Huaizhong Health (ADAD) 10-Q 13 Mar 15 2015 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Jan. 31, 2015	Feb. 25, 2015
Document And Entity Information
Entity Registrant Name	Adaiah Distribution Inc
Entity Central Index Key	1593204
Document Type	10-Q
Document Period End Date	31-Jan-15
Amendment Flag	FALSE
Current Fiscal Year End Date	-21
Is Entity a Well-known Seasoned Issuer?	No
Is Entity a Voluntary Filer?	No
Is Entity's Reporting Status Current?	Yes
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		5,000,000
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2015

BALANCE_SHEETS

BALANCE SHEETS (USD $)	Jan. 31, 2015	Oct. 31, 2014
CURRENT ASSETS
Cash	$27,042	$7,927
TOTAL CURRENT ASSETS	27,042	7,927
FIXED ASSETS
Furniture and Equipment	8,000	8,000
Accumulated Depreciation	-643	-536
Sewing Shop	16,940	16,940
Accumulated Depreciation	-529	-423
TOTAL FIXED ASSETS	23,768	23,981
TOTAL ASSETS	50,810	31,908
Current Liabilities:
Accounts Payable
Deferred Tax Liability	3,894	3,894
Deferred Revenue
Loan Payable - Related Party	1,415	1,304
TOTAL LIABILITIES	5,309	5,198
STOCKHOLDERS' EQUITY
Common stock: authorized 75,000,000; $0.001 par value; 5,000,000 and 4,000,000 shares issued and outstanding at January 31, 2015 and October 31, 2014	5,000	4,000
Additional Paid-In Capital	39,000
Profit (loss) accumulated during the development stage	1,501	22,710
Total Stockholders' Equity	45,501	26,710
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$50,810	$31,908

BALANCE_SHEETS_Parenthetical

BALANCE SHEETS (Parenthetical) (USD $)	Jan. 31, 2015	Oct. 31, 2014
Balance Sheets Parenthetical
Common stock par value	$0.00	$0.00
Common stock shares authorized	75,000,000	75,000,000
Common stock shares issued	5,000,000	4,000,000
Common stock shares outstanding	5,000,000	4,000,000

STATEMENTS_OF_OPERATIONS_Unaud

STATEMENTS OF OPERATIONS (Unaudited) (USD $)	3 Months Ended		17 Months Ended
	Jan. 31, 2015	Jan. 31, 2014	Jan. 31, 2015
Sales:
Merchandise Sales	$30,141	$21,800	$121,448
Total Income	30,141	21,800	121,448
Cost of Goods Sold:
Pillow Purchases	31,131	16,350	80,482
Sales Commission		2,180	3,180
Total Cost of Goods Sold	31,131	18,530	83,662
Gross Profit	-990	3,270	37,786
Operating Expenses:
Depreciation & Amortization	213	107	1,172
Charitable Donations	3,461		3,461
Research & Development	5,550		5,550
General and administrative	10,997	4,222	22,210
Total Expenses	20,221	4,329	32,393
Net Operating Income	-21,211	-1,059	5,393
Other Income/(Expense)
Interest Income	2		2
Total Other Income/(Expense)	2		2
Provision for Income Tax	3,894	2,586	3,894
Net Income for Period	($21,209)	($3,646)	$1,501
Net gain (loss) per share:
Basic and diluted	($0.00)	($0.00)	$0.00
Weighted average number of shares outstanding:
Basic and diluted	5,000,000	4,000,000	5,000,000

STATEMENTS_OF_CASH_FLOWS_Unaud

STATEMENTS OF CASH FLOWS (Unaudited) (USD $)	3 Months Ended		17 Months Ended
	Jan. 31, 2015	Jan. 31, 2014	Jan. 31, 2015
Operating activities:
Net profit	($21,209)	($3,646)	$1,501
Changes in assets and liabilities:
Increase (decrease) in Accounts Payable		-16,350
Increase (decrease) in Inventory		16,350
Increase (decrease) in Deferred Revenue		-3,600
Increase (decrease) in Depreciation	213	107	1,172
Increase (decrease) in Deferred Tax Liability		2,586	3,894
Net cash provided by operating activities	-20,996	-907	6,567
Financing activities:
Proceeds from issuance of common stock	40,000		44,000
Due to related party	111		1,415
Net cash provided by financing activities	40,111		45,415
Investing activities:
Furniture and Equipment		-3,000	-8,000
Sewing Shop		-16,940	-16,940
Net cash provided by investing activities		-19,940	-24,940
Net increase in cash	19,115	-24,492	27,042
Cash, beginning of period	7,927	25,817
Cash, end of period	$27,042	$1,325	$27,042

Organization_and_Basis_of_Pres

Organization and Basis of Presentation	3 Months Ended
	Jan. 31, 2015
Notes to Financial Statements
Note 1 - Organization and Basis of Presentation	Adaiah Distribution, Inc. (the “Company”) is a for profit corporation established under the corporation laws in the State of Nevada, United States of America on September 12, 2013.
	The Company is in the development phase and intends to distribute custom pillows. As such, the Company is subject to all risks inherent to the establishment of a start-up business enterprise.
	The accompanying unaudited interim financial statements of Adaiah Distribution, Inc. (the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America and the rules of the Securities and Exchange Commission, and should be read in conjunction with the audited financial statements and notes thereto contained in the Company’s Registration Statement on Form S-1 filed with the SEC. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of financial position and the results of operations for the interim periods presented have been reflected herein. The results of operations for interim periods are not necessarily indicative of the results to be expected for the full year. Notes to the financial statements which would substantially duplicate the disclosure contained in the audited financial statements for the fiscal year ended October 31, 2015 as reported in the Registration Statement on Form S-1 have been omitted.
	Unless the context otherwise requires, all references to “Adaiah Distribution,” “we,” “us,” “our” or the “company” are to Adaiah Distribution, Inc. and any subsidiaries.

Significant_Accounting_Policie

Significant Accounting Policies and Recent Accounting Pronouncements	3 Months Ended
	Jan. 31, 2015
Notes to Financial Statements
Note 2 - Significant Accounting Policies and Recent Accounting Pronouncements	Use of Estimates and Assumptions
	The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the period. Actual results could differ from those estimates.
	Due to the limited level of operations, the Company has not had to make material assumptions or estimates other than the assumption that the Company is a going concern.
	Cash and Cash Equivalents
	The Company considers all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents.
	Fair Value of Financial Instruments
	ASC 825, “Disclosures about Fair Value of Financial Instruments”, requires disclosure of fair value information about financial instruments. ASC 820, “Fair Value Measurements” defines fair value, establishes a framework for measuring fair value in generally accepted accounting principles, and expands disclosures about fair value measurements. Fair value estimates discussed herein are based upon certain market assumptions and pertinent information available to management as of January 31, 2014.
	The respective carrying values of certain on-balance-sheet financial instruments approximate their fair values. These financial instruments include cash, accrued liabilities and notes payable. Fair values were assumed to approximate carrying values for these financial instruments since they are short term in nature and their carrying amounts approximate fair value.
	Basic and Diluted Loss Per Share
	The Company computes earnings (loss) per share in accordance with ASC 260-10-45 “Earnings per Share”, which requires presentation of both basic and diluted earnings per share on the face of the statement of operations. Basic earnings (loss) per share is computed by dividing net earnings (loss) available to common stockholders by the weighted average number of outstanding common shares during the period. Diluted earnings (loss) per share gives effect to all dilutive potential common shares outstanding during the period. Dilutive earnings (loss) per share excludes all potential common shares if their effect is anti-dilutive. The Company has no potential dilutive instruments, and therefore, basic and diluted earnings (loss) per share are equal.
	Revenue Recognition
	The company follows the guidelines of ASC 605-15 for revenue recognition. Customers are allowed to return the products within 30 days for a refund, if the packages are unopened. The company uses standard written sales orders and purchase orders that specify that title of the products shift from the company to the customer when delivered to the customer and evidenced by the completed shipping documents. The company recognizes revenue when the completed shipping documents are produced.
	Recent Accounting Pronouncements
	The Company does not expect the adoption of recently issued accounting pronouncements to have a significant impact on the Company’s results of operations, financial position or cash flow.

Property_and_Equipment

Property and Equipment	3 Months Ended
	Jan. 31, 2015
Notes to Financial Statements
Note 3 - Property and Equipment	Property and equipment consist of:
		January 31,			October 31,
		2015			2014
	Facilities	$	16,940		$	16,940
	Furniture & Equipment	$	8,000		$	8,000
		$	24,940		$	24,940
	Less: accumulated depreciation	$	(1,172	)	$	(959	)
		$	23,768		$	23,981
	Depreciation expense incurred during the three months ended January 31, 2015 was $213.
	Property, plant and equipment are stated at cost. The Company utilizes MACRS 200 DB HY – 7 years for furniture and fixture depreciation and ADS straight-line – 40 years for the sewing shop depreciation over the estimated useful lives of the assets.

Concentrations

Concentrations	3 Months Ended
	Jan. 31, 2015
Notes to Financial Statements
Note 4 - Concentrations	Initial sales are concentrated with one client. Sales are made without collateral and the credit-related losses are insignificant or non-existent. Accordingly, there is no provision made to include an allowance for doubtful accounts.

Legal_Matters

Legal Matters	3 Months Ended
	Jan. 31, 2015
Notes to Financial Statements
Note 5 - Legal Matters	The Company has no known legal issues pending.

Debt

Debt	3 Months Ended
	Jan. 31, 2015
Notes to Financial Statements
Note 6 - Debt	On October 21, 2013, Nikolay Titov, the Director and President of the Company, made the initial deposit to the Company bank account in the amount $29 which is being carried as a loan payable. Additional loans of $540 and $111 were made on July 31, 2014 and December 16, 2014 respectively. The loans are non-interest bearing, unsecured and due upon demand.

Capital_Stock

Capital Stock	3 Months Ended
	Jan. 31, 2015
Notes to Financial Statements
Note 7 - Capital Stock	On October 28, 2013 the Company authorized 75,000,000 shares of commons stock with a par value of $0.001 per share.
	On October 28, 2013 the Company issued 4,000,000 shares of common stock for a purchase price of $0.001 per share to its sole director. The Company received aggregate gross proceeds of $4,000.00.
	During January 2015 the Company issued 1,000,000 shares of common stock to a total of 30 shareholders for $0.04 per share for total proceeds of $40,000.00. The shares were registered pursuant to a Registration Statement on Form S-1 as filed with the Securities and Exchange Commission that was declared effective on November 3, 2014.
	As of January 31, 2015 there were no outstanding stock options or warrants.

Income_Taxes

Income Taxes	3 Months Ended
	Jan. 31, 2015
Notes to Financial Statements
Note 8 - Income Taxes	The Company uses the asset and liability method of accounting for income taxes in accordance with ASC Topic 740, “Income Taxes.” Under this method, income tax expense is recognized for the amount of: (i) taxes payable or refundable for the current year and (ii) deferred tax consequences of temporary differences resulting from matters that have been recognized in an entity’s financial statements or tax returns. 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 results of operations in the period that includes the enactment date. A valuation allowance is provided to reduce the deferred tax assets reported if based on the weight of the available positive and negative evidence, it is more likely than not some portion or all of the deferred tax assets will not be realized.
	ASC Topic 740.10.30 clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements and prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. ASC Topic 740.10.40 provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition. We have no material uncertain tax positions for any of the reporting periods presented.
	The company has made a provision for income taxes of $3,894.00 as of January 31, 2015.

Related_Party_Transactions

Related Party Transactions	3 Months Ended
	Jan. 31, 2015
Notes to Financial Statements
Note 9 - Related Party Transactions	The Company neither owns nor leases any real or personal property. The director of the Company provides office space and services free of charge. The Company's sole officer and director is involved in other business activities and may in the future, become involved in other business opportunities as they become available.
	The Company has a related party transactions involving a significant shareholder. The nature and details of the transaction are described in Note 6.

Subsequent_Events

Subsequent Events	3 Months Ended
	Jan. 31, 2015
Notes to Financial Statements
Note 10 - Subsequent Events	The Company has evaluated events subsequent through the date these financial statements have been issued to assess the need for potential recognition or disclosure in this report. Such events were evaluated through the date these financial statements were available to be issued. Based upon this evaluation, it was determined that no subsequent events occurred that require recognition or disclosure in the financial statements.

Going_Concern

Going Concern	3 Months Ended
	Jan. 31, 2015
Notes to Financial Statements
Note 11 - Going Concern	The accompanying financial statements and notes have been prepared assuming that the Company will continue as a going concern.
	For the period ended January 31, 2015, the Company had a cumulative net gain of $1,501. The Company’s ability to continue as a going concern is dependent upon the Company’s ability to generate sufficient revenues to operate profitably or raise additional capital through debt financing and/or through sales of common stock.
	Management plans to fund operations of the Company through the proceeds from an offering pursuant to a Registration Statement on Form S-1 or private placements of restricted securities or the issuance of stock in lieu of cash for payment of services until such a time as profitable operations are achieved. There are no written agreements in place for such funding or issuance of securities and there can be no assurance that such will be available in the future. Management believes that this plan provides an opportunity for the Company to continue as a going concern.
	The failure to achieve the necessary levels of profitability or obtain the additional funding would be detrimental to the Company.

Significant_Accounting_Policie1

Significant Accounting Policies and Recent Accounting Pronouncements (Policies)	3 Months Ended
	Jan. 31, 2015
Significant Accounting Policies And Recent Accounting Pronouncements Policies
Use of Estimates and Assumptions	The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the period. Actual results could differ from those estimates.
	Due to the limited level of operations, the Company has not had to make material assumptions or estimates other than the assumption that the Company is a going concern.
Cash and Cash Equivalents	The Company considers all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents.
Fair Value of Financial Instruments	ASC 825, “Disclosures about Fair Value of Financial Instruments”, requires disclosure of fair value information about financial instruments. ASC 820, “Fair Value Measurements” defines fair value, establishes a framework for measuring fair value in generally accepted accounting principles, and expands disclosures about fair value measurements. Fair value estimates discussed herein are based upon certain market assumptions and pertinent information available to management as of January 31, 2014.
	The respective carrying values of certain on-balance-sheet financial instruments approximate their fair values. These financial instruments include cash, accrued liabilities and notes payable. Fair values were assumed to approximate carrying values for these financial instruments since they are short term in nature and their carrying amounts approximate fair value.
Basic and Diluted Loss Per Share	The Company computes earnings (loss) per share in accordance with ASC 260-10-45 “Earnings per Share”, which requires presentation of both basic and diluted earnings per share on the face of the statement of operations. Basic earnings (loss) per share is computed by dividing net earnings (loss) available to common stockholders by the weighted average number of outstanding common shares during the period. Diluted earnings (loss) per share gives effect to all dilutive potential common shares outstanding during the period. Dilutive earnings (loss) per share excludes all potential common shares if their effect is anti-dilutive. The Company has no potential dilutive instruments, and therefore, basic and diluted earnings (loss) per share are equal.
Revenue Recognition	The company follows the guidelines of ASC 605-15 for revenue recognition. Customers are allowed to return the products within 30 days for a refund, if the packages are unopened. The company uses standard written sales orders and purchase orders that specify that title of the products shift from the company to the customer when delivered to the customer and evidenced by the completed shipping documents. The company recognizes revenue when the completed shipping documents are produced.
Recent Accounting Pronouncements	The Company does not expect the adoption of recently issued accounting pronouncements to have a significant impact on the Company’s results of operations, financial position or cash flow.

Property_and_Equipment_Tables

Property and Equipment (Tables)	3 Months Ended
	Jan. 31, 2015
Property And Equipment Tables
Property and equipment		January 31,			October 31,
		2015			2014
	Facilities	$	16,940		$	16,940
	Furniture & Equipment	$	8,000		$	8,000
		$	24,940		$	24,940
	Less: accumulated depreciation	$	(1,172	)	$	(959	)
		$	23,768		$	23,981

Property_and_Equipment_Details

Property and Equipment (Details) (USD $)	Jan. 31, 2015	Oct. 31, 2014
Property And Equipment Details
Facilities	$16,940	$16,940
Furniture & Equipment	8,000	8,000
Property and equipment gross	24,940	24,940
Less: accumulated depreciation	-1,172	-959
Property and equipment net	$23,768	$23,981

Property_and_Equipment_Details1

Property and Equipment (Details Narrative) (USD $)	3 Months Ended		17 Months Ended
	Jan. 31, 2015	Jan. 31, 2014	Jan. 31, 2015
Property And Equipment Details Narrative
Depreciation expense	$213	$107	$1,172

Capital_Stock_Details_Narrativ

Capital Stock (Details Narrative)	Jan. 31, 2015
Capital Stock Details Narrative
Outstanding stock options or warrants	0

Income_Taxes_Details_Narrative

Income Taxes (Details Narrative) (USD $)	3 Months Ended		17 Months Ended
	Jan. 31, 2015	Jan. 31, 2014	Jan. 31, 2015
Income Taxes Details Narrative
Provision for Income Tax	$3,894	$2,586	$3,894

Going_Concern_Details_Narrativ

Going Concern (Details Narrative) (USD $)	3 Months Ended		17 Months Ended
	Jan. 31, 2015	Jan. 31, 2014	Jan. 31, 2015
Going Concern Details Narrative
Net gain	($21,209)	($3,646)	$1,501