Get Started for Free Contexxia identifies hard-to-find pieces of information in SEC filings. No more highlighters, no more redlining, no more poring over huge documents. IMMAGE BIOTHERAPEUTICS CORP. (1564273) 10-Q published on Apr 19, 2017 at 4:43 pm
The Company’s unaudited interim financial statements are prepared in accordance with generally accepted accounting principles applicable to a going concern. This contemplates the realization of assets and the liquidation of liabilities in the normal course of business. Currently, the Company has a working capital deficit of $11,449, and accumulated deficit of $2,017,777. The Company does not have a source of revenue sufficient to cover its operation costs giving substantial doubt for it to continue as a going concern. These factors, among others, raise substantial doubt about our Company’s ability to continue as a going concern. The unaudited interim financial statements do not include any adjustments that might result from the outcome of this uncertainty.
During the six months ended February 28, 2017, Coventry International, Ltd, a greater than 10% shareholder of the Company, made payments of $1,500 for payment of operating expenses on behalf of the Company. The total amount due to shareholder is $13,208. The amounts are unsecured, non-interest bearing, and due on demand.
During the six months ended February 28, 2017, the Company’s Chief Executive Officer made payments of $2,000 for operating expenses on behalf of the Company. The total amount due to shareholder is $43,059. The amounts are unsecured, non-interest bearing, and due on demand.
On March 29, 2017, Coventry International, Ltd, a greater than 10% shareholder of the Company, provided the Company with a bridge loan of $20,000 to cover research expenses. The amount is unsecured, noninterest bearing, and due on demand.
For the three-month period ended February 28, 2017, our selling, general and administrative expenses decreased by $2,918, primarily due to an decrease in salaries and wages. Research and development expenses decreased by $28,981, which was due to a reduction in the Company’s research activities, as well as less costs incurred for studies performed for the same period in the previous period. Our professional fees increased by approximately $6,397, due to increased audit and accounting fees.