XML 42 R6.htm IDEA: XBRL DOCUMENT v3.3.0.814
Consoldiated Statements of Cash Flows - USD ($)
9 Months Ended
Aug. 31, 2015
Aug. 31, 2014
Operating activities:    
Net income (loss) $ 84,309 $ (445,221)
Adjustments to reconcile net income (loss) to net cash used in operating activities:    
Stock-based compensation $ 4,000 19,937
Change in value of marketable securities (57,120)
Amortization of debt discount $ 496,063 744,406
Amortization of financing costs and intangible assets 23,433 $ 67,069
Depreciation 8,184  
Gain on troubled debt restructuring $ (2,065,614)
Gain on sale of subsidiary $ (640,180)
Gain on settlement of derivative liabilities $ (1,488,450) (300,686)
Change in fair value of derivative liabilities 2,324,101 (451,091)
Changes in operating assets and liabilities:    
Accounts receivable $ (52,794) 44,697
Marketable securities $ (12,000)
Inventory $ 94,935
Prepaid expenses and other current assets 3,337 $ 10,575
Other assets (6,138) (4,102)
Accounts payable and accrued liabilities 99,673 455,089
Accounts payable and accrued liabilities-related party 217,208 294,199
Due to Pension Benefit Guaranty Corporation 76,409 72,863
Net cash used in operating activities (181,344) $ (201,565)
Cash flows from investing activities:    
Cash acquired in acquisitions of businesses 16,016
Purchase of fixed assets (810)
Net cash provided by investing activities 15,206
Cash flows from financing activities:    
Proceeds from borrowings 244,750 $ 354,575
Principal payments of debt (74,797) (163,008)
Net cash provided by financing activities 169,953 191,567
Increase (decrease) in cash and cash equivalents 3,815 (9,998)
Cash and cash equivalents at beginning of period 1,832 17,242
Cash and cash equivalents at the end of period $ 5,647 $ 7,244
Supplemental disclosure of cash flow information:    
Cash paid during the period for: Income taxes
Cash paid during the period for: Interest $ 18,158 $ 59,835
Non-cash investing and financing transactions:    
Fair value of derivative liabilities to discount on debt 193,780 $ 230,837
Settlement of accrued interest with issuance of preferred stock 100,000
Acquisition of net liabilities of business-reverse merger recapitalization 187,870
Settlement of payables with issuance of warrants 20,000
Conversion of accrued liabilities to notes payable $ 150,731 $ 249,190
Conversion of debt to equity 287,500
Conversion of embedded derivative liabilities to equity $ 300,920