| |
| | Development stage enterprises: audit and accounting issues. (includes related article about financial statement and ... |
 | | A development stage enterprise devotes most of its efforts to financial planning; raising capital; exploring for natural resources; developing natural resources; research and development; establishing sources of supply; acquiring property, plant, equipment, or other operating assets, such as mineral rights; recruiting and training personnel; developing markets; and starting up production. |
 | | The development stage company often issues stock to developers, consultants, and managers in exchange for assets, technology, or services; the development stage compnay often is unable to acquire them for cash. |
 | | In a review of one development stage company's financial statements, the authors noted that royalty rights, a tchnology license, and consulting services--exchanged for common stock--were valued at the number of shares given times the par value of the stock, which was one cent per share. |
| www.luca.com /cpajournal/old/08767396.htm (3768 words) |
|