| NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | A
summary of significant accounting policies of Wigi4you is presented to assist in understanding the Companys financial statements.
The accounting policies presented in these footnotes conform to generally accepted accounting principles in the United States
of America and have been consistently applied in the preparation of the accompanying financial statements. These financial statements
and notes are representations of the Companys management who are responsible for their integrity and objectivity. Basis
of Presentation The
unaudited financial statements for the period ended December 31, 2017 have been prepared in accordance with accounting principles
generally accepted in the United States for interim financial information in accordance with Securities and Exchange Commission
(SEC) Regulation S-X rule 8-03. In the opinion of management, the unaudited financial statements have been prepared on the same
basis as the annual financial statements and reflect all adjustments, which include only normal recurring adjustments, necessary
to present fairly the balance sheet as of December 31, 2017 and the results of operations and cash flows for the period then ended.
The financial data and other information disclosed in these notes to the interim financial statements related to the period are
unaudited. The results for the period ended December 31, 2017, are not necessarily indicative of the results to be expected for
any subsequent quarters or for the entire year ending June 30, 2018. These
unaudited condensed consolidated interim financial statements and notes thereto should be read in conjunction with the Managements
Discussion and the audited consolidated financial statements and notes thereto included in the Annual Report on Form 10-K for
the year ended June 30, 2017. Principles
of Consolidation The
consolidated financial statements present the financial position, results of operations and cash flows for Wigi4you, Inc. and
its wholly-owned subsidiaries, Splendor Radiant Corporation, A Jia Creative Holdings Limited, and Guangzhou Shengjia Trading Co.,
Ltd. Intercompany transactions and balances have been eliminated in consolidation. Presentation
Currency The
Companys presentation and functional currency is US Dollars (US$). The functional currency of the Companys subsidiaries,
Splendor Radiant Corporation and A Jia Creative Holdings Limited, are in Hong Kong Dollars (HK$), and Shengjia Trading
Co., Ltd., in Chinese Renminbi (RMB), respectively. All assets and liabilities of the Company are translated into Canadian dollars
at the exchange rate prevailing at the balance sheet date. Revenue and expenses are translated at the weighted average exchange
rates during the reporting period. The resulting translation adjustments are included in accumulated other comprehensive income. Gains
or losses resulting from transactions denominated in foreign currencies are included in net loss on the statement of operations
as incurred. Exchange gains or losses arising from foreign currency transactions are included in the determination of other comprehensive
income for the respective periods. Property
and Equipment Property
and equipment are carried at cost. Expenditures for maintenance and repairs are charged against operations. Renewals and betterments
that materially extend the life of the assets are capitalized. When assets are retired or otherwise disposed of, the cost and
related accumulated depreciation are removed from the accounts, and any resulting gain or loss is reflected in income for the
period. Depreciation
is computed for financial statement purposes on a straight-line basis over estimated useful lives of the related assets. The estimated
useful lives of depreciable assets are:
Estimated
Useful
Lives
Office
Equipment 5-10
years
Copier 5-7
years
Vehicles 5-10
years For
federal income tax purposes, depreciation is computed under the modified accelerated cost recovery system. For financial statements
purposes, depreciation is computed under the straight-line method. The
Company has been in the developmental stage since inception. The Company currently does not have any property and equipment. The
above accounting policies will be adopted upon the Company maintains property and equipment. Cash For
purposes of the statement of cash flows, the Company considers all short-term debt securities purchased with maturity of three
months or less to be cash equivalents. Revenue
recognition The
Companys revenue recognition policies are in compliance with FASB ASC 605-35 Revenue Recognition. Revenue
is recognized when a formal arrangement exists, the price is fixed or determinable, all obligations have been performed pursuant
to the terms of the formal arrangement and collectability is reasonably assured. For
the Companys self-serve kiosks, revenue is recognized when each kiosk satisfies the performance obligation by transferring
control of the promised goods or services to the customer. The
Company recognizes revenues on sales of its services, based on the terms of the customer agreement. The customer agreement takes
the form of either a contract or a customer purchase order and each provides information with respect to the service being sold
and the sales price. If the customer agreement does not have specific delivery or customer acceptance terms, revenue is recognized
at the time the service is provided to the customer. Collaborative
arrangements On
December 1, 2017 the Company entered into an agreement with Guangzhou Renhai Technology Co. Ltd. (Renhai). Renhai
is a service provider involved in a project named Collection Code with the sponsor, Alipay (China) Network Technology
Co., Ltd. (Alipay) (known as the Project). The
Company has evaluated the Renhai agreement and determined that it is a collaborative arrangement under FASB ASC Topic 808, Collaborative
Arrangements and that Renhai is the principal participant; therefore, the Company will record costs incurred and revenue generated
from third parties based on the percentage earned in the financial statements. The Company will re-evaluate whether an arrangement
qualifies or continues to qualify as a collaborative arrangement whenever there is a change in either the roles of the participants
or the participants exposure to significant risks and rewards, dependent on the ultimate commercial success of the endeavor. The
purpose of the Project is to improve the marketability and market penetration of Alipays collection code system. Alipay
is a mobile phone app owned by Alibaba Group Holding Ltd. Alipay is principally an online payment tool being used in the Peoples
Republic of China (PRC). The Project shall earn revenues by successfully marketing and attracting users to the Alipay
mobile app. The Company is responsible for improving the marketability and market penetration of the Project and is entitled to
10% of net profits earned by the Project. See
note 4 and note 5 for impacts that relate to this agreement. Fair
Value of Financial Instruments The
Company applies fair value accounting for all financial assets and liabilities and non-financial assets and liabilities that are
recognized or disclosed at fair value in the financial statements on a recurring basis. The Company defines fair value as the
price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants
at the measurement date. When determining the fair value measurements for assets and liabilities, which are required to be recorded
at fair value, the Company considers the principal or most advantageous market in which the Company would transact and the market-based
risk measurements or assumptions that market participants would use in pricing the asset or liability, such as risks inherent
in valuation techniques, transfer restrictions and credit risk. Fair value is estimated by applying the following hierarchy, which
prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the
lowest level of input that is available and significant to the fair value measurement: Level
1 Level
2 Level
3 In
accordance with the fair value accounting requirements, companies may choose to measure eligible financial instruments and certain
other items at fair value. The Company has not elected the fair value option for any eligible financial instruments. As
of December 31, 2017, the carrying value of cash, accounts receivable, accrued expenses and due to related parties approximated
fair value due to the short-term nature and maturity of these instruments. Use
of Estimates The
preparation of financial statements in accounting principles generally accepted in the United States of America 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 reporting
period. A change in managements estimates or assumptions could have a material impact on Wigi4You, Inc.s financial
condition and results of operations during the period in which such changes occurred. Actual results could differ from those estimates.
Wigi4You, Inc.s financial statements reflect all adjustments that management believes are necessary for the fair presentation
of their financial condition and results of operations for the periods presented. |
