Acquisition of Viascanqdata (Tables)

12 Months Ended

Dec. 31, 2016

Business Combinations [Abstract]

Schedule of Assets Acquired and Liabilities Assumed

In accordance with ASC 805-10-25-13, the following table summarizes the estimated fair values of the assets acquired and liabilities assumed at the date of acquisition and the preliminary allocation of the purchase price to the fair value of net assets acquired:

Cash	$	74,855
Accounts receivable, net		2,163,502
Inventory		1,587,272
Fixed assets, net		1,399,796
Other assets		114,709
Goodwill		11,137,861
Total purchase price allocated	$	16,477,995

Accounts Payable and other Current Liabilities	$	12,008,825
Long Term Debts Assumed		837,170
Promissory Note Issued		1,500,000
Stock Issued		2,132,000
Total purchase price allocated	$	16,477,995

Schedule of Discontinued Operations

The following is a reconciliation of the major line items constituting pretax loss of discontinued operations to the after-tax loss of discontinued operations that are presented in the condensed consolidated statements of operations as indicated below The 2016 fiscal year has 9 months of operations and the 2015 fiscal year has 3 months of operations:

	For the year
	ending December 31,
	2016			2015
Revenues	$	11,326,849		$	5,255,601
Cost of goods sold		(9,751,651	)		(4,046,494	)
Gross profit		1,575,198			1,209,107
Operating expenses
General and administrative		(874,506	)		(300,668	)
Salary and employee benefits		(2,074,977	)		(623,276	)
Depreciation and amortization		(178,069	)		(104,215	)
Professional fees		(58,138	)		(18,258	)
Goodwill impairment		(4,800,000	)		-
Total operating expenses		(7,985,690	)		(1,046,417	)
Operating (loss) income		(6,410,492	)		162,690
Other income (expenses):
Restructuring expenses		(108,640	)		-
Gain (loss) on foreign currency		117,138			229,442	)
Interest expense		(443,019	)		(171,815	)
Other (expenses) income		129			(1,389	)
Total other income (expenses)		(434,392	)		(402,646	)
Net Income (Loss) Before Income Taxes		(6,844,884	)		(239,956	)
Provision for Current Income Taxes		(6,991	)		-
Net Loss from discontinued operations	$	(6,851,875	)	$	(239,956	)

Schedule of Disposal Assets and Liabilities

The major classes of assets and liabilities of Quest Solution Canada Inc. classified as held for disposal as at December 31, 2015 are, as follows:

	As of
	December 31, 2015
ASSETS
Current assets
Cash	$	19,324
Accounts receivable, net		3,505,920
Inventory, net		2,260,133
Prepaid expenses		81,468
Other current assets		1,133
Total current assets		5,867,978
Fixed assets		1,248,763
Goodwill		11,137,860
Total assets	$	18,254,601
LIABILITIES AND STOCKHOLDERS’ (DEFICIT)
Current liabilities
Accounts payable and accrued liabilities	$	5,488,998
Line of credit		2,490,315
Accrued payroll and sales tax		276,147
Deferred revenue, net		57,659
Notes payable, related parties, current portion		356,672
Current portion of note payable		1,255,477
Other current liabilities		64,175
Total current liabilities		9,989,443
Long term liabilities
Note payable, related party, net of debt discount		363,928
Long term portion of note payable		442,535
Other long term liabilities		-
Total liabilities	$	10,795,906
Net Assets held for disposal	$	7,458,695

Schedule of Discontinued Cash Flows

The 2016 fiscal year has 9 months of operations and the 2015 fiscal year has 3 months of operations:

	For the year
	ending December 31,
	2016			2015
Net cash used by operating activities	$	(1,743,606	)	$	(3,476,756	)
Net cash provided in investing activities		16,097			-
Net cash (used) provided in financing activities		(2,867,565	)		479,965
Net Cash Outflow from discontinued operations	$	(4,595,074	)	$	(2,996,791	)