| Adjustments in accounting |
The
effect of these adjustments on the condensed consolidated balance sheet as of June 30, 2013 is summarized below (the letters included
in brackets below refer to the lettered paragraphs above):
| |
|
As
previously reported |
|
|
Adjustment |
|
|
As
restated |
|
| Intangible assets (net) (a)(b) |
|
$ |
4,995,895 |
|
|
$ |
(1,228,395 |
) |
|
$ |
3,767,500 |
|
| Goodwill (c) |
|
|
26,998,125 |
|
|
|
(25,142,613 |
) |
|
|
1,855,512 |
|
| Amount due under the PhytoSPHERE Agreement (d) |
|
|
23,750,000 |
|
|
|
(18,786,094 |
) |
|
|
4,963,906 |
|
| Additional paid in capital (d) |
|
|
10,643,257 |
|
|
|
(8,193,906 |
) |
|
|
2,449,351 |
|
| Retained earnings (accumulated deficit)
(a) |
|
|
(418,809 |
) |
|
|
608,992 |
|
|
|
190,183 |
|
The
effect of theses adjustments on the condensed consolidated statement of operations for the three months ended June 30, 2013 is
as follows:
| |
|
As
previously reported |
|
|
Adjustment |
|
|
As
restated |
|
| General and administrative expenses
(a) |
|
$ |
1,131,660 |
|
|
$ |
(712,658 |
) |
|
$ |
419,002 |
|
| Net income (loss) (a) |
|
|
(1,060,792 |
) |
|
|
712,658 |
|
|
|
(348,134 |
) |
| Earnings (loss) per share (a) |
|
|
(0.12 |
) |
|
|
0.08 |
|
|
|
(0.04 |
) |
The
effect of theses adjustments on the condensed consolidated statement of operations for the six months ended June 30, 2013 is as
follows:
| |
|
As
previously reported |
|
|
Adjustment |
|
|
As
restated |
|
| General and administrative expenses
(a) |
|
$ |
1,222,386 |
|
|
$ |
(608,992 |
) |
|
$ |
613,394 |
|
| Net income (loss) (a) |
|
|
(274,593 |
) |
|
|
608,992 |
|
|
|
334,399 |
|
| Earnings (loss) per share (a) |
|
|
(0.03 |
) |
|
|
0.07 |
|
|
|
0.04 |
|
The effect of theses adjustments on the condensed consolidated statement of cash flows for the six months ended June 30, 2013
is as follows:
| |
|
As
previously reported |
|
|
Adjustment |
|
|
As
restated |
|
| Net income (loss) (a) |
|
$ |
(274,593 |
) |
|
$ |
608,992 |
|
|
$ |
334,399 |
|
| Amortization expense (a) |
|
|
951,492 |
|
|
|
(608,992 |
) |
|
|
342,500 |
|
| Inventory (e) |
|
|
(1,832,345 |
) |
|
|
(1 |
) |
|
|
(1,832,346 |
) |
| Accounts receivable (e) |
|
|
(1,165,059 |
) |
|
|
1 |
|
|
|
(1,165,058 |
) |
|