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PRESENTATION OF INTERIM INFORMATION (Tables)
 9 Months Ended
May 31, 2018
PRESENTATION OF INTERIM INFORMATION [Abstract]  
Discontinued Operations Financials
Prior period balances have been reclassified to present the operations of the agricultural business as a discontinued operation.
 
Discontinued Operations Income Statement
 
             
  
Three Months Ended May 31,
  
Nine Months Ended May 31,
 
  
2018
  
2017
  
2018
  
2017
 
Farm revenues
 
$
1,000
  
$
600
  
$
2,400
  
$
6,300
 
Farm expenses
  
-
   
-
   
-
   
-
 
Gross profit
  
1,000
   
600
   
2,400
   
6,300
 
                 
General and administrative expenses
  
-
   
11,900
   
-
   
48,300
 
Operating profit (loss)
  
1,000
   
(11,300
)
  
2,400
   
(42,000
)
Finance charges
  
-
   
-
   
-
   
9,400
 
Income (loss) from discontinued operations
 
$
1,000
  
$
(11,300
)
 
$
2,400
  
$
(32,600
)
 
The carrying amounts of the major classes of assets and liabilities included as part of the discontinued business are presented in the following table:
 
Discontinued Operations Balance Sheet
 
       
  
May 31, 2018
  
August 31, 2017
 
Assets:
      
Trade accounts receivable
 
$
86,800
  
$
110,700
 
Land held for sale (*)
  
450,600
   
450,600
 
Total assets
 
$
537,400
  
$
561,300
 
         
Liabilities:
        
Accrued liabilities
 
$
5,600
  
$
11,200
 
Total liabilities
 
$
5,600
  
$
11,200
 

(*) Land Held for Sale. During the fiscal quarter ended November 30, 2015, the Company purchased three farms totaling 700 acres for approximately $450,600. The farms were acquired in order to correct dry-up covenant issues related to water only farms in order to obtain the release of the escrow funds related to the Company’s farm sale to Arkansas River Farms, LLC. The Company intends to sell the farms in due course and has classified the farms as long-term assets.
Effects of New Accounting Standard
The cumulative effect of the changes made to the Company’s consolidated September 1, 2017 balance sheet for the adoption of ASU 2014-09 were as follows:

    
Balance at
August 31, 2017
    
Adjustments
Due to ASU 2014-09
    
Balance at
September 1, 2017
  
Balance Sheet
         
Assets
         
Deferred tax assets (Deferred revenue)
 
$
316,400
  
$
(316,400
)
 
$
-
 
Deferred tax assets - valuation allowance (Deferred revenue)
  
(316,400
)
  
316,400
   
-
 
Liabilities
            
Deferred revenues, current
 
$
55,800
  
$
(55,800
)
 
$
-
 
Deferred revenues, less current portion
  
999,249
   
(999,249
)
  
-
 
Equity
            
Accumulated deficit
 
$
(103,993,900
)
 
$
1,055,049
  
$
(102,938,851
)

In accordance with the new revenue standard requirements, the disclosure of the impact of adoption on the Company’s consolidated statements of operations and comprehensive income (loss) and balance sheet was as follows:
 
For the Nine Months Ended May 31, 2018
 
 
 
   
As Reported
    
Amounts that would
have been reported
under ASC 605
    

 Effect of Change
Higher/(Lower)
  
Income statement
         
Revenues
         
Special facility fees
 
$
-
  
$
31,131
  
$
(31,131
)
Water tap fees
  
49,948
   
60,669
   
(10,721
)
Net income
 
$
58,153
  
$
100,004
  
$
(41,852
)
 
As of May 31, 2018
 
     
As Reported
    
Amounts that would
have been reported
under ASC 605 (1)
    

 Effect of Change
Higher/(Lower)
  
Balance Sheet
         
Liabilities
         
Deferred revenues, current
 
$
-
  
$
55,800
  
$
(55,800
)
Deferred revenues, less current portion
  
-
   
957,836
   
(957,836
)
Deferred oil and gas lease payment, current (1)
  
55,733
   
55,733
   
-
 
Deferred oil and gas lease payment, less current portion
  
74,311
   
74,311
   
-
 
             
Equity
            
Accumulated deficit
 
$
(102,880,698
)
 
$
(103,893,896
)
 
$
1,013,198
 

(1)
Inclusive of the Bison Lease deferred oil and gas lease payment and water tap and construction fee deferred revenues as described in the 2017 Annual Report.