| RESTATEMENT |
NOTE 4 - RESTATEMENT
Subsequent to the filing of the February 28, 2018 Form 10Q, the Company found that there were unrecorded research and development expenses of $170,110 related to the Exclusive License Agreement effective January 19, 2018 that requires the Company to reimburse past patent costs.
As a result of this error, the Company has restated its unaudited Consolidated Statement of Financial Statements for the six months ended February 28, 2018. The following table summarizes the restatement changes made to the Consolidated Balance Sheets, Statements of Operations and Statements of Cash Flows for the six months ended February 28, 2018 previously filed:
|
|
|
Originally
|
|
|
Restatement
|
|
|
|
|
|
Consolidated Balance Sheets as of February 28, 2018
|
|
Reported
|
|
|
Adjustment
|
|
|
As Restated
|
|
|
Accounts payable and accrued liabilities
|
|
$ |
154,211 |
|
|
$ |
170,110 |
|
|
$ |
324,321 |
|
|
Total Current Liabilities
|
|
$ |
155,813 |
|
|
$ |
170,110 |
|
|
$ |
325,923 |
|
|
Accumulated deficit
|
|
$ |
(1,200,500 |
) |
|
$ |
(170,110 |
) |
|
$ |
(1,370,610 |
) |
|
Total Stockholders' Equity
|
|
$ |
385,285 |
|
|
$ |
(170,110 |
) |
|
$ |
215,175 |
|
|
Consolidated Statements of Operations
|
|
Originally
|
|
|
Restatement
|
|
|
|
|
|
Three months ended February 28, 2018
|
|
Reported
|
|
|
Adjustment
|
|
|
As Restated
|
|
|
Research and development
|
|
$ |
477,357 |
|
|
$ |
170,110 |
|
|
$ |
647,467 |
|
|
Total Operating Expenses
|
|
$ |
628,354 |
|
|
$ |
170,110 |
|
|
$ |
798,464 |
|
|
Loss from Operations
|
|
$ |
(628,354 |
) |
|
$ |
(170,110 |
) |
|
$ |
(798,464 |
) |
|
NET LOSS
|
|
$ |
(628,354 |
) |
|
$ |
(170,110 |
) |
|
$ |
(798,464 |
) |
|
TOTAL COMPREHENSIVE LOSS
|
|
$ |
(629,608 |
) |
|
$ |
(170,110 |
) |
|
$ |
(799,718 |
) |
|
Basic and Diluted Loss per Common Share - Three months ended February 28, 2018
|
|
$ |
(0.05 |
) |
|
$ |
(0.02 |
) |
|
$ |
(0.07 |
) |
|
Consolidated Statements of Operations
|
|
Originally
|
|
|
Restatement
|
|
|
|
|
|
Six months ended February 28, 2018
|
|
Reported
|
|
|
Adjustment
|
|
|
As Restated
|
|
|
Research and development
|
|
$ |
510,433 |
|
|
$ |
170,110 |
|
|
$ |
680,543 |
|
|
Total Operating Expenses
|
|
$ |
905,411 |
|
|
$ |
170,110 |
|
|
$ |
1,075,521 |
|
|
Loss from Operations
|
|
$ |
(905,411 |
) |
|
$ |
(170,110 |
) |
|
$ |
(1,075,521 |
) |
|
NET LOSS
|
|
$ |
(905,411 |
) |
|
$ |
(170,110 |
) |
|
$ |
(1,075,521 |
) |
|
TOTAL COMPREHENSIVE LOSS
|
|
$ |
(907,690 |
) |
|
$ |
(170,110 |
) |
|
$ |
(1,077,800 |
) |
|
Basic and Diluted Loss per Common Share - Six months ended February 28, 2018
|
|
$ |
(0.08 |
) |
|
$ |
(0.02 |
) |
|
$ |
(0.10 |
) |
|
|
|
Originally
|
|
|
Restatement
|
|
|
|
|
| Consolidated Statements of Cash Flows for six months ended February 28, 2018 |
|
Reported
|
|
|
Adjustment
|
|
|
As Restated
|
|
|
NET LOSS
|
|
$ |
(905,411 |
) |
|
$ |
(170,110 |
) |
|
$ |
(1,075,521 |
) |
|
Changes in operating assets and liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts payable and accrued liabilities
|
|
$ |
125,635 |
|
|
$ |
170,110 |
|
|
$ |
295,745 |
|
|