7. Discontinued Operations

3 Months Ended

Mar. 31, 2017

Notes to Financial Statements

7. Discontinued Operations

7. Discontinued Operations

On February 14, 2017, the Company completed a series of transactions, including an APA whereby the Company sold certain of the Canadian Rehab Clinic assets. The assets disposed of business represented substantially all of the operating assets of the Canadian Rehab Clinic and has been disclosed as a discontinued operation for comparative purposes as of December 31, 2016 and for the three month period ended March 31, 2017 and 2016. Refer note 3 above.

The assets and liabilities of discontinued operations as of December 31, 2016, respectively is as follows:

	December 31, 2016
Current assets
Accounts receivable, net	$	123,358
Prepaid expenses and other current assets		11,253
Total current assets		134,611
Non-current assets
Plant and equipment, net		129,127
Deposits		—
Total assets		263,738
Current liabilities
Deferred revenues		80,519
Discontinued operation	$	183,219

The statement of operations for the discontinued operations is as follows:

	Three months ended March 31, 2017			Three months ended March 31, 2016
Revenues	$	232,152		$	822,837
Operating expenses
Depreciation and amortization		4,196			15,333
General and administrative		86,080			181,519
Professional fees		648			48,765
Rent		44,518			6,144
Salaries and wages		233,636			388,517
Total operating expenses		369,078			640,278
Operating (loss) income		(136,926	)		182,559
Other Income
Interest expense		(788	)		(38,196	)
Foreign exchange movements		196,706			33,155
Net income before taxation		58,992			177,518
Taxation		—			—
Net income from discontinued operations	$	58,992		$	177,518

The profit on sale of business is disclosed in note 3 above.