v3.25.1
STOCKHOLDERS EQUITY
 9 Months Ended
Apr. 30, 2025
Stockholders' Equity (Deficit)  
STOCKHOLDERS' EQUITY

NOTE 7 - STOCKHOLDERS’ EQUITY

 

Preferred Stock

 

The Company has authorized 50,000,000 shares of preferred stock with a par value of $0.0001 per share. No preferred stock was issued or outstanding as of April 30, 2025, and July 31, 2024.

 

Common Stock

 

The Company has authorized 550,000,000 shares of common stock with a par value of $0.0001 per share.

 

On November 1, 2024, an investor purchased 100,000 shares of restricted common stock of the Company at a price of $0.50 per share for cash in amount of $50,000. The Company issued 100,000 shares of common stock on November 5,2024.

 

As of April 30, 2025, and July 31, 2024, there were 51,510,000 shares and 51,410,000 shares of common stock issued and 45,510,000 shares and 45,410,000 shares of common stock outstanding, respectively.

 

Treasury Stock

 

The Company records treasury stock at cost. Treasury stock is comprised of shares of common stock purchased by the Company at par value. As of April 30, 2025, and July 31, 2024, the Company had 6,000,000 shares of treasury stock valued at $600, respectively.

 

Common stock to be issued

 

During the nine months ended April 30, 2025, the Company entered into three subscription agreements for 850,000 shares of common stock with price of $0.50 per share for amount of $425,000 in cash. The Company obtained the amount of $425,000 before ending April 30,2025 and the shares were issued on May 8,2025.

 

Stock Option

 

On June 17, 2024, the Company entered into an engagement agreement with an officer and granted stock option of 50,000 shares of common stock, valued at $39,225 with term of three years, exercise price of $1.50 per share, fully vesting in the first year on a monthly basis. On September 24,2024, an officer resigned from his position. During the nine months ended April 30, 2025, the Company recognized stock option expense of $6,538.

 

The following is a summary of the change in stock option during the nine months ended April 30, 2025:

 

 

 

Options Outstanding

 

 

Weighted Average

 

 

 

Number of

 

 

Weighted

Average

 

 

Remaining

life

 

 

 

Options

 

 

Exercise Price

 

 

(years)

 

 

 

 

 

 

 

 

 

 

 

Outstanding, July 31, 2024

 

 

50,000

 

 

$1.50

 

 

 

2.88

 

Granted

 

 

-

 

 

 

-

 

 

 

-

 

Exercised

 

 

-

 

 

 

-

 

 

 

-

 

Forfeited/cancelled

 

 

(37,502 )

 

 

(1.50 )

 

 

(2.73 )

Outstanding, April 30, 2025

 

 

12,498

 

 

$1.50

 

 

 

2.38

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Exercisable options, April 30, 2025

 

 

12,498

 

 

$1.50

 

 

 

2.13

 

 

The intrinsic value of the options as of April 30, 2025, is $0.

 

The Company determined the stock option to be an equity instrument, to be valued as a level 3 fair value financial instrument valued on a non-recurring basis and utilized the Black-Scholes valuation model.

 

The Black-Scholes model, which requires six basic data inputs: the exercise or strike price, time to expiration, the risk-free interest rate, the current stock price, the estimated volatility of the stock price in the future, and the dividend rate. Changes to these inputs could produce a significantly higher or lower fair value measurement. The current stock price is based on historical issuances. Expected volatility is based on the historical stock price volatility of the Company’s common stock. Risk free interest rates were obtained from U.S. Treasury rates for the applicable periods. Expected term is calculated using a simplified method for plan vanilla options.

 

The Company utilized the following assumptions on grant date of June 17,2024:

 

Expected term

 

2 years

 

Expected average volatility

 

 

187

%

Expected dividend yield

 

 

-

 

Risk-free interest rate

 

 

4.75

%