Big Tree Group, Inc.

CIK:0001097896|SEC Filings

Note 2 - Summary of Significant Accounting Policies: Comprehensive (loss) Income (Policies)	6 Months Ended
Jun. 30, 2014
Policies
Comprehensive (loss) Income	*Comprehensive (loss) income* Comprehensive (loss) income consists of net (loss) income and foreign currency translation adjustments, and is presented in our Unaudited Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income.

Note 2 - Summary of Significant Accounting Policies: Comprehensive (loss) Income (Policies)

6 Months Ended

Jun. 30, 2014

Comprehensive (loss) income

Comprehensive (loss) income consists of net (loss) income and foreign currency translation adjustments, and is presented in our Unaudited Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income.

BIG TREE GROUP INC. AND SUBSIDIARIES STATEMENTS OF CASH FLOWS (USD $)	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013
CASH FLOWS FROM OPERATING ACTIVITIES:
Net (loss) income	$ (109,068)	$ 99,525
Adjustments to reconcile net (loss) income to net cash provided by operating activities:
Depreciation and amortization	50,202	39,606
Non-Cash Interest expense	254,144	0
Gain from change in fair market value of derivative liabilities	(103,328)	0
Bad debt expense	(886)	3,327
Stock issued for interest	235	94,501
Changes in current assets and liabilities:
Accounts receivable	(456,571)	(4,891,997)
Advance to suppliers	26,381	572,757
Advance to suppliers-related parties	0	62,693
Prepaid expenses and other current assets	315,386	310,242
Inventories	(1,297,715)	(559,022)
Accounts payable and accrued expenses	2,360,962	4,559,836
Other payables	(111,044)	23,202
Salaries payable	96,540	84,944
Taxes payable	6,518	94,519
Advance from customers	98,006	26,472
NET CASH PROVIDED BY OPERATING ACTIVITIES	1,129,762	520,605
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of intangible asset	(18,058)	0
Purchase of property and equipment	(192,774)	(2,675)
NET CASH USED IN INVESTING ACTIVITIES	(210,832)	(2,675)
CASH FLOWS FROM FINANCING ACTIVITIES:
Restricted cash	(162,874)	0
Proceeds from related party advances	589,706	1,390,844
Repayment of related parties advances	(583,191)	(327,593)
Working capital advance paid to related party, net	(1,319,224)	(1,591,210)
Advances from related party, net	333,540	0
Proceeds from convertible loans payable	353,500	0
Proceeds from (repayment of) loans payable	(320,863)	18,290
NET CASH USED IN FINANCING ACTIVITIES	(1,109,406)	(509,669)
EFFECT OF EXCHANGE RATE ON CASH	(1,103)	546
NET (DECREASE) INCREASE IN CASH	(191,579)	8,807
CASH	220,585	22,167
CASH	29,006	30,974
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Cash paid for taxes	69,621	71,533
Cash paid for interest	151,589	129,968
Non-cash investing and financing activities:
Derivative liabilty reclassified to paid-in capital	44,573	0
Convertible debt premium reclassified to paid-in-capital	85,125	0
Stock issued for accounts payable	27,858	0
Stock issued for convertible debt	$ 217,876	$ 0

BIG TREE GROUP INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (USD $)	Jun. 30, 2014	Dec. 31, 2013
CURRENT ASSETS:
Cash	$ 29,006	$ 220,585
Restricted Cash	167,338	4,910
Accounts receivable (net allowance of $288,009 and $291,011, respectively)	9,561,524	9,171,976
Inventories	1,428,165	134,699
Other receivable	902,195	1,181,321
Prepaid expenses	12,445	56,754
Due from related party	0	292,943
Advance to suppliers	86,650	113,792
Total Current Assets	12,187,323	11,176,980
Security deposit - related party	58,487	58,916
Property and equipment, net	274,667	131,198
Intangible assets, net	23,496	7,751
Total Assets	12,543,973	11,374,845
CURRENT LIABILITIES:
Accounts payable and accrued expenses	5,608,621	3,286,443
Loans payable	3,891,019	4,303,659
Convertible loans payable	572,306	205,716
Derivative liability	34,195	182,096
Advance from customers	221,702	124,851
Salaries payable	519,382	426,186
Other payable	437,410	569,995
Tax payable	1,131,329	1,133,075
Due to related party	489,900	444,749
Total Current Liabilities	12,905,864	10,676,770
Total Liabilities	12,905,864	10,676,770
SHAREHOLDERS' (DEFICIT) EQUITY:
Preferred stock, no par value; 20,000,000 shares authorized:none issued and outstanding at June 30, 2014 and December 31, 2013	0	0
Common stock ($0.00001 par value, 100,000,000 shares authorized; 14,273,557 and 10,350,192 shares outstanding at June 30, 2014 and December 31, 2013, respectively.)	143	104
Additional paid-in capital	677,792	302,399
Retained earnings	1,855,493	1,964,561
Accumulated Other comprehensive income (loss)	39,294	61,591
Advances due from related party	(2,934,613)	(1,630,580)
Total Shareholders' (Deficit) Equity	(361,891)	698,075
Total Liabilities and Shareholders' (Deficit) Equity	$ 12,543,973	$ 11,374,845