Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Jun. 30, 2014 | Aug. 14, 2014 | |
Document and Entity Information | ' | ' |
Entity Registrant Name | 'Living 3D Holdings, Inc. | ' |
Document Type | '10-Q | ' |
Document Period End Date | 30-Jun-14 | ' |
Amendment Flag | 'false | ' |
Entity Central Index Key | '0000093205 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Common Stock, Shares Outstanding | ' | 69,703,480 |
Entity Filer Category | 'Smaller Reporting Company | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Voluntary Filers | 'No | ' |
Entity Well-known Seasoned Issuer | 'No | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q2 | ' |
Date of Incorporation | 23-Jun-08 | ' |
Consolidated_Balance_Sheets_Un
Consolidated Balance Sheets (Unaudited) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Current Assets | ' | ' |
Cash and cash equivalents | $3,850 | $54,349 |
Accounts receivable, net | 8,512 | ' |
Due from related party | 6,544 | 6,544 |
Other current assets | 289 | 9,430 |
Total Current Assets | 19,195 | 70,323 |
Property and equipment, net | 0 | 480,072 |
TOTAL ASSETS | 19,195 | 550,395 |
Current Liabilities | ' | ' |
Accounts payable | 24,397 | 18,756 |
Accrued liabilities and other payables | 1,157,834 | 1,075,505 |
Due to related parties | 85,000 | 120,056 |
Total Current Liabilities | 1,267,231 | 1,214,317 |
Loan from related party | 300,000 | 550,000 |
TOTAL LIABILITIES | 1,567,231 | 1,764,317 |
SHAREHOLDERS' EQUITY (DEFICIT) | ' | ' |
Preferred Stock, $.001 par value, 10,000,000 shares authorized, no shares issued and outstanding | ' | ' |
Common stock, $.001 par value, 90,000,000 shares authorized, 69,703,480 shares issued and outstanding at June 30, 2014 and December 31, 2013 | 69,704 | 69,704 |
Additional paid-in capital | -69,604 | -69,604 |
Accumulated deficit | -1,548,136 | -1,357,727 |
Accumulated other comprehensive income | ' | 809 |
Total Living 3D Holdings, Inc. shareholders' equity | -1,548,036 | -1,356,818 |
Non-controlling interest | ' | 142,896 |
TOTAL SHAREHOLDERS' EQUITY (DEFICIT) | -1,548,036 | -1,213,922 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT) | $19,195 | $550,395 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Statement of Financial Position | ' | ' |
Common Stock, par or stated value | $0.00 | $0.00 |
Common Stock, shares authorized | 90,000,000 | 90,000,000 |
Common Stock, shares issued | 69,703,480 | 69,703,480 |
Common Stock, shares outstanding | 69,703,480 | 69,703,480 |
Preferred Stock, par or stated value | $0.00 | $0.00 |
Preferred Stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred Stock, shares issued | ' | ' |
Preferred Stock, shares outstanding | ' | ' |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (Unaudited) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Income Statement | ' | ' | ' | ' |
Revenue | $6,251 | ' | $8,512 | $6,104 |
Cost of Revenue | 5,642 | ' | 7,898 | 5,548 |
Gross Profit | 609 | ' | 614 | 556 |
Operating Expenses | ' | ' | ' | ' |
General and administrative expenses | 145,918 | 125,457 | 337,906 | 235,524 |
Gain on disposal of joint venture | -126,848 | ' | -126,848 | ' |
Total Operating Expenses | 19,070 | 125,457 | 211,058 | 235,524 |
Loss from Operations | -18,461 | -125,457 | -210,444 | -234,968 |
Other Income (Expenses) | ' | ' | ' | ' |
Interest expenses | -5,482 | ' | -15,423 | ' |
Other income (expenses) | -8 | 32 | 23 | -62 |
Total Other Income (Expenses) | -5,490 | 32 | -15,400 | -62 |
Net Loss | -23,951 | -125,425 | -225,844 | -235,030 |
Less: Net loss attributable to non-controlling interest | ' | ' | -35,435 | ' |
Net Loss Attributable to Living 3D Holdings, Inc. | -23,951 | -125,425 | -190,409 | -235,030 |
Comprehensive Loss | ' | ' | ' | ' |
Net loss | -23,951 | -125,425 | -225,844 | -235,030 |
Foreign currency translation gain | ' | ' | 1,592 | ' |
Total Comprehensive Loss | -23,951 | -125,425 | -224,252 | -235,030 |
Comprehensive loss attributable to non-controlling interest | ' | ' | -34,560 | ' |
Comprehensive loss attributable to Living 3D Holdings, Inc. | ($23,951) | ($125,425) | ($189,692) | ($235,030) |
Basic and Diluted Loss per Common Share | $0 | $0 | $0 | $0 |
Weighted Average Common Shares; Basic and Diluted | 69,703,480 | 69,703,480 | 69,703,480 | 69,703,480 |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Shareholders' Equity (Deficit) (USD $) | Common stock | Additional paid-in capital | Accumulated other comprehensive income | Accumulated deficit | Total Living 3D Holdings, Inc. shareholders' equity (deficit) | Non-controlling interests | Total |
Shareholders' Equity beginning of period, Value at Dec. 31, 2013 | $69,704 | ($69,604) | $809 | ($1,357,727) | ($1,356,818) | $142,896 | ($1,213,922) |
Shareholders' Equity beginning of period, Shares at Dec. 31, 2013 | 69,703,480 | ' | ' | ' | ' | ' | ' |
Net loss | ' | ' | ' | -190,409 | -190,409 | -35,435 | -225,844 |
Foreign currency translation gain | ' | ' | 716 | ' | 716 | 876 | 1,592 |
Disposal of joint venture | ' | ' | -1,525 | ' | -1,525 | -108,337 | -109,862 |
Shareholders' Equity end of period, Value at Jun. 30, 2014 | $69,704 | ($69,604) | ' | ($1,548,136) | ($1,548,036) | ' | ($1,548,036) |
Shareholders' Equity end of period, Shares at Jun. 30, 2014 | 69,703,480 | ' | ' | ' | ' | ' | ' |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (Unaudited) (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ' | ' |
Net loss | ($225,844) | ($235,030) |
Adjustments to reconcile net loss to net cash provided by operating activities: | ' | ' |
Depreciation expenses | 6,436 | 0 |
Gain on disposal of joint venture | -126,848 | ' |
Changes in operating assets and liabilities | ' | ' |
Accounts receivable | -8,512 | ' |
Other current assets | 7,046 | -24 |
Accounts payable | 5,641 | ' |
Accrued liabilities and other payable | 167,002 | 174,646 |
CASH USED IN OPERATING ACTIVITIES | -175,079 | -60,408 |
CASH FLOW FROM INVESTING ACTIVITIES | ' | ' |
Cash paid for the purchase of property and equipment | -3,171 | ' |
Cash paid on disposal of joint venture | -3,949 | ' |
CASH USED IN INVESTING ACTIVITIES | -7,120 | ' |
CASH FLOWS FROM FINANCING ACTIVITIES | ' | ' |
Proceeds from related parties | 131,730 | 51,982 |
Collection of subscription receivable | ' | ' |
Contribution from non-controlling investors | ' | ' |
CASH PROVIDED BY FINANCING ACTIVITIES | 131,730 | 51,982 |
Effect of exchange rate changes on cash and cash equivalents | -30 | ' |
NET INCREASE (DECREASE) IN CASH | -50,499 | -8,426 |
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR | 54,349 | 24,857 |
CASH AND CASH EQUIVALENTS AT END OF PERIOD | 3,850 | 16,431 |
Supplementary Disclosures for Cash Flow Information: | ' | ' |
Income taxes paid | ' | ' |
Interest paid | ' | ' |
Forgiveness of loan and accrued interests from related party in connection with disposal of joint venture | $260,844 | ' |
Note_1_Description_of_Business
Note 1 - Description of Business and Organization | 6 Months Ended |
Jun. 30, 2014 | |
Notes | ' |
Note 1 - Description of Business and Organization | ' |
NOTE 1 - DESCRIPTION OF BUSINESS AND ORGANIZATION | |
Living 3D Holdings Ltd (“L3D”) was incorporated in the British Virgin Islands (the “BVI”) on June 23, 2008. L3D is a globally integrated enterprise that targets the intersection of 3D technology and effective business. The Company specializes in the design, development, production, sale and marketing of “auto stereoscopic 3D” technology, or Auto 3D products, services and solutions. The products we market are based on "auto stereoscopic 3D" technology, or Auto 3D, which means that viewers are not required to wear 3D glasses in order to experience the 3D effects of the screen, and instant switching between two dimensional, or 2D, and 3D viewing is enabled. We believe that this gives us a competitive advantage over other suppliers of 3D products requiring the use of a visor or glasses in order to experience a 3D effect. | |
The Company also provides technical and support services of 3D in software development, contents production and hardware configuration to a wide range of industries, including entertainment, education, consumer electronics, medical diagnosis, scientific research and, in particular, media and advertising. The Company aims at customizing product requirements and specifications in order to enhance the power of product displays in business advertising and special operational environments. | |
On December 8, 2011, L3D entered into a share exchange agreement (the "Share Exchange") with Living 3D Holdings, Inc. (formerly AirWare International Corp. and formerly Concrete Casting Incorporated), a company incorporated in the State of Nevada on October 29, 1987. Under the Share Exchange, Living 3D Holdings, Inc. ("Living 3D" or the “Company”) issued an aggregate of 62,590,880 shares of its common stock to the shareholders of the Company in exchange for all of the issued and outstanding securities of L3D. The Share Exchange closed on December 8, 2011. As a result of the Share Exchange, L3D became the Company's wholly-owned subsidiary. | |
The transaction has been treated as a recapitalization of L3D and its subsidiaries, with Living 3D (the legal acquirer of L3D and its subsidiaries) considered the accounting acquiree, and L3D whose management took control of Living 3D (the legal acquiree of L3D) considered the accounting acquirer. The Company did not recognize goodwill or any intangible assets in connection with the transaction. All costs related to the transaction are being charged to operations as incurred. The 62,590,880 shares of common stock issued to the shareholders in conjunction with the Share Exchange have been presented as outstanding for all periods. The historical consolidated financial statements include the operations of the accounting acquirer for all periods presented. | |
In June 2013, the Company with its strategic partners has entered into a memorandum of understanding and has formed a joint venture, 3D Science & Cultural Products International Exchange Center in Tianjin, China that will enable the vendors from different countries around the world to showcase 3D technology and promote the sale and marketing of international 3D products. Effective April 1, 2014, the Company disposed of its entire equity interests in 3D Science & Cultural Products International Exchange Center. | |
At June 30, 2014, L3D has the following wholly owned subsidiaries: Living 3D (Hong Kong) Limited, 3D Capital Holdings Inc, Columbia College Hollywood International Limited and Living 3D Technology Group Limited. L3D and its subsidiaries are collectively referred to as L3D or the Company. | |
For the sake of clarity, this Report follows the English naming convention of first name followed by last name, regardless of whether an individual’s name is Chinese or English. For example, the name of our President will be presented as "Jimmy Kent-Lam Wong," even though, in Chinese, his name would be presented as "Wong Jimmy Kent-Lam." |
Note_2_Summary_of_Significant_
Note 2 - Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2014 | |
Notes | ' |
Note 2 - Summary of Significant Accounting Policies | ' |
NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
A. BASIS OF PRESENTATION | |
The consolidated financial statements are prepared in accordance with generally accepted accounting principles used in the United States of America. The accompanying unaudited interim financial statements of Living 3D Holdings, Inc. 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 (“SEC”), and should be read in conjunction with the audited financial statements and notes thereto contained in the Company’s latest Annual Report filed with the SEC on Form 10-K. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of the results of operations for the interim periods presented have been reflected herein. The results of operations for such interim periods are not necessarily indicative of operations for a full year. Notes to the consolidated financial statements which would substantially duplicate the disclosure contained in the audited financial statements for the most recent fiscal year, 2013, as reported in Form 10-K, have been omitted. | |
B. RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS | |
In April 2014, the FASB issued ASU 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity”. The amendments in the ASU change the criteria for reporting discontinued operations while enhancing disclosures in this area. It also addresses sources of confusion and inconsistent application related to financial reporting of discontinued operations guidance in U.S. GAAP. Under the new guidance, only disposals representing a strategic shift in operations should be presented as discontinued operations. In addition, the new guidance requires expanded disclosures about discontinued operations that will provide financial statement users with more information about the assets, liabilities, income, and expenses of discontinued operations. The amendments in the ASU are effective in the first quarter of 2015 for public organizations with calendar year ends. Early adoption is permitted. The Company does not expect the adoption to have a significant impact on its consolidated financial statements. | |
In May 2014, the FASB issued ASU 2014-09, “Revenue from contracts with Customers (Topic 606)”. This ASU affects any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of non-financial assets. This ASU will supersede the revenue recognition requirements in Topic 605, Revenue Recognition, and most industry-specific guidance. The ASU also supersedes some cost guidance included in Subtopic 605-35, Revenue Recognition-Construction-Type and Production-Type Contracts. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchanged for those goods or services. The standard is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. The Company is currently in the process of evaluating the impact of the adoption on its consolidated financial statements. | |
In June 2014, the FASB issued ASU 2014-10, “Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements”. The amendments in this Update remove all incremental financial reporting requirements from U.S. GAAP for development stage entities, thereby improving financial reporting by eliminating the cost and complexity associated with providing that information. In the quarter ended June 30, 2014, the Company has elected to early adopt this ASU by removing the inception to date information and all references to development stage. | |
Other accounting standards that have been issued or proposed by FASB that do not require adoption until a future date are not expected to have a material impact on the consolidated financial statements upon adoption. |
Note_3_Going_Concern
Note 3 - Going Concern | 6 Months Ended |
Jun. 30, 2014 | |
Notes | ' |
Note 3 - Going Concern | ' |
NOTE 3 – GOING CONCERN | |
The Company first generated revenue in 2010 and is still in the early stages of establishing a market for the products it sells. At June 30, 2014, the Company has a working capital deficit of $1,248,036 and an accumulated deficit of $1,548,136. The Company is primarily funded by Jimmy Kent-Lam Wong, the Company’s Chief Executive Officer ("CEO") and principal shareholder. The Company will have to raise additional capital, including through the sale of equity securities, to support its operation and expansion. | |
These conditions and uncertainties raise substantial doubt as to the Company’s ability to continue as a going concern. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern. |
Note_4_Property_and_Equipment_
Note 4 - Property and Equipment and Construction in Progress | 6 Months Ended | |||
Jun. 30, 2014 | ||||
Notes | ' | |||
Note 4 - Property and Equipment and Construction in Progress | ' | |||
NOTE 4 – PROPERTY AND EQUIPMENT AND CONSTRUCTION IN PROGRESS | ||||
Property and equipment consist of the following: | ||||
30-Jun-14 | 31-Dec-13 | |||
Building improvement | $- | $16,594 | ||
Computer software | - | 3,883 | ||
Furniture | - | 27,324 | ||
Machinery and equipment | - | 67,898 | ||
Motor vehicles | - | 33,678 | ||
- | 149,377 | |||
Less: Accumulated depreciation | - | -4,799 | ||
Net | - | 144,578 | ||
Construction in progress | - | 335,494 | ||
$- | $480,072 | |||
The depreciation expense for the period ended June 30, 2014 and 2013 was $6,436 and $(-0-) respectively. |
Note_5_Related_Party_Transacti
Note 5 - Related Party Transactions | 6 Months Ended | ||
Jun. 30, 2014 | |||
Notes | ' | ||
Note 5 - Related Party Transactions | ' | ||
NOTE 5 – RELATED PARTY TRANSACTIONS | |||
The related parties consist of the following: | |||
Jimmy Kent-Lam Wong, the Company’s CEO, a director and principal shareholder Kingdom Industry Group Inc., Jimmy Kent-Lam Wong is one of the two directors and owns 60% equity interest China 3D Industrial Park Company Limited (“China 3D”), Jimmy Kent-Lam Wong is one of two directors of China 3D and owns 50% equity interest through his affiliates in China 3D. Chang Li, the Company's Chief Technology Officer and a director, is the second director of China 3D. | |||
Due from Related Party | |||
Due from related party consists of the following: | |||
30-Jun-14 | 31-Dec-13 | ||
Jimmy Kent-Lam Wong | 6,544 | 6,544 | |
Total | $6,544 | $6,544 | |
The above amount represents advance to Jimmy Kent-Lam Wong for business purpose. | |||
Due to Related Parties | |||
Due to related parties consists of the following: | |||
June 30,2014 | December 31,2013 | ||
Kingdom Industry Group Inc. | $85,000 | $35,000 | |
China 3D | - | 85,056 | |
Total | $85,000 | $120,056 | |
The amounts due to related parties represent advances received to support the Company’s operations. They are unsecured, bearing no interest and repayable on demand. | |||
Loan from Related Party | |||
By the agreements dated August 28, 2013 and November 29, 2013, the Company obtained loans of $250,000 and $300,000, respectively, from Kingdom Industry Group Inc. The loans are unsecured, bearing interest of 7.33% per annum and are to be repayable within two years from the respective dates of the loan agreements. In connection with the disposal of 3D Science & Cultural Products International Exchange Center, the directors of Kingdom Industry Group, Inc. had elected to relinquish all their claims on the loan of $250,000 together with any accrued interests thereon (also see Note 7). The directors of Kingdom Industry Group Inc. confirmed that they would not have any claim whatsoever on the said loan. |
Note_6_Noncontrolling_Interest
Note 6 - Non-controlling Interest | 6 Months Ended |
Jun. 30, 2014 | |
Notes | ' |
Note 6 - Non-controlling Interest | ' |
NOTE 6 – NON-CONTROLLING INTEREST | |
On June 18, 2013, Living 3D (Hong Kong) Limited ("L3D-HK") entered into an agreement with China 3D Industrial Park Company Limited, a Chinese corporation ("China 3D"), and Tianjin 3D Technology Company Limited, a Chinese corporation ("Tianjin 3D"), to form a joint venture company, 3D Science & Cultural Products International Exchange Center. The principal activities of the joint venture company will be the provision of a platform for the exhibition and trading of 3D products and the transfer of 3D technology. | |
The total capital of 3D Science & Cultural Products International Exchange Center will be RMB 10,000,000 (approximately $1.6 million). L3D-HK and China 3D have each committed to contribute RMB 4,500,000 (approximately $0.7 million) of such amount and each will own 45% of the joint venture. L3D-HK and China 3D are to make their respective capital contributions as follows: RMB 1,500,000 (approximately $0.24 million) on or before July 31, 2013; RMB 1,500,000 (approximately $0.24 million) on or before December 31, 2013; RMB 1,500,000 (approximately $0.24 million) on or before May 31, 2014. Tianjin 3D will contribute certain assets valued at RMB 1,000,000 (approximately $0.2 million) forits equity interest of 10% in the joint venture. | |
Both L3D-HK and China 3D made its first capital contribution of RMB 1,500,000 (approximately $0.24 million) in August 2013. No additional contribution from L3D-HK and China 3D has been made as of the report date. In September 2013, 3D Science & Cultural Products International Exchange Center obtained its business license from the Administration of Industry and Commerce. | |
Tianjin 3D has made its contribution on January 6, 2014 in the form of a customer list. Since the customer list was internally generated by Tianjin 3D with no historical carrying amounts recorded, the Company did not record a value for the contribution. | |
Jimmy Kent-Lam Wong, the Company's CEO, a director and principal shareholder, is also one of two directors of China 3D and through his affiliates owns a 50% interest in China 3D. Chang Li, the Company's Chief Technology Officer and a director, is the second director of China 3D. Additionally, Chang Li is the sole director and shareholder of Tianjin 3D, which also owns a 50% interest in China 3D. Though L3D-HK only owns 45% of 3D Science & Cultural Products International Exchange Center per the agreement, Jimmy Kent-Lam Wong and Chang Li have actual control of 3D Science & Cultural Products International Exchange Center through their equity interests in L3D-HK, China 3D, and Tianjin 3D. Accordingly, the results of 3D Science & Cultural Products International Exchange Center are included in the consolidated statements of the Company. The portion of the income or loss applicable to non-controlling interest is reflected in the consolidated statements of operations. | |
In June 2014, L3D-HK entered into an agreement to dispose of its entire equity interest in 3D Science & Cultural Products International Exchange Center to Excellent Plus Group Limited, an independent third party, effective on April 1, 2014, see Note 7. |
Note_7_Disposal_of_Joint_Ventu
Note 7 - Disposal of Joint Venture | 6 Months Ended |
Jun. 30, 2014 | |
Notes | ' |
Note 7 - Disposal of Joint Venture | ' |
NOTE 7 – DISPOSAL OF JOINT VENTURE | |
By a Sale and Purchase Agreement dated June 26, 2014, L3D-HK sold its 45% equity interest in 3D Science & Cultural Products International Exchange Center to Excellent Plus Group Limited, an independent third party for a consideration of $250,000. The decision was made because the management did not have sufficient experience at managing a joint venture. The consideration of $250,000 was satisfied through the forgiveness of debt of the same amount due to Kingdom Industry Group Inc. The Agreement provided that the sale and purchase of the 45% equity interest would be effective as of April 1, 2014. The disposition resulted in a gain of $126,848, which was reported as “gain on disposal of joint venture” included in operating expense for the period ended June 30, 2014. | |
The Company determined that disposal of joint venture did not constitute a discontinued operation, as the Company anticipated that it will generate significant continuing cash flows from the customers of the disposed joint venture. |
Note_2_Summary_of_Significant_1
Note 2 - Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2014 | |
Policies | ' |
A. Basis of Presentation | ' |
A. BASIS OF PRESENTATION | |
The consolidated financial statements are prepared in accordance with generally accepted accounting principles used in the United States of America. The accompanying unaudited interim financial statements of Living 3D Holdings, Inc. 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 (“SEC”), and should be read in conjunction with the audited financial statements and notes thereto contained in the Company’s latest Annual Report filed with the SEC on Form 10-K. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of the results of operations for the interim periods presented have been reflected herein. The results of operations for such interim periods are not necessarily indicative of operations for a full year. Notes to the consolidated financial statements which would substantially duplicate the disclosure contained in the audited financial statements for the most recent fiscal year, 2013, as reported in Form 10-K, have been omitted. | |
B. Recently Issued Accounting Pronouncements | ' |
B. RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS | |
In April 2014, the FASB issued ASU 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity”. The amendments in the ASU change the criteria for reporting discontinued operations while enhancing disclosures in this area. It also addresses sources of confusion and inconsistent application related to financial reporting of discontinued operations guidance in U.S. GAAP. Under the new guidance, only disposals representing a strategic shift in operations should be presented as discontinued operations. In addition, the new guidance requires expanded disclosures about discontinued operations that will provide financial statement users with more information about the assets, liabilities, income, and expenses of discontinued operations. The amendments in the ASU are effective in the first quarter of 2015 for public organizations with calendar year ends. Early adoption is permitted. The Company does not expect the adoption to have a significant impact on its consolidated financial statements. | |
In May 2014, the FASB issued ASU 2014-09, “Revenue from contracts with Customers (Topic 606)”. This ASU affects any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of non-financial assets. This ASU will supersede the revenue recognition requirements in Topic 605, Revenue Recognition, and most industry-specific guidance. The ASU also supersedes some cost guidance included in Subtopic 605-35, Revenue Recognition-Construction-Type and Production-Type Contracts. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchanged for those goods or services. The standard is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. The Company is currently in the process of evaluating the impact of the adoption on its consolidated financial statements. | |
In June 2014, the FASB issued ASU 2014-10, “Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements”. The amendments in this Update remove all incremental financial reporting requirements from U.S. GAAP for development stage entities, thereby improving financial reporting by eliminating the cost and complexity associated with providing that information. In the quarter ended June 30, 2014, the Company has elected to early adopt this ASU by removing the inception to date information and all references to development stage. | |
Other accounting standards that have been issued or proposed by FASB that do not require adoption until a future date are not expected to have a material impact on the consolidated financial statements upon adoption. |
Note_4_Property_and_Equipment_1
Note 4 - Property and Equipment and Construction in Progress: Property and Equipment (Tables) | 6 Months Ended | |||
Jun. 30, 2014 | ||||
Tables/Schedules | ' | |||
Property and Equipment | ' | |||
30-Jun-14 | 31-Dec-13 | |||
Building improvement | $- | $16,594 | ||
Computer software | - | 3,883 | ||
Furniture | - | 27,324 | ||
Machinery and equipment | - | 67,898 | ||
Motor vehicles | - | 33,678 | ||
- | 149,377 | |||
Less: Accumulated depreciation | - | -4,799 | ||
Net | - | 144,578 | ||
Construction in progress | - | 335,494 | ||
$- | $480,072 |
Note_5_Related_Party_Transacti1
Note 5 - Related Party Transactions: Due From/To Related Party (Tables) | 6 Months Ended | ||
Jun. 30, 2014 | |||
Tables/Schedules | ' | ||
Due From/To Related Party | ' | ||
Due from Related Party | |||
Due from related party consists of the following: | |||
30-Jun-14 | 31-Dec-13 | ||
Jimmy Kent-Lam Wong | 6,544 | 6,544 | |
Total | $6,544 | $6,544 | |
The above amount represents advance to Jimmy Kent-Lam Wong for business purpose. | |||
Due to Related Parties | |||
Due to related parties consists of the following: | |||
June 30,2014 | December 31,2013 | ||
Kingdom Industry Group Inc. | $85,000 | $35,000 | |
China 3D | - | 85,056 | |
Total | $85,000 | $120,056 |
Note_1_Description_of_Business1
Note 1 - Description of Business and Organization (Details) | 6 Months Ended | 1 Months Ended |
Jun. 30, 2014 | Dec. 31, 2011 | |
Common stock | ||
Date of Incorporation | 23-Jun-08 | ' |
Business Acquisition, Name of Acquired Entity | 'L3D | ' |
Noncash or Part Noncash Acquisition, Noncash Financial or Equity Instrument Consideration, Shares Issued | ' | 62,590,880 |
Business Acquisition, Effective Date of Acquisition | 8-Dec-11 | ' |
Note_3_Going_Concern_Details
Note 3 - Going Concern (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Details | ' | ' |
Working capital (deficit) | ($1,248,036) | ' |
Accumulated deficit | ($1,548,136) | ($1,357,727) |
Note_4_Property_and_Equipment_2
Note 4 - Property and Equipment and Construction in Progress: Property and Equipment (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Property, Plant and Equipment, Gross | $0 | $149,377 |
Less: Accumulated depreciation | 0 | -4,799 |
Net | 0 | 144,578 |
Construction in progress | 0 | 335,494 |
Property and equipment, net | 0 | 480,072 |
Building Improvements | ' | ' |
Property, Plant and Equipment, Gross | 0 | 16,594 |
Software and Software Development Costs | ' | ' |
Property, Plant and Equipment, Gross | 0 | 3,883 |
Furniture and Fixtures | ' | ' |
Property, Plant and Equipment, Gross | 0 | 27,324 |
Machinery and Equipment | ' | ' |
Property, Plant and Equipment, Gross | 0 | 67,898 |
Vehicles | ' | ' |
Property, Plant and Equipment, Gross | $0 | $33,678 |
Note_4_Property_and_Equipment_3
Note 4 - Property and Equipment and Construction in Progress (Details) (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Details | ' | ' |
Depreciation expenses | $6,436 | $0 |
Note_5_Related_Party_Transacti2
Note 5 - Related Party Transactions (Details) (USD $) | Jun. 30, 2014 | Aug. 28, 2013 | Nov. 29, 2013 | Jun. 30, 2014 |
Kingdom Industry Group Inc | Kingdom Industry Group Inc | Kingdom Industry Group Inc | China 3D | |
Commercial Loan | Commercial Loan | Commercial Loan 2 | Jimmy Kent-Lam Wong | |
Equity Method Investment, Ownership Percentage | ' | ' | ' | 50.00% |
Debt Instrument, Face Amount | ' | $250,000 | $300,000 | ' |
Debt Instrument, Interest Rate, Stated Percentage | 7.33% | ' | ' | ' |
Note_5_Related_Party_Transacti3
Note 5 - Related Party Transactions: Due From/To Related Party (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Due from related party | $6,544 | $6,544 |
Due to related parties | 85,000 | 120,056 |
Jimmy Kent-Lam Wong | ' | ' |
Due from related party | 6,544 | 6,544 |
Kingdom Industry Group Inc | ' | ' |
Due to related parties | 85,000 | 35,000 |
China 3D | ' | ' |
Due to related parties | $0 | $85,056 |
Note_6_Noncontrolling_Interest1
Note 6 - Non-controlling Interest (Details) | 6 Months Ended | 1 Months Ended | 6 Months Ended | 1 Months Ended | 6 Months Ended | |||||
Jun. 30, 2014 | Aug. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Aug. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | |
3D Science & Cultural Products International Exchange Center Joint Venture | 3D Science & Cultural Products International Exchange Center Joint Venture | 3D Science & Cultural Products International Exchange Center Joint Venture | 3D Science & Cultural Products International Exchange Center Joint Venture | 3D Science & Cultural Products International Exchange Center Joint Venture | 3D Science & Cultural Products International Exchange Center Joint Venture | 3D Science & Cultural Products International Exchange Center Joint Venture | 3D Science & Cultural Products International Exchange Center Joint Venture | Jimmy Kent-Lam Wong | Chang Li | |
USD ($) | Parent Company | Parent Company | China 3D | Tianjin 3D | China, Yuan Renminbi | China, Yuan Renminbi | China, Yuan Renminbi | China 3D | China 3D | |
USD ($) | USD ($) | CNY | Parent Company | Tianjin 3D | ||||||
CNY | CNY | |||||||||
Joint Venture Capital Required | $1,600,000 | ' | ' | ' | ' | 10,000,000 | ' | ' | ' | ' |
Joint Venture Capital Committed By Each Party | 700,000 | ' | ' | ' | 200,000 | 4,500,000 | ' | 1,000,000 | ' | ' |
Noncontrolling Interest, Ownership Percentage by Parent | ' | ' | 45.00% | ' | ' | ' | ' | ' | ' | ' |
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | ' | ' | ' | 45.00% | 10.00% | ' | ' | ' | ' | ' |
Joint Venture Capital Payment Schedule Description | 'L3D-HK and China 3D are to make their respective capital contributions as follows: RMB 1,500,000 (approximately $0.24 million) on or before July 31, 2013; RMB 1,500,000 (approximately $0.24 million) on or before December 31, 2013; RMB 1,500,000 (approximately $0.24 million) on or before May 31, 2014 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payments to Acquire Interest in Joint Venture | ' | $240,000 | ' | ' | ' | ' | 1,500,000 | ' | ' | ' |
Equity Method Investment, Ownership Percentage | ' | ' | ' | ' | ' | ' | ' | ' | 50.00% | 50.00% |
Note_7_Disposal_of_Joint_Ventu1
Note 7 - Disposal of Joint Venture (Details) (USD $) | 3 Months Ended | 6 Months Ended |
Jun. 30, 2014 | Jun. 30, 2014 | |
Gain on disposal of joint venture | $126,848 | $126,848 |
3D Science & Cultural Products International Exchange Center Joint Venture | Parent Company | ' | ' |
Sale of Stock, Percentage of Ownership before Transaction | ' | 45.00% |
Sale of Stock, Consideration Received Per Transaction | ' | 250,000 |
Gain on disposal of joint venture | ' | $126,848 |
3D Science & Cultural Products International Exchange Center Joint Venture | Excellent Plus Group Limited | ' | ' |
Sale of Stock, Percentage of Ownership after Transaction | ' | 45.00% |