Detonics Small Arms 10-K 15 Mar 16 2015 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2015	Mar. 15, 2016	Jun. 30, 2015
Document And Entity Information
Entity Registrant Name	DETONICS SMALL ARMS LTD
Entity Central Index Key	351,397
Document Type	10-K
Document Period End Date	Dec. 31, 2015
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Is Entity a Well-known Seasoned Issuer?	No
Is Entity a Voluntary Filer?	No
Is Entity's Reporting Status Current?	Yes
Entity Filer Category	Smaller Reporting Company
Entity Public Float			$ 0
Entity Common Stock, Shares Outstanding		0
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2,015

Balance Sheets (Unaudited)

Balance Sheets (Unaudited) - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Current Assets:
Cash	$ 0	$ 0
Royalties Receivable	0	0
TOTAL CURRENT ASSETS	0	0
Intangible Assets Less Amortization	0	0
TOTAL ASSETS	0	0
LIABILITIES AND PARTNERS' CAPITAL:
Accounts Payable	0	0
TOTAL CURRENT LIABILITIES	0	0
Payable to Former Affiliates	672,769	672,769
Partners Capital (Deficit)	(672,769)	(672,769)
TOTAL LIABILITIES & PARTNERS' CAPITAL	$ 0	$ 0

Statement of Income (Unaudited)

Statement of Income (Unaudited) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Revenue
Royalty Revenue	$ 0	$ 0	$ 0
Other Revenue	0	0	0
TOTAL REVENUE	0	0	0
Costs and Expenses:
Commissions	0	0	0
Operating Expense	0	0	0
Promotion	0	0	0
Supplies	0	0	0
Taxes	0	0	0
TOTAL COSTS AND EXPENSES	0	0	0
Net Income (Loss)	$ 0	$ 0	$ 0

Statements of Cash Flows (Unaud

Statements of Cash Flows (Unaudited) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Statement of Cash Flows [Abstract]
Net Cash From Operating Activities	$ 0	$ 0	$ 0
Net Cash Used By Investing Activities	0	0	0
Net Cash From Financing Activities	0	0	0
Net Increase In Cash	0	0	0
Cash At Beginning Of Period	0	0	0
Cash At End Of Period	$ 0	$ 0	$ 0

Statement of Partners' Capital

Statement of Partners' Capital (Unaudited)	USD ($)
Statement of Partners' Capital [Abstract]
Contributions by Partners	$ 0
Capital Withdrawals	0
Syndication Costs at Dec. 31, 2012	0
Accumulated Surplus (Deficit) at Dec. 31, 2013	(672,769)
Statement of Partners' Capital [Abstract]
Net Income (Loss)	0
Partners' Capital (Deficit) at Dec. 31, 2013	(672,769)
Statement of Partners' Capital [Abstract]
Contributions by Partners	0
Capital Withdrawals	0
Syndication Costs at Dec. 31, 2013	0
Accumulated Surplus (Deficit) at Dec. 31, 2014	(672,769)
Statement of Partners' Capital [Abstract]
Net Income (Loss)	0
Partners' Capital (Deficit) at Dec. 31, 2014	(672,769)
Statement of Partners' Capital [Abstract]
Contributions by Partners	0
Capital Withdrawals	0
Syndication Costs at Dec. 31, 2014	0
Accumulated Surplus (Deficit) at Dec. 31, 2015	(672,769)
Statement of Partners' Capital [Abstract]
Net Income (Loss)	0
Partners' Capital (Deficit) at Dec. 31, 2015	$ (672,769)

Partnership Organization and Op

Partnership Organization and Operations	12 Months Ended
	Dec. 31, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Partnership Organization and Operations	1. Partnership Organization and Operations Detonics Small Arms Limited, a Washington State limited partnership ("the partnership"), was formed on January 28, 1981 for the purpose of raising certain capital through the public offering of Limited Partnership interests (4,250 units; $1,000 per unit), and acquiring the rights to and conducting research and development with respect to a group of small arms products. Subsequently, the Partnership commenced limited manufacturing and marketing activities for certain products. The Partnership has one general partner and limited partners comprised of certain investor groups. The Partnership entered the production stage. Development of the small arms products was completed. For admission to the Partnership, an investor is assigned to a group (one group is associated with each phase), based on the timing of receipt of the contribution. 4,250 limited partnership units are outstanding. The units of the Partnership are non-assessable. Partners' Capital Initial contributions aggregating $4,250,000.00 were made by the Limited Partners in 1981. The General Partners have not and will not make any capital contributions. Partners share in income or loss of the partnership as set forth below. Allocation of Income, Loss and Cash Distributions The loss attributable to the research and development efforts of each phase was allocated to the partners included in such phase as follows: Limited Partners, pro rata 95% General Partners 5% All income and/or loss attributable to the operations after the research and development program has been completed, including revenues derived from the sale or other disposition of any rights or interest, shall be allocated as follows: Limited Partners, all groups, pro rata 95% General Partners 5% The Limited Partners shall receive one hundred percent of the cash available for distribution, until such time as the Limited Partners have received in distribution an amount equal to the cumulative capital contributions received from Limited Partners. After the Limited Partners have received cash distributions in an amount equal to the cumulative capital contributions received from Limited Partners, the General Partners will receive one hundred percent of the cash available for distribution, until such time as the General Partners have received an amount equal to five percent of the cumulative capital contributions received from Limited Partners. Thereafter, the cash available for distribution shall be allocated as follows: Limited Partners, all groups, pro rata 95% General Partners 5% Upon dissolution of the Partnership, proceeds of the liquidation will be applied in accordance with the terms of the Amended Certificate and Agreement of Limited Partnership in the following order of priority: 1) To the payment of liabilities of the Partnership and expenses of liquidation; 2) To the setting up of any reserves which the General Partners may deem reasonably necessary for any contingent or unforeseen liabilities or obligations of the Partnership, or of the General Partners, arising out of or in connection with the Partnership; 3) To the repayment of the Limited Partners' contributions to the capital of the Partnership, plus an amount equal to six percent of the capital contributions per annum cumulative, less the sum of prior distributions to investors from cash available for distribution; 4) Any balance then remaining shall be apportioned among all the partners as follows: Limited Partners, pro rata 95% General Partners 5% Pursuant to the terms of the Partnership Agreement, the General Partners are not required to contribute to the Partnership any deficit in their capital accounts which exist after application of proceeds of liquidation as set forth above.

Significant Accounting Policies

Significant Accounting Policies	12 Months Ended
	Dec. 31, 2015
Accounting Policies [Abstract]
Significant Accounting Policies	2. Significant Accounting Policies Basis of Reporting The records of the Partnership are maintained using the cash basis of accounting. A substantial portion of the transactions of the Limited Partnership have been with the entities affiliated with the General Partners. Inventories The partnership has no inventories. Property and Equipment The partnership has no tangible properties. Other Assets Other assets include capitalized organization and patent costs; these assets are carried at cost and amortized using the straight-line method. Offering Costs Offering costs, including sale commissions to brokers for sales of limited partnership interests were charged directly to the respective partners' capital account. Income Taxes The Partnership is not a tax-paying entity. No provision is made in these financial statements for federal and state income taxes. Research and Development Expenses Research and development costs paid or accrued under terms of a contract with an affiliated company were charged to expense in the period in which the obligation was incurred. Net Loss Attributable to Limited Partners Units The net loss attributable to each $1,000 limited partnership unit represents the loss for the period allocated to limited partners divided by the number of partnership units outstanding at the end of the period. The net loss allocated to specific individual units will vary from the amount shown depending on the group to which a limited partner has been assigned.

Amounts Owed to Affiliated Comp

Amounts Owed to Affiliated Companies	12 Months Ended
	Dec. 31, 2015
Payables and Accruals [Abstract]
Amounts Owed to Affiliated Companies	3. Amounts Owed to Affiliated Companies The Partnership owes amounts to affiliates for work done by such affiliates on its behalf. These amounts have been subject to interest and possible foreclosure. Due to the filing of Chapter 11 by the Partnership's affiliate, and by the Partnership, and due to the cessation of commercial activity relating to the Partnership's products, all accrual of interest and right of foreclosure has been suspended since 1987. The Chapter 11 proceeding of the Partnership's affiliate was dismissed on May 13, 1988.

Transactions with Related Parti

Transactions with Related Parties	12 Months Ended
	Dec. 31, 2015
Related Party Transactions [Abstract]
Transactions with Related Parties	4. Transactions with Related Parties A substantial portion of the initial transactions of the Partnership were with the General Partners and their affiliates. Significant transactions with these parties are summarized in the following paragraphs. Non-recurring management fees to the General Partners of $106,250 (2.5% of the limited partners' contributions), were incurred in 1981. The fees represent compensation to the General Partners for organization of the Partnership and for expense incurred in connection with the offering of the limited partnership units. The fees were allocated to organization and offering costs. An affiliate of the General Partners entered into a fixed price research and development contract with the Partnership. The affiliate received $3,500,000 in cash in 1981 as payment for conducting all present and future research and development for phases 1-6 of the partnership. The affiliate's costs for performing the research and development activities included certain general and administrative and overhead costs allocated by its parent company, an affiliate of the General Partners. The Partnership granted to an affiliate of the General Partners, the option to acquire a non-exclusive license to use any products developed by the Partnership for a period defined in the option agreement and an option to acquire an exclusive license to said products within 90 days after termination of the non-exclusive license. The Partnership received $1,000 in 1981 in return for the aforementioned options. Substantially all operating costs of this affiliate have been allocated to the Partnership under this agreement. The Partnership was charged for manufacturing, marketing, and general and administrative expenses incurred on behalf of the affiliates of the General Partners. Amounts due to and from affiliated companies are comprised of such charges by affiliates and costs incurred by affiliates on the Partnership's behalf, net of reimbursements and advances made by the Partnership. The General Partners have provided management, research and development and other technical services to affiliates which provided services to the Partnership. The General Partners were compensated by the affiliated companies for such services.

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
	Dec. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	5. Commitments and Contingencies The Partnership has entered into agreements with several individuals to obtain title to inventions and designs relating to the small arms products the Partnership is developing. Pursuant to the terms of the agreements, the individuals will be entitled to royalties of .5% of sales made directly by the Partnership, 5% of any royalties received by the Partnership under licensing agreements associated with the products, and 5% of any amounts received by the Partnership from the sale, assignment or transfer of the rights to the products.

Significant Accounting Polici11

Significant Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2015
Accounting Policies [Abstract]
Basis of Reporting	Basis of Reporting The records of the Partnership are maintained using the cash basis of accounting. A substantial portion of the transactions of the Limited Partnership have been with the entities affiliated with the General Partners.
Inventories	Inventories The partnership has no inventories.
Property and Equipment	Property and Equipment The partnership has no tangible properties.
Other Assets	Other Assets Other assets include capitalized organization and patent costs; these assets are carried at cost and amortized using the straight-line method.
Offering Costs	Offering Costs Offering costs, including sale commissions to brokers for sales of limited partnership interests were charged directly to the respective partners' capital account.
Income Taxes	Income Taxes The Partnership is not a tax-paying entity. No provision is made in these financial statements for federal and state income taxes.
Research and Development Expenses	Research and Development Expenses Research and development costs paid or accrued under terms of a contract with an affiliated company were charged to expense in the period in which the obligation was incurred.
Net Loss Attributable to Limited Partners Units	Net Loss Attributable to Limited Partners Units The net loss attributable to each $1,000 limited partnership unit represents the loss for the period allocated to limited partners divided by the number of partnership units outstanding at the end of the period. The net loss allocated to specific individual units will vary from the amount shown depending on the group to which a limited partner has been assigned.

Partnership Organization and 12

Partnership Organization and Operations (Details Narrative) - Limited Partner [Member] - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 1981
Limited Partnership Starting Date	Jan. 28, 1981
Number of Partnership Units Offered		4,250
Per Unit Price Offered		$ 1,000
Initial Contributions Aggregating		$ 4,250,000
Distributions Description		The loss attributable to the research and development efforts of each phase was allocated to the partners included in such phase as follows: Limited Partners, pro rata 95% General Partners 5% All income and/or loss attributable to the operations after the research and development program has been completed, including revenues derived from the sale or other disposition of any rights or interest, shall be allocated as follows: Limited Partners, all groups, pro rata 95% General Partners 5% The Limited Partners shall receive one hundred percent of the cash available for distribution, until such time as the Limited Partners have received in distribution an amount equal to the cumulative capital contributions received from Limited Partners. After the Limited Partners have received cash distributions in an amount equal to the cumulative capital contributions received from Limited Partners, the General Partners will receive one hundred percent of the cash available for distribution, until such time as the General Partners have received an amount equal to five percent of the cumulative capital contributions received from Limited Partners. Thereafter, the cash available for distribution shall be allocated as follows: Limited Partners, all groups, pro rata 95% General Partners 5% Upon dissolution of the Partnership, proceeds of the liquidation will be applied in accordance with the terms of the Amended Certificate and Agreement of Limited Partnership in the following order of priority: 1) To the payment of liabilities of the Partnership and expenses of liquidation; 2) To the setting up of any reserves which the General Partners may deem reasonably necessary for any contingent or unforeseen liabilities or obligations of the Partnership, or of the General Partners, arising out of or in connection with the Partnership; 3) To the repayment of the Limited Partners' contributions to the capital of the Partnership, plus an amount equal to six percent of the capital contributions per annum cumulative, less the sum of prior distributions to investors from cash available for distribution; 4) Any balance then remaining shall be apportioned among all the partners as follows: Limited Partners, pro rata 95% General Partners 5% Pursuant to the terms of the Partnership Agreement, the General Partners are not required to contribute to the Partnership any deficit in their capital accounts which exist after application of proceeds of liquidation as set forth above.

Transactions with Related Par13

Transactions with Related Parties (Details Narrative)	12 Months Ended
	Dec. 31, 1981USD ($)
Related Party Transactions [Abstract]
Non-Recurring Management Fees	$ 106,250
Fixed Price Research and Development Contract	3,500,000
Non-exclusive License for Products	$ 1,000

Commitments and Contingencies (

Commitments and Contingencies (Details Narrative)	12 Months Ended
	Dec. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
Royalty Commitments	The Partnership has entered into agreements with several individuals to obtain title to inventions and designs relating to the small arms products the Partnership is developing. Pursuant to the terms of the agreements, the individuals will be entitled to royalties of .5% of sales made directly by the Partnership, 5% of any royalties received by the Partnership under licensing agreements associated with the products, and 5% of any amounts received by the Partnership from the sale, assignment or transfer of the rights to the products.