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2. RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS

3 Months Ended

Mar. 31, 2018

Accounting Changes and Error Corrections [Abstract]

RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS

The Company determined that the entire one-time mandatory federal transition tax on accumulated foreign earnings accrued in fiscal year 2017 can be offset against a portion of the Company’s US federal net operating loss carryovers and foreign tax credit carryovers. As a result, the Company did not need to accrue the $5,402,000 of income taxes in fiscal year 2017 and the Company is restating condensed consolidated financial statements as of March 31, 2018 to correct this error.

The table below sets forth the effect of the restatement on the condensed consolidated balance sheet as of March 31, 2018.

		As Reported				Correction				As Restated
Taxes payable-current		$	2,204,954			$	(433,000	)		$	1,771,954
Total Current Liabilities			4,444,786				(433,000	)			4,011,786
Taxes payable-non-current			4,969,000				(4,969,000	)			—
Total non-Current Liabilities			7,363,174				(4,969,000	)			2,394,174
Total Liabilities			11,807,960				(5,402,000	)			6,405,960
Retained earnings unappropriated			243,193,331				5,402,000				248,595,331
Total Stockholders’ Equity		$	385,532,007			$	5,402,000			$	390,934,007

The table below sets forth the effect of the restatement on the consolidated statement of stockholders’ equity as of March 31, 2018.

			Retained earnings unappropriated				Total
Balance at March 31, 2018 as reported			$	243,193,331			$	385,532,007
Correction			$	5,402,000			$	5,402,000
Balance at March 31, 2018 as restated			$	248,595,331			$	390,934,007