They have been working on this for a quite a while.
M Power Entertainment, Inc.
Notes to the Financial Statements
December 31, 2006 and 2005
Note 1 - Summary of Significant Accounting Policies
Nature of Business
The Company is a non-operating entity incorporated in Delaware in 1988, under the name "Technicraft Financial, Ltd." In August 1994, the Company acquired GK Intelligent Systems, Inc., a Texas corporation, and changed its name to GK Intelligent Systems, Inc. Through 1999, the company was principally engaged in the development and marketing of software products capable of interaction with and adaptation to the needs of software users and interpretation of data. The Company changed its name in 2005 to M Power Entertainment, Inc. M Power plans to create a lifestyle information/entertainment platform named eDOORWAYS,designed to offer an enhanced form of interactivity and support for today's visually-oriented web surfing community.
eDOORWAYS is a web-based personal lifestyle information enhancement and problem solving gateway, lifestyle information source, and business-to-consumer marketplace. Our business strategy is to obtain revenue from lifestyle product and service purchases made while consumers visit our marketplace.
Gain on Extinguishment of Debt
M Power has certain accounts payable, notes payable, accrued liabilities and accrued interest which have been outstanding since 1999 when we became dormant. Our policy has been to write off these debts as they become unenforceable, generally within the four year statute of limitations, as advised by counsel. $138,601 and $799,235 have been written off in 2006 & 2005, respectively.