Item 1. Financial Statements
The Accompanying Notes are an Integral Part of the Financial Statements.
The Accompanying Notes are an Integral Part of the Financial Statements.
The Accompanying Notes are an Integral Part of the Financial Statements.
The Accompanying Notes are an Integral Part of the Financial
Statements.
1. NATURE OF OPERATIONS AND SUMMARY OF ACCOUNTING POLICIES
BASIC 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 SX. Accordingly, they do not include
all 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 yearend 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, 20201.
ORGANIZATION AND NATURE OF BUSINESS
Vanjia Corporation (formerly Vantone Realty Corporation) was incorporated
on August 19, 2011 in the State of Texas. The Company’s business plan is to build affordable homes in Houston, Texas. In 2019,
the Company began a business to enroll students for real estate licensing courses and doing real estate consulting services for corporate
and individual clients.
The Company's year-end is December 31.
GOING CONCERN
These financial statements were prepared based on 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 $175,702 as of June 30, 2022, 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 plan 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 PRESENTATION
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.
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VANJIA CORPORATION
NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS JUNE 30, 2022
1. NATURE OF OPERATIONS AND SUMMARY OF
ACCOUNTING POLICIES (continued)
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 June 30, 2020, 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
As of June 30, 2022, the Company had net operating loss carry forwards
of approximately ($175,702) that may be available to reduce future year's 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 $5,000,000 for working capital purposes. The line of credit has no expiration date and
is due on demand. borrowings under the line bear interest at 0% per annum. As of June 30, 2022 and December 31, 2021, the Company
had outstanding balance of $0 on the line of credit.
4. SIGNIFICANT EVENTS
In late 2019, an outbreak of COVID-19 emerged and by March 11, 2020
was declared a global pandemic by the World Health Organization. Throughout the United States and locally, governments and municipalities
instituted measures in an effort to control the spread of COVID-19, including quarantines, shelter-in-place orders, school closings,
travel restrictions and the closure of non-essential businesses. By the end of March and into April 2020, the economic impacts became
significant. Before the financial statements were made out, the Board of Directors had considered the impact of COVID-19 outbreak in
United States, which would have affected the financial position, performance and cash flow of the Company has ended on the reporting
date thereon. The Management concluded that the impact of non-adjusting events from the COVID-19 outbreak has not significantly affected
the fair values of the financial assets or liabilities and non-finance assets of the Company, including the classification of current
and non-current items that were presented on the reporting date.
5. SUBSEQUENT EVENTS
The Company evaluated all events or transactions that occurred after
June 30, 2022 up through the date the Company issued these financial statements.
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