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NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
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6 Months Ended |
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Jun. 30, 2013
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| Accounting Policies [Abstract] | |
| Organization, Consolidation, Basis of Presentation, Business Description and Accounting Policies [Text Block] |
NOTE
1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
ORGANIZATION
ASAP
Expo, Inc. (“ASAP Expo” or the
“Company”) d.b.a. ASAP International Holdings
Inc, was incorporated on April 10, 2007 under the laws of the
State of Nevada.
ASAP
Expo is a holding company that operates real estate,
investment banking and consulting for Chinese companies. Our
mission is to be the bridge between China and the Western
world. Our Global Business Services division has added EB-5
Investment Visa consulting to overseas individuals seeking
opportunities in the U.S. Our Investment Banking Services
division lists Chinese companies on the public trading
markets in the USA or Europe. Our Real Estate division
assists with institutional and high net worth individuals
with acquisition advisory and asset management.
Prior
to July 2011, the investment banking services division was
the core business of ASAP Expo. ASAP Expo helped small and
medium sized business raise funds and promote business
through capital markets.
In
July 2011, ASAP Expo transitioned its core business to
providing real estate advisory services along with investment
banking services for Chinese companies.
BASIS
OF PRESENTATION
The
accompanying unaudited condensed interim financial statements
have been prepared in conformity with accounting principles
generally accepted in the United States of America. All
references to Generally Accepted Accounting Principles
(“GAAP”) are in accordance with The FASB
Accounting Standards Codification (“ASC”) and the
Hierarchy of Generally Accepted Accounting Principles.
The
unaudited condensed interim financial statements have been
prepared by us pursuant to the rules and regulations of the
Securities and Exchange Commission. The information furnished
herein reflects all adjustments (consisting of normal
recurring accruals and adjustments) which are, in the opinion
of management, necessary to fairly present the operating
results for the respective periods. Certain information and
footnote disclosures normally present in annual financial
statements prepared in accordance with accounting principles
generally accepted in the United States of America have been
omitted pursuant to such rules and regulations. These
condensed financial statements should be read in conjunction
with the audited financial statements and notes for the year
ended December 31, 2012 included in our Annual Report on Form
10-K. The results of the three and six month period ended
June 30, 2013 are not necessarily indicative of the results
to be expected for the full year ending December 31,
2013.
GOING
CONCERN
The
accompanying condensed financial statements have been
prepared assuming that the Company will continue as a going
concern.
At
June 30, 2013, the Company has an accumulated stockholders'
deficit of $1,442,196 mainly resulted from the accumulated
deficit of its former parent company that was transferred to
the Company upon its spin-off from the parent company, and a
lack of profitable operating history. The Company hopes to
increase revenues from its real estate business and financial
advisory services business. In the absence of significant
increases in revenues, the Company intends to fund operations
through additional debt and equity financing arrangements.
The successful outcome of future activities cannot be
determined at this time and there are no assurances that if
achieved, the Company will have sufficient funds to execute
its intended business plan or generate positive operating
results.
The
Company's success is dependent upon numerous items, certain
of which are the successful growth of revenues from its
services and its ability to obtain new customers in order to
achieve levels of revenues adequate to support the Company's
current and future cost structure, for which there is no
assurance. Unanticipated problems, expenses, and delays are
frequently encountered in establishing and maintaining
profitable operations. These include, but are not limited to,
competition, the need to develop customer support
capabilities and market expertise, technical difficulties,
market acceptance and sales and marketing. The failure of the
Company to meet any of these conditions could have a
materially adverse effect on the Company and may force the
Company to reduce or curtail operations. No assurance can be
given that the Company can achieve or maintain profitable
operations.
The
Company believes it will have adequate cash to sustain
operations until it achieves sustained profitability.
However, until the Company has a history of maintaining
revenue levels sufficient to support its operations and repay
its working capital deficit, the Company may require
additional financing. Sources of financing could include
capital infusions, additional equity financing or debt
offerings. There can be no assurance that funding will be
available on acceptable terms, if at all, or that such fund,
if raised, would enable the Company to achieve or sustain
profitable operations.
These
factors, among others, raise substantial doubt about the
Company's ability to continue as a going concern. The
accompanying financial statements do not include any
adjustments to reflect the possible future effects on the
recoverability and classification of assets or the
classification of liabilities that might result from the
outcome of these uncertainties.
FAIR
VALUE OF FINANCIAL INSTRUMENTS
The
Company’s financial instruments consist of cash,
prepaid expenses and other receivables, accounts payable and
accrued liabilities. The fair value of these
financial instruments approximate their carrying amounts
reported in the balance sheets due to the short term maturity
of these instruments.
USE
OF ESTIMATES
The
preparation of financial statements in conformity with the
GAAP requires management to make estimates and assumptions
that affect the reported amounts of assets and liabilities
and disclosure of contingent assets and liabilities at the
date of the financial statements and the reported amounts of
revenues and expenses during the reporting period. Actual
results could differ from those estimates.
REVENUE
RECOGNITION
Accounting
Standards Codification (“ASC”) 605, Revenue
Recognition which outlines the basic criteria that
must be met to recognize revenue and provide guidance for
presentation of revenue and for disclosure related to revenue
recognition policies in financial statements filed with
Securities and Exchange Commission. Management believes the
Company's revenue recognition policies conform to ASC
605.
Revenues
are mainly consulting fees. The Consulting fees are
recognized when earned. Consulting fees from
investment banking services that are subject to refund are
recorded as deferred revenue until the project is completed
and the fees are no longer refundable.
INCOME
TAXES
Income
taxes are accounted for under the asset and liability method.
Deferred income taxes are recognized for temporary
differences between the tax basis of assets and liabilities
and their reported amounts in the financial statements, net
of operating loss carry forwards and credits, by applying
enacted statutory tax rates applicable to future
years. Deferred tax assets are reduced by a
valuation allowance when, in the opinion of management, it is
not more likely than not that some portion or all of the
deferred tax assets will be realized. Current
income taxes are provided for in accordance with the laws of
the relevant taxing authorities.
EARNINGS
(LOSS) PER SHARE
A
basic earnings (loss) per share is computed by dividing net
income (loss) to common stockholders by the weighted average
number of shares outstanding for the year. Dilutive earnings
per share include the effect of any potentially dilutive debt
or equity under the treasury stock method, if including such
instruments is dilutive.
RECENTLY
ISSUED ACCOUNTING PRONOUNCEMENTS
Adopted
Effective
January 2013, we adopted FASB ASU No. 2011-11, Balance Sheet
(Topic 210): Disclosures about Offsetting Assets
and Liabilities (ASU 2011-11). The amendments in
ASU 2011-11 require the disclosure of information on
offsetting and related arrangements for financial and
derivative instruments to enable users of its financial
statements to understand the effect of those arrangements on
its financial position. Amendments under ASU
2011-11 will be applied retrospectively for fiscal years, and
interim periods within those years, beginning after January
1, 2013. The adoption of this update did not have
a material impact on the financial statements.
Effective
January 2013, we adopted FASB ASU No. 2013-02, Reporting of
Amounts Reclassified Out of Accumulated Other Comprehensive
(ASU 2013-02). This guidance is the culmination of
the FASB’s deliberation on reporting reclassification
adjustments from accumulated other comprehensive income
(AOCI). The amendments in ASU 2013-02 do not
change the current requirements for reporting net income or
other comprehensive income. However, the
amendments require disclosure of amounts reclassified out of
AOCI in its entirety, by component, on the face of the
statement of operations or in the notes
thereto. Amounts that are not required to be
reclassified in their entirety to net income must be
cross-referenced to other disclosures that provide additional
detail. This standard is effective prospectively
for annual and interim reporting periods beginning after
December 15, 2012. The adoption of this update did
not have a material impact on the financial
statements.
Not
Adopted
In
February 2013, the FASB issued ASU No. 2013-04, Liabilities
(Topic 405): Obligations Resulting from Joint and Several
Liability Arrangements for Which the Total Amount of the
Obligation Is Fixed at the Reporting Date. The
amendments in ASU 2013-04 provide guidance for the
recognition, measurement, and disclosure of obligations
resulting from joint and several liability arrangements for
which the total amount of the obligation within the scope of
this Update is fixed at the reporting date, except for
obligations addressed within existing guidance in U.S. GAAP.
The guidance requires an entity to measure those obligations
as the sum of the amount the reporting entity agreed to pay
on the basis of its arrangement among its co-obligors and any
additional amount the reporting entity expects to pay on
behalf of its co-obligors. The guidance in this Update also
requires an entity to disclose the nature and amount of the
obligation as well as other information about those
obligations. The amendment in this standard is effective
retrospectively for fiscal years, and interim periods within
those years, beginning after December 15, 2013. We are
evaluating the effect, if any, adoption of ASU No. 2013-04
will have on our financial statements.
In
April 2013, the FASB issued ASU No. 2013-07, Presentation of
Financial Statements (Top 205): Liquidation Basis of
Accounting. The
objective of ASU No. 2013-07 is to clarify when an entity
should apply the liquidation basis of accounting and to
provide principles for the measurement of assets and
liabilities under the liquidation basis of accounting, as
well as any required disclosures. The amendments in this
standard is effective prospectively for entities that
determine liquidation is imminent during annual reporting
periods beginning after December 15, 2013, and interim
reporting periods therein. We are evaluating the effect, if
any, adoption of ASU No. 2013-07 will have on our financial
statements.
In
July 2013, the FASB issued ASU No. 2013-11, Income Taxes (Top
740): Presentation of an Unrecognized Tax Benefit When a Net
Operating Loss Carryforward, a Similar Tax Loss, or a Tax
Credit Carryforward Exists. The
objective of ASU No. 2013-11 is to provide guidance on the
financial statement presentation of an unrecognized tax
benefit when a net loss carryforward, similar tax loss, or
tax credit carryforward exists. The amendments in this
standard is effective for all entities that have unrecognized
tax benefits when a net operating loss carryforward, a
similar tax loss, or a tax credit carryforward exists for
fiscal years, and interim periods beginning after December
15, 2013. We are evaluating the effect, if any, adoption of
ASU No. 2013-11 will have on our financial statements.
Other
recent accounting pronouncements issued by the FASB
(including its Emerging Issues Task Force), and the United
States Securities and Exchange Commission did not or are not
believed by management to have a material impact on the
Company’s present or future financial
statements.
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