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Basis of Presentation

6 Months Ended

Jun. 30, 2021

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Note 1. Basis of Presentation

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Rule 8-03 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments considered necessary for a fair presentation have been included. All such adjustments are of a normal recurring nature. Operating results for the three and six months ended June 30, 2021 are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2021. The condensed consolidated balance sheet at December 31, 2020 has been derived from the audited consolidated financial statements at that date. For further information, refer to the consolidated financial statements and footnotes thereto included in the Annual Report on Form 10-K relating to Research Frontiers Incorporated (the “Company”) for the fiscal year ended December 31, 2020.

Restatement

These condensed consolidated interim financial statements for the three and six months ended June 30, 2021, including certain notes thereto have been restated. The restatement relates to a change in presentation of certain investments of the Company which were originally classified as cash equivalents on the balance sheet as of June 30, 2021, which the Company has subsequently determined do not qualify as cash equivalents. Such investments have been reclassified and are now presented as marketable securities. This restatement did not impact the results of operations, loss per share or shareholders’ equity for the three and six months ended June 30, 2021. The effects of the reclassification of these investments on the condensed consolidated balance sheet and condensed consolidated statement of cash flows as of and for the six months ended June 30, 2021 are as follows:

	As reported			Adjustment			As restated
	June 30, 2021
	As reported			Adjustment			As restated

Balance sheet:
Cash and cash equivalents	$	3,471,590		$	(3,131,983	)	$	339,607
Marketable securities		-			3,131,983			3,131,983

Statement of cash flows:
Unrealized loss on marketable securities		-			1,650			1,650
Net cash used in operating activities		(1,386,442	)		1,650			(1,384,792	)
Purchases of marketable securities		-			(3,433,633	)		(3,433,633	)
Sales of marketable securities		-			300,000			300,000
Net cash (used in) provided by investing activities		(935	)		(3,133,633	)		(3,134,568	)