v2.4.0.6

Consolidated Balance Sheets (USD $)	Dec. 31, 2011	Sep. 30, 2011
Current assets:
Cash	$ 10,621	$ 17,711
Inventories	84,871	103,645
Prepaid expenses	9,120	17,273
Total current assets	104,612	138,629
Property and equipment, net	713,145	747,084
Other assets:
Security deposits	3,138	81,113
Total Assets	820,895	966,826
Current liabilities:
Accounts payable	743,412	557,791
Accrued expenses	42,139	41,398
Accrued expenses, related party	39,956	34,365
Deferred rent obligation	525,374	524,782
Officer loan, related party	279,525	273,525
Current maturities of capital lease obligations payable	7,926	12,394
Short term debts	631,961	643,355
Total current liabilities	2,270,293	2,087,610
Stockholders' Equity (Deficit):
Preferred stock, $0.001 par value, 10,000,000 shares authorized; no shares issued and outstanding
Common stock, $0.001 par value, 90,000,000 shares authorized; 19,565,104 shares issued and outstanding	19,565	19,565
Additional paid in capital	1,942,350	1,942,350
Accumulated (deficit)	(3,411,313)	(3,082,699)
Total Stockholders' Equity (Deficit)	(1,449,398)	(1,120,784)
Total Liabilities and Stockholders' Equity (Deficit)	$ 820,895	$ 966,826

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- Definition

The amount of an asset, typically cash, provided to a counterparty to provide certain assurance of performance by the entity pursuant to the terms of a written or oral agreement, such as a lease.

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- Definition

Reflects the total carrying amount as of the balance sheet date of debt having initial terms less than one year or the normal operating cycle, if longer.

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- Definition

Total of all stockholders' equity (deficit) items, net of receivables from officers, directors, owners, and affiliates of the entity which are attributable to the parent. The amount of the economic entity's stockholders' equity attributable to the parent excludes the amount of stockholders' equity which is allocable to that ownership interest in subsidiary equity which is not attributable to the parent (noncontrolling interest, minority interest). This excludes temporary equity and is sometimes called permanent equity.

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Passionate Pet, Inc. 10-Q