NOTE 1 - BASIS OF PRESENTATION: Foreign Currency Translation (Policies)

12 Months Ended

Jun. 30, 2020

Policies

Foreign Currency Translation

Foreign Currency Translation

The functional currency of the Company’s Sangui GmbH and Sangui KG subsidiaries is the local currency, the Euro. Accordingly, assets and liabilities of the subsidiary are translated into U.S. dollars at period-end exchange rates. All equity account balances have been translated at the historical rates. Revenues and expenses are translated at the average exchange rates in effect for the period. The resulting translation gains or losses are recorded as a component of accumulated other comprehensive income in the consolidated statement of stockholders’ equity. For the years ended June 30, 2020 and 2019, the Company recognized a gain on translation adjustment in the amount of $460 and loss of $1,474, respectively. Gains of $3,680 respectively, $6,807 resulted from foreign currency transactions as of June 30, 2020 and 2019.

The exchange rates used to calculate values and results of operations for the years ended June 30, 2020 and 2019, were as follows:

	Year-end Rates	Average Period Rates
June 30, 2020	0.889150	0.904091
June 30, 2019	0.878005	0.876498

Pursuant to ASC 830-20-35, Foreign Currency Matters, the Company accounts for the translation of transactions denominated in foreign currencies in the Parent Company’s books as transaction gains (losses) recognized in General & Administrative expenses.