NOTES TO UNAUDITED CONDENSED FINANCIAL
STATEMENTS
MARCH 31, 2018
1. NATURE OF OPERATIONS AND SUMMARY OF ACCOUNTING POLICIES
Basis of Presentation
The accompanying unaudited condensed
consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United
States (“GAAP”) for interim financial reporting and in accordance with instructions for Form 10-Q and Article 10 of
Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting
principles for complete financial statements. In the opinion of management, the unaudited condensed consolidated financial statements
contained in this report reflect all adjustments that are normal and recurring in nature and considered necessary for a fair presentation
of the financial position and the results of operations for the interim periods presented. The year-end condensed balance sheet
data was derived from audited financial statements, but does not include all disclosures required by GAAP. The results of operations
for the interim period are not necessarily indicative of the results expected for the full year. These unaudited, condensed consolidated
financial statements, footnote disclosures and other information should be read in conjunction with the financial statements and
the notes thereto included in the Company’s Registration Statement on Form 10-K for the year ended December 31, 2016.
Organization and Nature of Business
Vanjia Corporation( formerly Vantone
Realty Corporation) , a company in the developmental stage (the “Company”), was incorporated on August 19, 2011 in
the State of Texas. The Company has conducted limited business operations and had no revenues from operations since its inception.
The Company‘s business plan is to build affordable homes in Houston, Texas.
The Company’s year-end is December
31.
Going Concern
These financial statements were prepared
on the basis of accounting principles applicable to going concern, which assumes the realization of assets and discharge of liabilities
in the normal course of business. As shown in the accompanying financial statements, the Company had an accumulated deficit of
$69,913 as of March 31, 2018, and it had no revenue from operations.
The Company faces all the risks common
to companies at development stage, including capitalization and uncertainty of funding sources, high initial expenditure levels,
uncertain revenue streams, and difficulties in managing growth. The Company's losses raise substantial doubt about its ability
to continue as a going concern. The Company's financial statements do not reflect any adjustments that might result from the outcome
of this uncertainty.
The Company is currently addressing
its liquidity issue by continually seeking investment capital through private placements of common stock and debt. The Company
believes its current and future plans enable it to continue as a going concern. The Company's ability to achieve these objectives
cannot be determined at this time. These financial statements do not give effect to any adjustments which would be necessary should
the Company be unable to continue as a going concern and therefore be required to realize its assets and discharge its liabilities
in other than the normal course of business and at amounts which may differ from those in the accompanying consolidated financial
statements.
Use of Estimates
The preparation of financial statements
in conformity with generally accepted accounting principles in the United States of America, requires management to make estimates
and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities
at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results
could differ from those estimates.
Cash and Cash Equivalents
Cash and cash equivalents include cash
and all highly liquid instruments with original maturities of three months or less.
Impairment of long-lived assets
The Company reviews its long-lived assets
whenever events or circumstances indicate that the carrying amount of such assets may not be recoverable. Impairment is evaluated
by comparing the carrying value of the long-lived assets with the estimated future net undiscounted cash flows expected to result
from the use of the assets, including cash flows from disposition. Should the sum of the expected future net cash flows be less
than the carrying value, the Company would recognize an impairment loss at that date. An impairment loss would be measured by comparing
the amount by which the carrying value exceeds the fair value (estimated discounted future cash flows) of the long-lived assets.
Net Income (loss) per Share
Basic income (loss) per share is computed
by dividing net income by weighted average number of shares of common stock outstanding during each period. Diluted income per
share is computed by dividing net loss by the weighted average number of shares of common stock, common stock equivalents and potentially
dilutive securities outstanding during each period. At March 31, 2018, the Company does not have any outstanding common stock equivalents;
therefore, a separate computation of diluted loss per share is not presented.
Income Taxes
The Company accounts for income taxes
in accordance with ASC 740, Income Taxes, which requires that the Company recognize deferred tax liabilities and assets based on
the differences between the financial statement carrying amounts and the tax basis of assets and liabilities, using enacted tax
rates in effect in the years the differences are expected to reverse. Deferred income tax benefit (expense) results from the change
in net deferred tax assets or deferred tax liabilities. A valuation allowance is recorded when, in the opinion of management, it
is more likely than not that some or all of any deferred tax assets will not be realized.
Recent Accounting Pronouncements
The Company does not expect the adoption
of recently issued accounting pronouncements to have a significant impact on its result of operations, financial position or cash
flow.
2. INCOME TAXES
The Company has not yet realized income
as of the date of this report, and no provision for income taxes has been made. As of March 31, 2018, the Company had net operating
loss carry forwards of $69,913 that may be available to reduce future years’ taxable income. Future tax benefits which may
arise as a result of these losses have not been recognized in these financial statements, as their realization is determined not
likely to occur and accordingly, the Company has recorded a full valuation allowance for the deferred tax asset relating to these
tax loss carry-forwards.
3. LINE OF CREDIT
The Company
has available a line of credit with an officer and shareholder that provided maximum borrowing up to $100,000 for working capital
purposes. The line of credit has no expiration date and is due on demand. Borrowings under the line of credit bear interest at
0% per annum. As of March 31, 2018 and December 31, 2017, the Company had outstanding balance of $10,100 and $8,800 respectively,
on the line of credit.
4. SUBSEQUENT EVENTS
The Company evaluated all events or
transactions that occurred after March 31, 2018 up through the date the Company issued these financial statements.
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