Note 6 — Accrued Expenses

Accrued expenses consisted of the following:

	September 30, 2015		December 31, 2014

Accrued Wages and Related Costs	$	122,708	$	101,445
Accrued Compensation		358,719		428,786
Accrued Professional Services		70,500		45,000
Accrued Warranty Obligations		59,876		39,624
Accrued Interest		103,677		75,471
Other Accrued Expenses		—		8,741

Total	$	715,480	$	699,067

Included in the above accrued compensation are amounts owed to officers of the Company for services rendered that remain outstanding. These amounts are not subject to a fixed repayment schedule and they bear interest at a rate of 8% per year, compounding monthly. The related interest amounts included in Accrued Interest were $94,006 and $62,801 respectively as of September 30, 2015 and December 31, 2014. The related interest expense amounts for the nine months ended September 30, 2015 and 2014 were $29,340 and $26,735 respectively.

The Company has warranty obligations in connection with the sale of certain of its products. The warranty period for its products is generally one year except in certain European countries where it is two years. The costs incurred to provide for these warranty obligations are estimated and recorded as an accrued liability at the time of sale. The Company estimates its future warranty costs based on product-based historical performance rates and related costs to repair. The changes in the Company’s accrued warranty obligations for the nine months ended September 30, 2015 were as follows:

Accrued Warranty Obligations at December 31, 2014	$	39,624
Reductions for Settling Warranties		(54,840)
Warranties Issued During Period		75,092

Accrued Warranty Obligations at September 30, 2015	$	59,876