5. REVENUE RECOGNITION AND CONCENTRATIONS	9 Months Ended
Nov. 30, 2018
Notes to Financial Statements
CONCENTRATIONS	NOTE 5: REVENUE RECOGNITION AND CONCENTRATIONS We derive our revenue primarily from product sales. We determine revenue recognition through the following steps: (1) identification of the contract with a customer; (2) identification of the performance obligations in the contract; (3) determination of the transaction price; (4) allocation of the transaction price to the performance obligations in the contract; (5) recognition of revenue when, or as, we satisfy a performance obligation. The Company's performance obligations consist solely of product shipped to customers. Revenue from product sales is recognized upon transfer of control of promised products to customers in an amount that reflects the consideration we expect to receive in exchange for these products. Revenue is recognized net of returns and any taxes collected from customers. We offer standard contractual terms in our purchase orders. In addition, we use the practical expedient related to commissions paid since they would be amortized in less than one year. Percentage of sales to two customers Sales to two customers accounted for 56% of sales for the three and nine month periods ended November 30, 2018. Accounts receivable from these customers amounted to $290,215 or approximately 66% of accounts receivable as of November 30, 2018. Sales to one customer accounted for 33% and 32% of sales for the three and nine month periods ended November 30, 2017, respectively. Accounts receivable from one customer amounted to $583,779 or approximately 89% of accounts receivable as of November 30, 2017. Decrease in revenue of $1,350,443 with a net loss of $163,087 for the nine period ended November 30, 2018. In fiscal year 2018 a significant portion of our revenues came from organizations which were engaged in natural disaster relief activities. In fiscal year 2019, we did not have the same level of natural disaster revenues and did not replace these customers. As a result our revenue decreased. We have refocused our attention in replacing our customer revenue by expanding our scope with other organizations and will continue to do so.

5. REVENUE RECOGNITION AND CONCENTRATIONS

9 Months Ended

Nov. 30, 2018

NOTE 5: REVENUE RECOGNITION AND CONCENTRATIONS

We derive our revenue primarily from product sales. We determine revenue recognition through the following steps: (1) identification of the contract with a customer; (2) identification of the performance obligations in the contract; (3) determination of the transaction price; (4) allocation of the transaction price to the performance obligations in the contract; (5) recognition of revenue when, or as, we satisfy a performance obligation.

The Company's performance obligations consist solely of product shipped to customers. Revenue from product sales is recognized upon transfer of control of promised products to customers in an amount that reflects the consideration we expect to receive in exchange for these products. Revenue is recognized net of returns and any taxes collected from customers. We offer standard contractual terms in our purchase orders. In addition, we use the practical expedient related to commissions paid since they would be amortized in less than one year.

Percentage of sales to two customers

Sales to two customers accounted for 56% of sales for the three and nine month periods ended November 30, 2018. Accounts receivable from these customers amounted to $290,215 or approximately 66% of accounts receivable as of November 30, 2018.

Sales to one customer accounted for 33% and 32% of sales for the three and nine month periods ended November 30, 2017, respectively. Accounts receivable from one customer amounted to $583,779 or approximately 89% of accounts receivable as of November 30, 2017.

Decrease in revenue of $1,350,443 with a net loss of $163,087 for the nine period ended November 30, 2018. In fiscal year 2018 a significant portion of our revenues came from organizations which were engaged in natural disaster relief activities. In fiscal year 2019, we did not have the same level of natural disaster revenues and did not replace these customers. As a result our revenue decreased. We have refocused our attention in replacing our customer revenue by expanding our scope with other organizations and will continue to do so.