Summary of Significant Accounting Policies (Tables)

9 Months Ended

Apr. 30, 2020

Schedule of Fair Value, Liabilities Measured on Recurring Basis

The following tables present the derivative financial instruments, the Company’s only financial liabilities measured and recorded at fair value on the Company’s balance sheets on a recurring basis, and their level within the fair value hierarchy as of April 30, 2020 and July 31, 2019:

As of July 31, 2019	Amount		Level 1		Level 2		Level 3
Embedded conversion derivative liability	$	177,746	$	-	$	-	$	177,746
Warrant derivative liability		47,063		-				47,063
Total as of July 31, 2019	$	224,809	$	-	$	-	$	224,809

As of April 30, 2020
Embedded conversion derivative liability	$	184,809	$	-	$	-	$	184,809
Warrant derivative liability		46,946		-		-		46,946
Total as of April 30, 2020	$	231,755	$	-	$	-	$	231,755

Schedule of Changes in Fair Value of Derivative Liability

The following table provides a summary of the changes in fair value, including net transfers in and/or out, of the derivative financial instruments, measured at fair value on a recurring basis using significant unobservable inputs:

Balance at July 31, 2018	$	351,492
Fair value of derivative liability at issuance charged to debt discount		200,770
Fair value of derivative liability at issuance charged to derivative loss		128,880
Reclass to equity due to conversion		(205,391	)
Write-off of derivative liability due to settlement		(57,248	)
Unrealized derivative gain included in other expense		(222,828	)
Balance at April 30, 2019	$	195,675

Balance at July 31, 2019	$	224,809
Fair value of derivative liability at issuance charged to debt discount		20,000
Fair value of derivative liability at issuance charged to derivative loss		97
Reclass to equity due to conversion		(16,994	)
Unrealized derivative (gain) loss included in other expense		3,843
Balance at April 30, 2020	$	231,755

Schedule of Reconciliation of Basic and Diluted Earnings Per Share

The following is a reconciliation of basic and diluted earnings per share for the three and nine months ended April 30, 2020 and 2019:

	Three Months Ended			Three Months Ended			Nine Months Ended			Nine Months Ended
	April 30, 2020			April 30, 2019			April 30, 2020			April 30, 2019
Numerator:
Net (loss) available to common shareholders	$	(21,844	)	$	(209,189	)	$	(1,300,010	)	$	(340,311	)

Denominator:
Weighted average shares – basic and diluted		554,335			40,540			368,417			29,064

Net (loss) per share – basic and diluted	$	(0.04	)	$	(5.16	)	$	(3.53	)	$	(11.71	)

Lord Global Corp 10-Q