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Prepaid Land Use Rights, net
 12 Months Ended
Dec. 31, 2017
Prepaid Land Use Rights, net [Text Block]
11.

Prepaid Land Use Rights, net

Prepaid land use rights as of September 30, 2016, December 31, 2016 and 2017 consisted of the followings:

 

   September 30,     December 31,     December 31,  

 

   2016     2016     2017  

Prepaid land use rights

 $ 8,420,911   $ 8,089,516   $ 8,634,993  

Accumulated amortization

   (364,906 )   (390,993 )   (590,058 )

 

 $ 8,056,005   $ 7,698,523   $ 8,044,935  

Less: Classified as current assets

   (168,418 )   (161,790 )   (172,700 )

 

 $ 7,887,587   $ 7,536,733   $ 7,872,235  

Pursuant to a land use rights acquisition agreement dated August 10, 2014, the Company acquired the rights to use a piece of land with an area of 153,832 m 2 in Dalian Economic Zone for 50 years up to August 9, 2064, at a total consideration of $8,157,086 (RMB53.1 million). Other incidental costs incurred totaled $477,907 (RMB3.1 million).

Amortization expenses of the prepaid land use rights were $171,999, $41,110 and $166,233 for the year ended September 30, 2016, three months ended December 31, 2016 and year ended December 31, 2017, respectively.