Related Party Transactions | 3. RELATED PARTY TRANSACTIONS Due to Related Parties As of March 31, 2019, there was $100,000 due to Mr. Lucas Yu Wu, who was the Company’s majority shareholder, officer and director, respectively until his resignation on January 15, 2020. In addition to the $100,000 owed to Mr. Wu, Mr. Wu also made payments on behalf of the Company for $4,000 to service providers for services received by the Company. During the year ended March 31, 2020, Mr. Wu forgave both the $100,000 and $4,000 owed to him. Subsequent to the forgiveness of the $100,000 and $4,000, but prior to March 31, 2020, Mr. Wu made an additional advance to the Company of $19,000 of which the Company repaid him $10,000; accordingly, at March 31, 2020, there was net balance owed to Mr. Wu of $9,000. The advances at March 31, 2020 and 2019 bore no interest, were due on demand, and were not secured by the Company’s assets. As of March 31, 2020, there were advances totaling $93,000 owed to Fei Hao, our majority shareholder, officer and director. The advances bore no interest, are payable upon demand and are not secured by the Company’s assets. Notes Payable On April 10, 2018 and June 1, 2018, the Company issued to Mr. Yu Wu, two promissory notes of $30,000 totaling to $60,000, respectively. Unpaid balances are due within 30 days after notice of demand and have an annual interest rate of 2.67%. As of March 31, 2020, the $30,000 note and interest of $2,000 were repaid to the holder, and $30,000 note and $570 of accrued interest were forgiven by Mr. Yu Wu. Notes payable and accrued interest as of March 31, 2020 and 2019, consist of the following: March 31, March 31, 2020 2019 Notes payable - related party $ – $ 60,000 Accrued interest - related party $ – $ 1,453 For the year ended March 31, 2020 and 2019, interest expense was $1,117 and $1,453, respectively. Management fees During the year ended March 31, 2020, the Company recorded $17,000 in management fees to officers of the Company. As of March 31, 2020, and 2019, there were accrued management fees of $15,000 and $14,000 owing to our officers and former directors, respectively. |