| Schedule of Disposal Groups, Including Discontinued Operations, Income Statement |
The following is a summary of the operating results for the discontinued operations as follows: | | | Three months ended | | Six months ended | | | | | October 31, | | October 31, | | | | | 2015 | | 2014 | | 2015 | | 2014 | | | | | | | | | | | | | | | | | | Revenue | | $ | - | | $ | 2,503,401 | | $ | 839,969 | | $ | 6,479,902 | | | | | | | | | | | | | | | | | | Costs and expenses: | | | | | | | | | | | | | | | Cost of revenue | | | - | | | 1,938,879 | | | 546,296 | | | 4,782,465 | | | Selling, general and administrative expenses | | | - | | | 1,183,750 | | | 111,324 | | | 2,202,199 | | | Depreciation and amortization | | | - | | | 358,461 | | | 80,971 | | | 834,707 | | | Impairment loss on capitalized software | | | - | | | 827,448 | | | - | | | 827,448 | | | | | | - | | | 4,308,538 | | | 738,591 | | | 8,646,819 | | | Operating (loss) income from discontinued operations | | | - | | | (1,805,137) | | | 101,378 | | | (2,166,917) | | | | | | | | | | | | | | | | | | Interest expense | | | - | | | (67,377) | | | (49,234) | | | (134,296) | | | (Loss) income from discontinued operations before income tax provision | | | - | | | (1,872,514) | | | 52,144 | | | (2,301,213) | | | Income tax provision | | | - | | | (14,870) | | | (10,883) | | | (24,285) | | | (Loss) income from discontinued operations, net of tax | | | - | | | (1,887,384) | | | 41,261 | | | (2,325,498) | | | Gain (loss) from disposal | | | 837,720 | | | - | | | 837,720 | | | 798,896 | | | Total income (loss) from discontinued operations | | $ | 837,720 | | $ | (1,887,384) | | $ | 878,981 | | $ | (1,526,602) | |
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| Schedule of Disposal Groups, Including Discontinued Operations, Balance Sheet |
The following table summarizes assets and liabilities held for sale for the Seattle and China Operations as of October 31, 2015 and April 30, 2015: | | | October 31, | | April 30, | | | | | 2015 | | 2015 | | | Assets | | | | | | | | | Current assets: | | | | | | | | | Accounts receivable, net of allowance | | $ | - | | $ | 4,264,451 | | | Prepaid expenses and other current assets | | | - | | | 34,800 | | | Deferred contract cost | | | - | | | 267,000 | | | Total current assets held for sale | | | - | | | 4,566,251 | | | | | | | | | | | | Property and equipment, net | | | - | | | 963,119 | | | | | | | | | | | | Total other assets held for sale | | | - | | | 963,119 | | | Total assets held for sale | | $ | - | | $ | 5,529,370 | | | | | | | | | | | | Liabilities | | | | | | | | | Accounts payable and accrued expenses | | $ | - | | $ | 1,700,943 | | | Due to related party | | | - | | | 785,684 | | | Short term bank loan | | | - | | | 3,224,180 | | | Total current liabilities held for sale | | | - | | | 5,710,807 | | | Total liabilities held for sale | | $ | - | | $ | 5,710,807 | |
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