China Zhong QI Hldgs. Ltd. (CHZQ)

[Mygolfballs]

I thought this would be a great Cannabis Sector play with the "green" focus and Jerry's ideas of niche products. Unfortunately, I moved onto another "green" company that is profitable (acg*) and in the brick n mortar Cannabis sector presently. It trades well beneath market value. You can see it in my stocks section. I like you lost money here believing Jerry. I have moved on to hopefully less risky ventures in the Marijuana arena. The numbers here have always sucked.

Cash flows from operating activities:
Net loss $ (731,386 ) $ (351,252 )
Adjustments to reconcile net loss to net
cash provided by (used in) operating activities:

Depreciation and amortization 1,624 3,516
Amortization of debt discount 6,250 -
Settlement expense 424,575 106,300

Changes in assets and liabilities:
Decrease in accounts receivable 8,862 13,400
Decrease (increase) in inventories 2,303 (4,946 )
Decrease in prepaid expenses 928 1,185
Increase in accounts payable and accrued liabilities 26,276 16,694
Increase in amounts due to related parties 173,766 171,128
(Decrease) in deferred maintenance contracts - (500 )
Net cash (used in) operating activities (86,802 ) (44,475 )

Cash flows from financing activities:
Proceeds from new debt issued 69,584 17,400
Net cash provided by financing activities 69,584 17,400

Net decrease in cash and cash equivalents (17,218 ) (27,075 )
Cash and cash equivalents at beginning of period 101,323 140,139
Cash and cash equivalents at end of period $ 84,105 $ 113,064


During the period, cash was paid for the following:
Taxes paid $ - $ -
Interest paid $ - $ -