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Investment in LLC
3 Months Ended
Apr. 30, 2014
Investments in and Advances to Affiliates, Schedule of Investments [Abstract]  
Investment in LLC

Note 4- Investment in LLC

 

During 2011 the Company acquired a 34.62% interest in Meatball Obsession, LLC (“MO”) for a total investment of $27,032. This investment is accounted for using the equity method of accounting. Accordingly, investments are recorded at acquisition cost plus the Company’s equity in the undistributed earnings or losses of the entity. At December 31, 2011 the investment was brought down to $0 due to losses incurred by MO.

 

During 2013 the Company’s ownership interest in MO fell to 24% due to dilution.

 

During the three months ended April 30, 2014 the Company’s ownership interest in MO fell to 13% due to dilution.