As Previously Reported

Adjustments

As Restated

As Previously Reported

Adjustments

As Restated

CASH FLOWS FROM OPERATING ACTIVITIES:

Net loss

$

(487,158

)

$

-

$

(487,158

)

$

(214,879

)

$

-

$

(214,879

)

Adjustments to reconcile net loss to net cash used in operating activities:

Amortization

1,677,410

-

1,677,410

714,589

-

714,589

Shares issued for services

-

70,473

Changes in operating assets and liabilities:

Accounts Receivable

(489,910

)

-

(489,910

)

-

Accounts Payable

(178,281

)

58,911

(119,370

)

248,900

-

248,900

Other Current Assets

-

(121,460

)

(121,460

)

-

Other Current Liabilities

-

62,549

-

Total Adjustments to reconcile Net Income to Net Cash provided by operations:

1,009,219

-

1,009,219

963,489

70,473

1,033,962

Net Cash Used in Operating Activities

522,061

-

522,061

748,610

70,473

819,083

CASH FLOWS FROM INVESTING ACTIVITIES:

Long Term Investments

1,976,479

(2,000,000

)

(23,521

)

(6,646,870

)

6,646,870

-

Purchase of Intangible Assets

(6,371,017

)

2,916,017

(3,455,000

)

(3,847,200

)

2,910,000

(937,200

)

Cash proceed for sale of investments

-

2,000,000

-

Property & Equipment

-

Deposits

-

Security Deposits Asset

-

Net Cash Used in Investing Activities

(4,394,538

)

2,916,017

(1,478,521

)

(10,494,070

)

9,556,870

(937,200

)

CASH FLOWS FROM FINANCING ACTIVITIES:

Co-Investment

3,046,017

(3,046,017

)

-

Preferred stock

2,234

(2,234

)

-

(192

)

192

-

Proceed from sale of Stock

(53,889

)

420,324

366,435

70,664

(70,664

)

-

Contribution by owners

418,091

(418,091

)

-

10,156,871

(9,556,871

)

600,000

Dividends Paid

-

Proceed from note payable

-

130,000

-

Net Cash Provided by Financing Activities

3,412,453

(2,916,018

)

496,435

10,227,343

(9,627,343

)

600,000

NET INCREASE IN CASH

(460,024

)

-

(460,024

)

481,883

-

481,883

CASH AT BEGINNING OF YEAR

484,183

-

484,183

2,300

-

2,300

CASH AT END OF YEAR

$

24,159

$

-

$

24,159

$

484,183

$

-

$

484,183

Non- cash investing and financing activities:

Intangible assets contributed by related party

-

2,910,000

Long Term Investments contributed by related party

-

6,646,870

Purchase of Intangible Assets on accounts

-

2,916,017

-