| Schedule of error corrections and prior period adjustments |
| |
|
April 30, |
|
|
|
|
|
|
|
April 30, |
|
| |
|
2024 |
|
Adjustments |
|
|
2024 |
|
| |
|
(As Filed) |
|
|
|
|
|
|
|
(As Restated) |
|
| Revenues |
$ |
420 |
|
$ |
- |
|
|
|
$ |
420 |
|
| Cost of sales |
|
- |
|
|
- |
|
|
|
|
- |
|
| Gross margin |
|
420 |
|
|
- |
|
|
|
|
420 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
| Selling, general and administrative expenses |
|
579,841 |
|
|
- |
|
|
|
|
579,841 |
|
| Amortization expense |
|
- |
|
|
504,894 |
|
(1 |
) |
|
504,894 |
|
| Total operating expenses |
|
579,841 |
|
|
504,894 |
|
|
|
|
1,084,735 |
|
| Operating loss |
|
(579,421 |
) |
|
(504,894 |
) |
|
|
|
(1,084,315 |
) |
| Other income (expense) |
|
|
|
|
|
|
|
|
|
|
|
| Interest expense |
|
(62,061 |
) |
|
- |
|
|
|
|
(62,061 |
) |
| Financing expenses |
|
(164,525 |
) |
|
|
|
|
|
|
(164,525 |
) |
| Warrant liability adjustment to fair value |
|
47,250 |
|
|
- |
|
|
|
|
47,250 |
|
| Total other expenses |
|
(179,336 |
) |
|
- |
|
|
|
|
(179,336 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
| Net loss from continuing operations before income taxes |
$ |
(758,757 |
) |
$ |
(504,894 |
) |
|
|
$ |
(1,263,651 |
) |
| Provision for income taxes |
|
- |
|
|
- |
|
|
|
|
- |
|
| Net loss from continuing operations |
|
(758,757 |
) |
|
(504,894 |
) |
|
|
|
(1,263,651 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
| Net income from discontinued operations, after tax |
|
177,096 |
|
|
- |
|
|
|
|
177,096 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
| Net income (loss) |
$ |
(581,661 |
) |
$ |
(504,894 |
) |
|
|
$ |
(1,086,555 |
) |
The following table sets forth the effects of the adjustments on affected items within the Company's previously reported condensed consolidated statement of operations for the three months ended April 30, 2024:
| |
|
April 30, |
|
|
|
|
|
|
|
April 30, |
|
| |
|
2024 |
|
Adjustments |
|
|
2024 |
|
| |
|
(As Filed) |
|
|
|
|
|
|
|
(As Restated) |
|
| Revenues |
$ |
420 |
|
$ |
- |
|
|
|
$ |
420 |
|
| Cost of sales |
|
- |
|
|
- |
|
|
|
|
- |
|
| Gross margin |
|
420 |
|
|
- |
|
|
|
|
420 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
| Selling, general and administrative expenses |
|
257,251 |
|
|
- |
|
|
|
|
257,251 |
|
| Amortization expense |
|
- |
|
|
168,298 |
|
(1 |
) |
|
168,298 |
|
| Total operating expenses |
|
257,251 |
|
|
168,298 |
|
|
|
|
425,549 |
|
| Operating loss |
|
(256,831 |
) |
|
(168,298 |
) |
|
|
|
(425,129 |
) |
| Other income (expense) |
|
|
|
|
|
|
|
|
|
|
|
| Interest expense |
|
(21,756 |
) |
|
- |
|
|
|
|
(21,756 |
) |
| Financing expense |
|
(164,525 |
) |
|
|
|
|
|
|
(164,525 |
) |
| Warrant liability adjustment to fair value |
|
(29,250 |
) |
|
- |
|
|
|
|
(29,250 |
) |
| Total other expenses |
|
(215,531 |
) |
|
- |
|
|
|
|
(215,531 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
| Net loss from continuing operations before income taxes |
|
(472,362 |
) |
|
(168,298 |
) |
|
|
|
(640,660 |
) |
| Provision for income taxes |
|
- |
|
|
- |
|
|
|
|
- |
|
| Net loss from continuing operations, after tax |
|
(472,362 |
) |
|
(168,298 |
) |
|
|
|
(640,660 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
| Net loss from discontinued operations, after tax |
|
(32,105 |
) |
|
|
|
|
|
|
(32,105 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
| Net income (loss) |
$ |
(504,467 |
) |
$ |
(168,298 |
) |
|
|
$ |
(672,765 |
) |
The following table sets forth the effects of the adjustments on affected items within the Company's previously reported condensed consolidated statements of cash flows for nine months ended April 30, 2024:
| |
|
April 30, |
|
|
|
|
|
|
|
April 30, |
|
| |
|
2024 |
|
Adjustments |
|
|
2024 |
|
| |
|
(As Filed) |
|
|
|
|
|
|
|
(As Restated) |
|
| CASH FLOWS FROM OPERATING ACTIVITIES |
|
|
|
|
|
|
|
|
|
|
|
| Net income (loss) |
$ |
(581,661 |
) |
$ |
(504,894 |
) |
|
|
$ |
(1,086,555 |
) |
| Net income from discontinued operations |
|
177,096 |
|
|
|
|
|
|
|
177,096 |
|
| Net loss from continuing operations |
|
(758,757 |
) |
|
(504,894 |
) |
|
|
|
(1,263,651 |
) |
| Adjustments to reconcile net loss to net cash used in operating activities: |
|
|
|
|
|
|
|
|
|
| Amortization expense |
|
- |
|
|
504,894 |
|
(1 |
) |
|
504,894 |
|
| Non-cash interest expense |
|
164,525 |
|
|
|
|
|
|
|
|
|
| Warrant adjustment to fair value |
|
(47,250 |
) |
|
|
|
|
|
|
(47,250 |
) |
| Changes in operating assets and liabilities: |
|
|
|
|
|
|
|
|
|
|
|
| Prepaid expenses |
|
7,620 |
|
|
|
|
|
|
|
7,620 |
|
| Accounts payable |
|
1,036,162 |
|
|
|
|
|
|
|
1,036,162 |
|
| Net cash provided by (used in) operating activities |
|
579,396 |
|
|
- |
|
|
|
|
579,396 |
|
| CASH FLOWS FROM INVESTING ACTIVITIES |
|
|
|
|
|
|
|
|
|
|
|
| Software costs capitalized as intangible asset |
|
(33,031 |
) |
|
|
|
|
|
|
(33,031 |
) |
| Net cash used in investing activities |
|
(33,031 |
) |
|
- |
|
|
|
|
(33,031 |
) |
| CASH FLOWS FROM FINANCING ACTIVITIES |
|
|
|
|
|
|
|
|
|
|
|
| Proceeds from related party convertible notes |
|
633,992 |
|
|
- |
|
|
|
|
633,992 |
|
| Net cash provided by (used in) financing activities |
|
633,992 |
|
|
- |
|
|
|
|
633,992 |
|
| Net increase (decrease) in cash from continuing operations |
|
1,180,357 |
|
|
- |
|
|
|
|
1,180,357 |
|
| Net increase (decrease) in cash from discontinued operations |
|
(1,156,841 |
) |
|
- |
|
|
|
|
(1,156,841 |
) |
| Net increase (decrease) in cash |
|
23,516 |
|
|
- |
|
|
|
|
23,516 |
|
| Cash, beginning of period |
|
66,688 |
|
|
- |
|
|
|
|
66,688 |
|
| Cash, end of period |
$ |
90,204 |
|
$ |
|
|
|
|
$ |
90,204 |
|
| SUPPLEMENTAL DISCLOSURES OF CASH FLOW ACTIVITIES: |
|
|
|
|
|
|
|
|
|
|
|
| Cash paid for interest |
$ |
21,756 |
|
$ |
(21,756 |
) |
|
|
$ |
- |
|
| Cash paid for taxes |
$ |
- |
|
$ |
- |
|
|
|
$ |
- |
|
| SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES |
|
|
|
|
|
|
|
|
|
|
|
| Commitment shares issued |
$ |
105,925 |
|
$ |
- |
|
|
|
$ |
105,925 |
|
|