | 139,500 | 139,500 |
Accounts payable | 31,318 | 21,406 |
Accounts payable-related pary | 21,040 | |
Due to related party | 11,637 | 11,637 |
Accrued interest | 32,955 | 19,005 |
Total Current Liabilities | 236,450 | 191,548 |
Total Liabilities | 236,450 | 191,548 |
Stockholders' Equity (Deficit) | ||
Preferred stock ($0.0001 par value; 10,000,000 authorized; no shares issued and outstanding) | ||
Common stock ($0.0001 par value, 100,000,000 shares authorized; 32,517 shares issued and outstanding) | 3 | 3 |
Additional paid-in capital | 220,932 | 220,932 |
Deficit accumulated during the development stage | (457,385) | (412,399) |
Total Stockholders' Equity (Deficit) | (236,450) | (191,464) |
TOTAL LIABILITIES & STOCKHOLDERS' EQUITY (DEFICIT) | $ 84 |
Balance Sheets (Audited) (Paren
Balance Sheets (Audited) (Parenthetical) - $ / shares | Aug. 31, 2018 | Aug. 31, 2017 |
Stockholders' Equity (Deficit) | ||
Preferred stock par value | $ 0.0001 | $ 0.0001 |
Preferred stock shares authorized | 10,000,000 | 10,000,000 |
Preferred stock shares issued | 0 | 0 |
Preferred stock shares outstanding | 0 | 0 |
Common stock par value | $ 0.0001 | $ 0.0001 |
Common stock shares authorized | 100,000,000 | 100,000,000 |
Common stock shares issued | 32,517 | 32,517 |
Common stock shares outstanding | 32,517 | 32,517 |
Statements of Operations (Audit
Statements of Operations (Audited) - USD ($) | 12 Months Ended | |
Aug. 31, 2018 | Aug. 31, 2017 | |
Revenues | ||
Revenues | ||
Total Revenues | ||
Operating Costs | ||
Administrative Expenses | 28,329 | 95,833 |
Patent Costs | 2,707 | 2,576 |
Total Operating Costs | 31,036 | 98,409 |
Other (Expense) | ||
Interest Expense | (13,950) | (11,914) |
Total Other (Expense) | (13,950) | (11,914) |
Net Loss | $ (44,986) | $ (110,323) |
Basic loss per share | $ (1.38) | $ (3.39) |
Weighted average number of common shares outstanding | 32,517 | 32,517 |
Statement of Changes in Stockho
Statement of Changes in Stockholders' Equity (Audited) - USD ($) | Common Stock | Additional Paid-In Capital | Deficit Accumulated During Development Stage | Total |
Beginning Balance, Shares at Aug. 31, 2016 | 32,517 | |||
Beginning Balance, Amount at Aug. 31, 2016 | $ 3 | $ 220,932 | $ (302,076) | $ (81,141) |
Net Loss for the period | (110,323) | (110,323) | ||
Ending Balance, Shares at Aug. 31, 2017 | 32,517 | |||
Ending Balance, Amount at Aug. 31, 2017 | $ 3 | 220,932 | (412,399) | (191,464) |
Net Loss for the period | (44,986) | (44,986) | ||
Ending Balance, Shares at Aug. 31, 2018 | 32,517 | |||
Ending Balance, Amount at Aug. 31, 2018 | $ 3 | $ 220,932 | $ (457,385) | $ (236,450) |
Statements of Cash Flows (Audit
Statements of Cash Flows (Audited) - USD ($) | 12 Months Ended | |
Aug. 31, 2018 | Aug. 31, 2017 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net (loss) | $ (44,986) | $ (110,323) |
Changes in operating assets and liabilities: | ||
Increase (decrease) in accounts payable | 9,912 | 10,609 |
Increase (decrease) in accounts payable related party | 21,040 | 11,101 |
Increase (decrease) in accrued interest | 13,950 | 11,914 |
Net cash (used in) operating activities | (84) | (76,699) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Proceeds from notes paybable | 72,000 | |
Net cash provided by financing activities | 72,000 | |
Net increase (decrease) in cash | (84) | (4,699) |
Cash at beginning of period | 84 | 4,783 |
Cash at end of period | 84 | |
Supplemental Disclosures of Cash Flow Information: | ||
Cash paid for: Interest | ||
Cash paid for: Income Taxes |
NATURE OF OPERATIONS
NATURE OF OPERATIONS | 12 Months Ended |
Aug. 31, 2018 | |
Notes to Financial Statements | |
Note 1. NATURE OF OPERATIONS | Blake Insomnia Therapeutics, Inc. (“The Company”) was incorporated in the State of Nevada on August 11, 2012 as Book It Local, Inc. to develop its online booking system to help consumers find and hire live entertainment for weddings, corporate events, private parties, night clubs, grand openings, and other events. On September 1, 2015, the Company changed its name to Blake Insomnia Therapeutics, Inc. The Company is in the development stage with no revenues and a limited operating history. |
GOING CONCERN CONSIDERATION
GOING CONCERN CONSIDERATION | 12 Months Ended |
Aug. 31, 2018 | |
Notes to Financial Statements | |
Note 2. GOING CONCERN CONSIDERATION | These financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates, among other things, the realization of assets and the satisfaction of liabilities in the normal course of business. The Company has incurred a cumulative net loss of $445,801 since its inception and requires capital for its contemplated operation and marketing activities to take place. The Company's ability to raise additional capital through the future issuances of common stock is unknown. The obtainment of additional financing, the successful development of the Company's contemplated plan of operations, and its transition, ultimately, to the attainment of profitable operations are necessary for the Company to continue operations. The ability to successfully resolve these factors raise substantial doubt about the Company's ability to continue as a going concern. Future issuances of the Company's equity or debt securities will be required in order for the Company to continue to finance its operations and continue as a going concern. The Company's present revenues are insufficient to meet operating expenses. The financial statements do not include any adjustments that may result from the outcome of these aforementioned uncertainties. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Aug. 31, 2018 | |
Notes to Financial Statements | |
Note 3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | Basis of Presentation The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America and are presented in US dollars. The Company’s year-end is August 31. Cash and Cash Equivalents The Company considers all highly liquid investments with original maturity of three months or less to be cash equivalents. Use of Estimates and Assumptions The preparation of financial statements in conformity with generally accepted accounting principles requires that management makes estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the period. Actual results could differ from those estimates. Revenue Recognition The Company recognizes revenue when it is realized or realizable and earned less estimated future doubtful accounts. 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 services have been rendered and all required milestones achieved, (iii) the sales price is fixed or determinable, and (iv) collectability is reasonably assured. On January 1, 2017, the Company adopted the new accounting standard ASC 606, “Revenue from Contracts with Customers” and all the related amendments (“new revenue standard”) to all contracts using the modified retrospective method, while prior period amounts are not adjusted and continue to be reported in accordance with historic accounting standards under Topic 605. The adoption has had an immaterial impact to the Company’s comparative net income and as such comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. We expect the impact of the adoption of the new standard to be immaterial to the Company’s net income on an ongoing basis. Foreign Currency Translation The financial statements are presented in United States dollars. In accordance with ASC 830, “Foreign Currency Matters”, foreign denominated monetary assets and liabilities are translated into their United States dollar equivalents using foreign exchange rates which prevailed at the balance sheet date. Revenue and expenses are translated at average rates of exchange during the year. Gains or losses resulting from foreign currency transactions are included in results of operations. Stock-Based Compensation The Company accounts for stock-based compensation using the fair value method following the guidance set forth in section 718-10 of the FASB Accounting Standards Codification for disclosure about Stock-Based Compensation. This section requires a public entity to measure the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award (with limited exceptions). That cost will be recognized over the period during which an employee is required to provide service in exchange for the award- the requisite service period (usually the vesting period). No compensation cost is recognized for equity instruments for which employees do not render the requisite service. Development Stage Company The Company complies with Financial Accounting Standards Codification (“ASC”) 915 and Securities and Exchange Commission Act Guide 7 for its characterization of the Company as development stage enterprise. Fair Value for Financial Assets and Financial Liabilities The Company follows paragraph 825-10-50-10 of the FASB Accounting Standards Codification for disclosures about fair value of its financial instruments and 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 establishes a framework for measuring fair value in accounting principles generally accepted in the United States of America (U.S. 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 establishes a fair value hierarchy which prioritizes the inputs to valuation techniques used to measure fair value into three 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 levels of fair value hierarchy defined by Paragraph 820-10-35-37 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. The carrying amounts of the Company’s financial assets and liabilities, such as cash, approximate their fair values because of the short maturity of these instruments. The Company does not have any assets or liabilities measured at fair value on a recurring or a non-recurring basis, consequently, the Company did not have any fair value adjustments for assets and liabilities measured at fair value at August 31, 2018, nor gains or losses are reported in the statement of operations that are attributable to the change in unrealized gains or losses relating to those assets and liabilities still held at the reporting date for the period ended August 31, 2018. Income Taxes The Company follows the accrual method of accounting for income taxes. Under this method, deferred income tax assets and liabilities are recognized for the estimated tax consequences attributable to differences between the financial statement carrying values and their respective income tax basis (temporary differences). The effect on the deferred income tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. At August 31, 2018 a full deferred tax asset valuation allowance has been provided and no deferred tax asset has been recorded. Basic and Diluted Net Income (Loss) per Share The Company computes net income (loss) per share in accordance with ASC 260, "Earnings per Share" which requires presentation of both basic and diluted earnings per share (EPS) on the face of the income statement. Basic EPS is computed by dividing net income (loss) available to common shareholders (numerator) by the weighted average number of common shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period including stock options, using the treasury stock method, and convertible preferred stock, using the if-converted method. In computing diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive potential common shares if their effect is anti-dilutive. Recent Accounting Pronouncements From time to time, new accounting pronouncements are issued by the FASB or other standard setting bodies that are adopted by the Company as of the specified effective date. Unless otherwise discussed, the Company believes that the effect of recently issued standards that are not yet effective will not have a material effect on its consolidated financial position or results of operations upon adoption. In May 2014, the FASB issued Accounting Standards Update (“ASU”) No. 2014-09 (“ASU 2014-09”), Revenue from Contracts with Customers Revenue Recognition In July 2015, the FASB issued ASU No. 2015-11, Simplifying the Measurement of Inventory In January 2016, the FASB issued ASU No. 2016-01, " Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) In March 2016, the FASB issued ASU No. 2016-09, Compensation—Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting In August 2016, the FASB issued ASU No. 2016-15, Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force) Statement of Cash Flows In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (a consensus of the FASB Emerging Issue Task Force) In July 2017, the FASB issued ASU 2017-11, “Earnings Per Share (ASC 260) Distinguishing Liabilities from Equity (ASC 480) Derivatives and Hedging (ASC 815),” |
MATERIAL AGREEMENTS
MATERIAL AGREEMENTS | 12 Months Ended |
Aug. 31, 2018 | |
Notes to Financial Statements | |
Note 4. MATERIAL AGREEMENTS | On February 6, 2017, the Company and Sajo Consulting LLC announced entry into a Letter of Intent to provide joint development and commercialization of Zleepax™, in combination with formulations to produce a series of oral drug products to aid in the treatment of insomnia. This venture looks to develop a product to treat transient insomnia through the mechanism of Blake’s proprietary formula. On February 1, 2018, the Company entered into a consulting agreement with a former director. In consideration, the company agreed to compensate him with a 5% royalty for a period of 5 years for any revenue generated by us from sales of Zleepax and any new product or services derived from Zleepax. |
NOTES PAYABLE
NOTES PAYABLE | 12 Months Ended |
Aug. 31, 2018 | |
Notes to Financial Statements | |
Note 5. NOTES PAYABLE | On August 31, 2014 the Company issued a promissory note payable in the amount of $5,000. The note is due on August 31, 2015 and bears interest at 10% per annum. On November 20, 2014 the Company issued a promissory note payable in the amount of $10,000. The note is due on demand and bears interest at 10% per annum On January 18, 2015 the Company issued a promissory note payable in the amount of $10,000. The note is due on demand and bears interest at 10% per annum. On June 24, 2015 the Company issued a promissory note payable in the amount of $12,500. The note is due on demand and bears interest at 10% per annum. On December 10, 2015 the Company issued a promissory note payable in the amount of $15,000. The note is due on demand and bears interest at 10% per annum. On July 29, 2016 the Company issued a promissory note payable in the amount of $15,000. The note is due on demand and bears interest at 10% per annum. On September 19, 2016 the Company issued a promissory note payable in the amount of $42,000. The note is due on demand and bears interest at 10% per annum. On March 17, 2017 the Company issued a promissory note payable in the amount of $10,000. The note is due on demand and bears interest at 10% per annum. On April 19, 2017 the Company issued a promissory note payable in the amount of $20,000. The note is due on demand and bears interest at 10% per annum. The interest expense for the periods ended August 31, 2018 and August 31, 2017 is $13,950 and $11,914, respectively. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Aug. 31, 2018 | |
Notes to Financial Statements | |
Note 6. RELATED PARTY TRANSACTIONS | The President of the Company provides management and office premises to the Company for no compensation. The effects of this immaterial to the financial statements taken as a whole. A shareholder of the company paid expenses on behalf of the company in the amount of $3,058 during the year ended August 31, 2016. During the year ended August 31, 2016, $2,522 was repaid. During the year ended August 31, 2017, a shareholder of the company paid expenses of $31,101 of expenses on behalf of the company. In June 2017, the company repaid $20,000 of expenses to the shareholder. As at August 31, 2018, there is a balance owing to the shareholder of $11,637. This balance is non-interest bearing and has no specified terms of repayment. |
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY | 12 Months Ended |
Aug. 31, 2018 | |
Notes to Financial Statements | |
Note 7. STOCKHOLDERS' EQUITY | In August, 2012, the Company authorized the issue of 100,000,000 common shares of the Company at par value of $.0001 and authorized the issue of 10,000,000 preferred shares at par value of $.0001. On July 18, 2018 the Company undertook a 1,000 to 1 reverse stock split of the common shares. The stock split has been recorded in these financial statements retroactively. At August 31, 2018, there are total of 32,517 common shares of the Company issued and outstanding. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Aug. 31, 2018 | |
Notes to Financial Statements | |
Note 8. INCOME TAXES | As of August 31, 2018, the Company had net operating loss carry forwards of approximately $457,000 that may be available to reduce future years' taxable income through 2032. Future tax benefits which may arise as a result of these losses have not been recognized in these consolidated financial statements, as their realization is determined not likely to occur and accordingly, the Company has recorded a valuation allowance for the deferred tax asset relating to these tax loss carry-forwards. The difference between the Company's tax rate and the statutory rate is due to significant non-deductible expenses. The provision for Federal income tax consists of the following: August 31 August 31 2018 2017 Federal income tax benefit attributable to: Current operations $ 15,370 $ 37,510 Less: valuation allowance (15,370 ) (37,510 ) Net provision of income taxes $ - $ - The cumulative tax effect at the expected rate of 34% of significant items comprising our net deferred tax amount is as follows: August 31, August 31, 2018 2017 Deferred tax asset attributable to: Net operating loss carryforward $ 155,380 $ 140,080 Less: valuation allowance (155,380 ) (140,080 ) Net deferred tax asset $ - $ - Due to the change in ownership provisions of the Tax Reform Act of 1986, net operating loss carry forwards for federal income tax reporting purposes are subject to annual limitations. Should a change in ownership occur net operating loss carry forwards may be limited as to use in future years. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Aug. 31, 2018 | |
Notes to Financial Statements | |
Note 9. SUBSEQUENT EVENTS | In accordance with ASC 855-10, the Company has analyzed its operations subsequent to August 31, 2018 to the date these financial statements were issued, and has determined that it does not have any material subsequent events to disclose, except as noted below. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Aug. 31, 2018 | |
Summary Of Significant Accounting Policies Policies | |
Basis of Presentation | The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America and are presented in US dollars. The Company’s year-end is August 31. |
Cash and Cash Equivalents | The Company considers all highly liquid investments with original maturity of three months or less to be cash equivalents. |
Use of Estimates and Assumptions | The preparation of financial statements in conformity with generally accepted accounting principles requires that management makes estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the period. Actual results could differ from those estimates. |
Revenue Recognition | The Company recognizes revenue when it is realized or realizable and earned less estimated future doubtful accounts. 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 services have been rendered and all required milestones achieved, (iii) the sales price is fixed or determinable, and (iv) collectability is reasonably assured. On January 1, 2017, the Company adopted the new accounting standard ASC 606, “Revenue from Contracts with Customers” and all the related amendments (“new revenue standard”) to all contracts using the modified retrospective method, while prior period amounts are not adjusted and continue to be reported in accordance with historic accounting standards under Topic 605. The adoption has had an immaterial impact to the Company’s comparative net income and as such comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. We expect the impact of the adoption of the new standard to be immaterial to the Company’s net income on an ongoing basis. |
Foreign Currency Translation | The financial statements are presented in United States dollars. In accordance with ASC 830, “Foreign Currency Matters”, foreign denominated monetary assets and liabilities are translated into their United States dollar equivalents using foreign exchange rates which prevailed at the balance sheet date. Revenue and expenses are translated at average rates of exchange during the year. Gains or losses resulting from foreign currency transactions are included in results of operations. |
Stock-Based Compensation | The Company accounts for stock-based compensation using the fair value method following the guidance set forth in section 718-10 of the FASB Accounting Standards Codification for disclosure about Stock-Based Compensation. This section requires a public entity to measure the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award (with limited exceptions). That cost will be recognized over the period during which an employee is required to provide service in exchange for the award- the requisite service period (usually the vesting period). No compensation cost is recognized for equity instruments for which employees do not render the requisite service. |
Development Stage Company | The Company complies with Financial Accounting Standards Codification (“ASC”) 915 and Securities and Exchange Commission Act Guide 7 for its characterization of the Company as development stage enterprise. |
Fair Value for Financial Assets and Financial Liabilities | The Company follows paragraph 825-10-50-10 of the FASB Accounting Standards Codification for disclosures about fair value of its financial instruments and 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 establishes a framework for measuring fair value in accounting principles generally accepted in the United States of America (U.S. 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 establishes a fair value hierarchy which prioritizes the inputs to valuation techniques used to measure fair value into three 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 levels of fair value hierarchy defined by Paragraph 820-10-35-37 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. The carrying amounts of the Company’s financial assets and liabilities, such as cash, approximate their fair values because of the short maturity of these instruments. The Company does not have any assets or liabilities measured at fair value on a recurring or a non-recurring basis, consequently, the Company did not have any fair value adjustments for assets and liabilities measured at fair value at August 31, 2018, nor gains or losses are reported in the statement of operations that are attributable to the change in unrealized gains or losses relating to those assets and liabilities still held at the reporting date for the period ended August 31, 2018. |
Income Taxes | The Company follows the accrual method of accounting for income taxes. Under this method, deferred income tax assets and liabilities are recognized for the estimated tax consequences attributable to differences between the financial statement carrying values and their respective income tax basis (temporary differences). The effect on the deferred income tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. At August 31, 2018 a full deferred tax asset valuation allowance has been provided and no deferred tax asset has been recorded. |
Basic and Diluted Net Income (Loss) per Share | The Company computes net income (loss) per share in accordance with ASC 260, "Earnings per Share" which requires presentation of both basic and diluted earnings per share (EPS) on the face of the income statement. Basic EPS is computed by dividing net income (loss) available to common shareholders (numerator) by the weighted average number of common shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period including stock options, using the treasury stock method, and convertible preferred stock, using the if-converted method. In computing diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive potential common shares if their effect is anti-dilutive. |
Recent Accounting Pronouncements | From time to time, new accounting pronouncements are issued by the FASB or other standard setting bodies that are adopted by the Company as of the specified effective date. Unless otherwise discussed, the Company believes that the effect of recently issued standards that are not yet effective will not have a material effect on its consolidated financial position or results of operations upon adoption. In May 2014, the FASB issued Accounting Standards Update (“ASU”) No. 2014-09 (“ASU 2014-09”), Revenue from Contracts with Customers Revenue Recognition In July 2015, the FASB issued ASU No. 2015-11, Simplifying the Measurement of Inventory In January 2016, the FASB issued ASU No. 2016-01, " Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) In March 2016, the FASB issued ASU No. 2016-09, Compensation—Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting In August 2016, the FASB issued ASU No. 2016-15, Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force) Statement of Cash Flows In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (a consensus of the FASB Emerging Issue Task Force) In July 2017, the FASB issued ASU 2017-11, “Earnings Per Share (ASC 260) Distinguishing Liabilities from Equity (ASC 480) Derivatives and Hedging (ASC 815),” |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Income Taxes Tables Abstract | |
Net provision of income taxes | August 31 August 31 2018 2017 Federal income tax benefit attributable to: Current operations $ 15,370 $ 37,510 Less: valuation allowance (15,370 ) (37,510 ) Net provision of income taxes $ - $ - |
Net deferred tax amount | August 31, August 31, 2018 2017 Deferred tax asset attributable to: Net operating loss carryforward $ 155,380 $ 140,080 Less: valuation allowance (155,380 ) (140,080 ) Net deferred tax asset $ - $ - |
NATURE OF OPERATIONS (Details N
NATURE OF OPERATIONS (Details Narrative) | 12 Months Ended |
Aug. 31, 2018 | |
Nature Of Operations Details Narrative | |
State of Incorporation | Nevada |
Date of Incorporation | Aug. 11, 2012 |
Date of Name Change | Sep. 1, 2015 |
GOING CONCERN CONSIDERATION (De
GOING CONCERN CONSIDERATION (Details Narrative) - USD ($) | 12 Months Ended | 73 Months Ended | |
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2018 | |
Going Concern Consideration Details Narrative | |||
Net loss | $ (44,986) | $ (110,323) | $ (445,801) |
MATERIAL AGREEMENTS (Details Na
MATERIAL AGREEMENTS (Details Narrative) | Feb. 01, 2018 |
Consulting Agreement [Member] | Director [Member] | |
Royalty Description | <font style="font: 10pt Times New Roman, Times, Serif">The company agreed to compensate him with a 5% royalty for a period of 5 years for any revenue generated by us from sales of Zleepax and any new product or services derived from Zleepax.</font></p>" id="sjs-B3"><p style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The company agreed to compensate him with a 5% royalty for a period of 5 years for any revenue generated by us from sales of Zleepax and any new product or services derived from Zleepax.</font></p> |
NOTES PAYABLE (Details Narrativ
NOTES PAYABLE (Details Narrative) - USD ($) | 1 Months Ended | 12 Months Ended | |||||||||
Aug. 31, 2014 | Aug. 31, 2018 | Aug. 31, 2017 | Apr. 19, 2017 | Mar. 17, 2017 | Sep. 19, 2016 | Jul. 29, 2016 | Dec. 10, 2015 | Jun. 24, 2015 | Jan. 18, 2015 | Nov. 20, 2014 | |
Supplemental Cash Flow Information Details | |||||||||||
Promissory note payable | $ 5,000 | $ 20,000 | $ 10,000 | $ 42,000 | $ 15,000 | $ 15,000 | $ 12,500 | $ 10,000 | $ 10,000 | ||
Promissory note payable, interest rate | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | ||
Promissory note payable, interest expense | $ 13,950 | $ 11,914 | |||||||||
Promissory note payable, maturity date | Aug. 31, 2015 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($) | 1 Months Ended | 12 Months Ended | ||
Jun. 30, 2017 | Aug. 31, 2017 | Aug. 31, 2016 | Aug. 31, 2018 | |
Related Party Transactions Details Narrative | ||||
Due to related party | $ 11,637 | $ 11,637 | ||
Repayment of related party loan | $ 20,000 | $ 2,522 | ||
Payments made by shareholder | $ 31,101 | $ 3,058 |
STOCKHOLDERS' EQUITY (Details N
STOCKHOLDERS' EQUITY (Details Narrative) - $ / shares | 1 Months Ended | |||
Jul. 18, 2018 | Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2012 | |
Preferred stock par value | $ 0.0001 | $ 0.0001 | $ 0.0001 | |
Preferred stock shares authorized | 10,000,000 | 10,000,000 | 10,000,000 | |
Common stock par value | $ 0.0001 | $ 0.0001 | $ 0.0001 | |
Common stock shares authorized | 100,000,000 | 100,000,000 | 100,000,000 | |
Common stock shares issued | 32,517 | 32,517 | ||
Common stock shares outstanding | 32,517 | 32,517 | ||
Common Stock | ||||
Stockholders' equity, reverse stock split | 1,000 to 1 |
INCOME TAXES (Details)
INCOME TAXES (Details) - USD ($) | 12 Months Ended | |
Aug. 31, 2018 | Aug. 31, 2017 | |
Federal income tax benefit attributable to: | ||
Current operations | $ 15,370 | $ 37,510 |
Less: valuation allowance | (15,370) | (37,510) |
Net provision of income taxes |
INCOME TAXES (Details1)
INCOME TAXES (Details1) - USD ($) | Aug. 31, 2018 | Aug. 31, 2017 |
Deferred tax asset attributable to: | ||
Net operating loss carryforward | $ 155,380 | $ 140,080 |
Less: valuation allowance | (155,380) | (140,080) |
Net deferred tax asset |
INCOME TAXES (Details Narrative
INCOME TAXES (Details Narrative) | 12 Months Ended |
Aug. 31, 2018USD ($) | |
Income Taxes Details Narrative Abstract | |
Operating loss carryforwards | $ 457,000 |
Operating loss carryforwards expiration period | Through 2,032 |