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Discontinued Operations | 9 Months Ended
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Sep. 30, 2020
Discontinued Operations and Disposal Groups [Abstract] |
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block] | Note 3 - Discontinued Operations On January 7, 2020, the Company transferred its entire interest in Bright Swallow to Y-Tone (Worldwide) Limited, an unrelated third party, for cash consideration of $2.50 million, pursuant to a formal agreement entered into on January 7, 2020. The Company received the payment on May 11, 2020. As of September 30, 2019, operations of Bright Swallow were reported as discontinued operations in the accompanying unaudited condensed consolidated financial statements for all periods presented. Accordingly, assets, liabilities, revenues, expenses and cash flows related to Bright Swallow have been reclassified in the condensed consolidated financial statements as discontinued operations for all periods presented. The following table summarizes the net assets of Bright Swallow at the date of disposal (January 7, 2020):
Cash and cash equivalents |  | $ | 1,462,200 |
Accounts receivable, net |  |  | 969,841 |
Advance to suppliers |  |  | 609,935 |
Accounts payable |  |  | (948 | )
Advance from customers |  |  | (126,916 | )
Accrued liabilities and other payables |  |  | (2,553 | )
Income tax payable |  |  | (85,028 | )
Net assets of Bright Swallow upon disposal |  |  | 2,826,531 |
Cash received as of September 30, 2020 |  |  | (2,500,000 | )
Loss on disposal of subsidiary |  | $ | (326,531 | )
The following table presents the components of discontinued operations in relation to Bright Swallow reported in the condensed consolidated statements of operations:
|  | For the nine months ended |  |  | For the three months ended |
|  | September 30, 2020 |  |  | September 30, 2019 |  |  | September 30, 2020 |  |  | September 30, 2019 |
Sales |  | $ | - |  |  | $ | 5,118,229 |  |  | $ | - |  |  | $ | 1,632,554 |
Cost of sales |  |  | - |  |  |  | (4,742,345 | ) |  |  | - |  |  |  | (1,627,566 | )
Operating expenses |  |  | - |  |  |  | (308,165 | ) |  |  | - |  |  |  | (102,264 | )
Other expense, net |  |  | - |  |  |  | (890 | ) |  |  | - |  |  |  | (622 | )
Loss on disposal of subsidiary |  |  | (326,531 | ) |  |  | - |  |  |  | - |  |  |  | - |
(Loss) Income before income taxes |  |  | (326,531 | ) |  |  | 66,829 |  |  |  | - |  |  |  | (97,898 | )
Income tax benefit |  |  | - |  |  |  | 1,011,532 |  |  |  | - |  |  |  | - |
(Loss) income from discontinued operations |  | $ | (326,531 | ) |  | $ | 1,078,361 |  |  | $ | - |  |  | $ | (97,898 | )

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- Definition The entire disclosure related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 360 -URI http://asc.fasb.org/topic&trid=2155823 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -URI http://asc.fasb.org/subtopic&trid=2122178 + Details
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