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NOTE 2 RELATED PARTY TRANSACTIONS
6 Months Ended
Jun. 30, 2020
Notes  
NOTE 2 RELATED PARTY TRANSACTIONS NOTE 2 - RELATED PARTY TRANSACTIONS

 

Management Compensation - During the six months ended June 30, 2020 and 2019, the Company did not pay any compensation to its officers and directors.

 

Beginning August 2017, the Company entered into an oral agreement to pay the Company’s President $500 per month as payment for use of his personal residence as the Company’s office and mailing address.  The Company has recorded rent expense of $3,000 during each of the six months ended June 30, 2020 and 2019, which is included in the general and administrative expenses on the statements of operations.  The amount payable at December 31, 2019 was $1,500.  During the six months ended June 30, 2020, the Company paid $4,000, resulting in $500 payable at June 30, 2020.  

 

On March 8, 2018 the Company entered into a promissory note with a newly-affiliated party in the amount of $43,250. The note is payable on demand and carries interest at 10% per annum.  Interest expense for the six months ended June 30, 2020 and 2019 was $1,725 and $1,716, respectively, resulting in accrued interest of $8,010 and $6,285 at June 30, 2020 and December 31, 2019, respectively.  Principal balance on the note at June 30, 2020 and December 31, 2019 was $43,250.  

 

On December 12, 2017, the Company entered into a promissory note with its President in the amount of $107,000.  On various dates in 2018 and 2019, the officer advanced the Company an additional $16,670, and the Company made payments of $14,686, resulting in the total note principal balance of $108,984 at December 31, 2019.  During the six months ended June 30, 2020, the Company received an additional $20,900 and paid a total of $6,000 of the principal balance resulting in the total note principal balance of $123,884 at June 30, 2020.  The cumulative note balance is uncollateralized, due on demand, and carries interest at 12% per annum.  Interest expense on the note for the six months ended June 30, 2020 and 2019 was $6,890 and $6,467, respectively, of which the Company repaid $5,000 during the six months ended June 30, 2020, resulting in accrued interest totaling $7,894 and $6,004 at June 30, 2020 and December 31, 2019, respectively.