PRIOR PERIOD ADJUSTMENT (Tables)

12 Months Ended

Dec. 31, 2012

Prior Period Adjustment Tables

Company's financial statements

The effects of the restatement on the Company’s balance sheet as of December 31, 2010 and statements of operations and cash flows for the year then ended is as follows:

BALANCE SHEET AS OF DECEMBER 31, 2010

	As Previously Reported			Effect of Restatement			As restated
Warrant liability	$	-		$	87,240		$	87,240
Redeemable and Convertible Preferred Stock	$	-		$	1,816,643		$	1,816,643
Preferred Stock	$	18,775		$	(18,775	)	$	-
Common stock	$	1,553,628		$	-		$	1,553,628
Additional paid-in capital	$	4,077,068		$	(1,516,060	)	$	2,561,008
Accumulated deficit	$	(3,626,121	)	$	-		$	(3,626,121	)
Deficit accumulated during the development stage	$	(442,749	)	$	(369,048	)	$	(811,797	)
Stockholders' equity (deficit)	$	1,580,601		$	(1,903,883	)	$	(323,282	)

STATEMENT OF OPERATIONS FOR THE YEAR ENDED DECEMBER 31, 2010

	As Previously Reported			Effect of Restatement			As restated
Change in warrant liability (expense) income	$	-		$	190,322		$	190,322
Net (loss) income for the year	$	(87,284	)	$	190,322		$	103,038
Accretion of preferred stock to redemption value	$	-		$	(133,340	)	$	(133,340	)
Net (loss) income attributable to common stockholders	$	(87,284	)	$	56,982		$	(30,302	)
Net (loss) income per share – basic and diluted attributable to common stockholders	$	(0.01	)	$	0.01		$	(0.00	)

STATEMENT OF OPERATIONS FROM JANUARY 1, 1999 (INCEPTION) TO DECEMBER 31, 2010

	As Previously Reported			Effect of Restatement			As restated
Change in warrant liability (expense) income	$	-		$	53,787		$	53,787
Net (loss) income for the year	$	(442,749	)	$	53,787		$	(388,962	)
Accretion of preferred stock to redemption value	$	-		$	(422,835	)	$	(422,835	)
Net loss attributable to common stockholders	$	(442,749	)	$	(369,048	)	$	(811,797	)

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED DECEMBER 31, 2010

	As Previously Reported			Effect of Restatement			As restated
Net (loss) income for the year	$	(87,284	)	$	190,322		$	103,038
Change in warrant liability	$	-		$	(190,322	)	$	(190,322	)
Net cash used in operating activities	$	(88,405	)	$	-		$	(88,405	)

STATEMENT OF CASH FLOWS FROM JANUARY 1, 1999 (INCEPTION) TO DECEMBER 31, 2010

	As Previously Reported			Effect of Restatement			As restated
Net (loss) income for the year	$	(442,749	)	$	53,787		$	(388,962	)
Change in warrant liability	$	-		$	(53,787	)	$	(53,787	)
Net cash used in operating activities	$	(456,540	)	$	-		$	(456,540	)