Note 6 - Development of Acer Truncatum Bunge	12 Months Ended
Mar. 31, 2018
Notes
Note 6 - Development of Acer Truncatum Bunge	NOTE 6 – DEVELOPMENT OF ACER TRUNCATUM BUNGE Development costs primarily include land development cost incurred for land leveling, irrigation, and fertilization, the purchase costs of acer truncatum bunge trees, and acer truncatum bunge planting fee. Since July 2013, the Company has developed the acer truncatum bunge planting bases. As of March 31, 2017, the Company had completed planting of 6,080 mu (approximately 2,403.84 acres) at four leased farmlands. On April 1, 2017, the Company entered an agreement with Zhongce No.4 Village to terminate the lease for the 200 mu (approximately 79.07 acres) farmland because the parcel of farmland was recalled by the local government to build a new urban district. Based on the agreement, the Company received a refund of all the remaining prepaid lease payments of approximately $58,000 (RMB383,333) and compensation of approximately $362,000 (RMB2,400,000) from the government for the early termination of the lease. On May 1, 2017, the Company signed two contracts with third parties to sell all of the plants from the farmland for approximately $2,042,000 (RMB13,527,000). The total capitalized cost of the acer truncatum bunge planting in Zhongce No.4 Village farmland was approximately $1,514,000 (RMB10,030,710). In addition, the Company incurred approximately $247,000 (RMB1,639,260) in expenses to pack the plants for sale. The gain from the disposition of the acer truncatum bunge plants was approximately $643,000 (RMB4,257,030). As a result of the lease termination, the Company's acer truncatum bunge planting acreage was reduced to 5,880 mu (approximately 2,324.77 acres) at March 31, 2018 from 6,080 mu (approximately 2,403.84 acres) at March 31, 2017. The Company accounts for the development costs of the planting in accordance to ASC 905. Pursuant to ASC 905-360-25-3, limited-life land development costs, direct and indirect development costs of orchards, groves, vineyards, and intermediate-life plants shall be capitalized during the development period. During the years ended March 31, 2018 and 2017, approximately 1% and 2.2% of the acer truncatum bunge plants were dead or lost due to the weather, replanting of trees, relocating of trees, and other natural or technical reasons as per management's estimation. Impairment of $332,090 and $986,406 was recorded during the years ended March 31, 2018 and 2017.

Note 6 - Development of Acer Truncatum Bunge

12 Months Ended

Mar. 31, 2018

Note 6 - Development of Acer Truncatum Bunge

NOTE 6 – DEVELOPMENT OF ACER TRUNCATUM BUNGE

Development costs primarily include land development cost incurred for land leveling, irrigation, and fertilization, the purchase costs of acer truncatum bunge trees, and acer truncatum bunge planting fee.

Since July 2013, the Company has developed the acer truncatum bunge planting bases. As of March 31, 2017, the Company had completed planting of 6,080 mu (approximately 2,403.84 acres) at four leased farmlands. On April 1, 2017, the Company entered an agreement with Zhongce No.4 Village to terminate the lease for the 200 mu (approximately 79.07 acres) farmland because the parcel of farmland was recalled by the local government to build a new urban district. Based on the agreement, the Company received a refund of all the remaining prepaid lease payments of approximately $58,000 (RMB383,333) and compensation of approximately $362,000 (RMB2,400,000) from the government for the early termination of the lease. On May 1, 2017, the Company signed two contracts with third parties to sell all of the plants from the farmland for approximately $2,042,000 (RMB13,527,000). The total capitalized cost of the acer truncatum bunge planting in Zhongce No.4 Village farmland was approximately $1,514,000 (RMB10,030,710). In addition, the Company incurred approximately $247,000 (RMB1,639,260) in expenses to pack the plants for sale. The gain from the disposition of the acer truncatum bunge plants was approximately $643,000 (RMB4,257,030). As a result of the lease termination, the Company's acer truncatum bunge planting acreage was reduced to 5,880 mu (approximately 2,324.77 acres) at March 31, 2018 from 6,080 mu (approximately 2,403.84 acres) at March 31, 2017.

The Company accounts for the development costs of the planting in accordance to ASC 905. Pursuant to ASC 905-360-25-3, limited-life land development costs, direct and indirect development costs of orchards, groves, vineyards, and intermediate-life plants shall be capitalized during the development period. During the years ended March 31, 2018 and 2017, approximately 1% and 2.2% of the acer truncatum bunge plants were dead or lost due to the weather, replanting of trees, relocating of trees, and other natural or technical reasons as per management's estimation. Impairment of $332,090 and $986,406 was recorded during the years ended March 31, 2018 and 2017.