LIGHTCOLLAR, INC. | 2013 | FY | 3


Domain Name Transfer

 

In accordance with ASC 845-30-10 a nonmonetary asset received in a nonreciprocal transfer is recorded at the fair value of the asset received. A transfer of a nonmonetary asset to a stockholder or to another entity in a nonreciprocal transfer is recorded at the fair value of the asset transferred.

 

Furthermore, in accordance with ASC 845-10-50-1 an entity that engages in one

or more nonmonetary transactions during a period shall disclose in financial statements for the period all of the following:

a.The nature of the transactions;
b.The basis of accounting for the asset(s) transferred; and
c.Gains or losses recognized on transfers.

The domain name, “lightcollar.com,” was transferred to us from our sole Officer and Director on July 6, 2011 and had only a nominal fair value. The transfer was accounted for as a nonreciprocal transfer under ASC 845-10-30-1. The transfer of $45 and renewals of $38 on January 5, 2012, and $30 on December 20, 2012, were recorded as internet expense of $113 as of March 31, 2013.


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