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CONSOLIDATION OF VARIABLE INTEREST ENTITIES | 12 Months Ended
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Sep. 27, 2014
Variable Interest Entities [Abstract] |
Variable Interest Entities [Text Block] |
| 2. | CONSOLIDATION OF VARIABLE INTEREST ENTITIES
The Company consolidates any variable interest entities in which it holds a variable interest and is the primary beneficiary. Generally, a variable interest entity, or VIE, is an entity with one or more of the following characteristics: (a) the total equity investment at risk is not sufficient to permit the entity to finance its activities without additional subordinated financial support; (b) as a group the holders of the equity investment at risk lack (i) the ability to make decisions about an entity’s activities through voting or similar rights, (ii) the obligation to absorb the expected losses of the entity, or (iii) the right to receive the expected residual returns of the entity; or (c) the equity investors have voting rights that are not proportional to their economic interests and substantially all of the entity’s activities either involve, or are conducted on behalf of, an investor that has disproportionately few voting rights. The primary beneficiary of a VIE is generally the entity that has (a) the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance, and (b) the obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE. During the year ended September 28, 2013, the Company purchased an additional 14.39% of the membership interests of Ark Hollywood/Tampa Investment, LLC, directly from the individuals that held such interests, for an aggregate consideration of $2,964,512. In connection with this transaction, the Company recorded a reduction to additional paid-in capital of $2,684,896 representing the excess of the amount paid over the carrying value ($279,616) of the non-controlling interests acquired as the acquisition of an additional interest in a less than wholly-owned subsidiary where control is maintained is treated as an equity transaction. In addition, the Company also recorded an increase to additional paid-in capital in the amount of $1,079,591 representing the related deferred tax benefit of the transaction. As a result of the above, Ark Hollywood/Tampa Investment, LLC is no longer considered a VIE as the Company now owns 64.39% of the voting membership interests. However, the Company continues to consolidate this entity as a result of its majority ownership. Accordingly, the following disclosures associated with the Company’s VIEs do not include Ark Hollywood/Tampa Investment, LLC as of September 28, 2013:
|  | September 27, 2014 |  |  | September 28, 2013 |
|  | (in thousands) |
Cash and cash equivalents |  | $ | 584 |  |  | $ | 637 |
Accounts receivable |  |  | 440 |  |  |  | 317 |
Inventories |  |  | 19 |  |  |  | 16 |
Prepaid expenses and other current assets |  |  | 173 |  |  |  | 176 |
Due from Ark Restaurants Corp. and affiliates (1) |  |  | 105 |  |  |  | 157 |
Fixed assets - net |  |  | 59 |  |  |  | 89 |
Other assets |  |  | 71 |  |  |  | 71 |
Total assets |  | $ | 1,451 |  |  | $ | 1,463 |
Accounts payable - trade |  | $ | 58 |  |  | $ | 70 |
Accrued expenses and other current liabilities |  |  | 179 |  |  |  | 140 |
Operating lease deferred credit |  |  | 75 |  |  |  | — |
Total liabilities |  |  | 312 |  |  |  | 210 |
Equity of variable interest entities |  |  | 1,139 |  |  |  | 1,253 |
Total liabilities and equity |  | $ | 1,451 |  |  | $ | 1,463 |
| (1) | Amounts due from Ark Restaurants Corp. and affiliates are eliminated upon consolidation.
The liabilities recognized as a result of consolidating these VIEs do not represent additional claims on the Company’s general assets; rather, they represent claims against the specific assets of the consolidated VIEs. Conversely, assets recognized as a result of consolidating these VIEs do not represent additional assets that could be used to satisfy claims against the Company’s general assets.

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