XML 46 R15.htm IDEA: XBRL DOCUMENT v2.4.0.6
Intangible Assets
 12 Months Ended
Dec. 31, 2011
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible Assets Disclosure [Text Block]

NOTE 7 – Intangible Assets

 

The Company’s intangible assets consist of Patents, Patent Pending Applications and Customer Contacts.

 

Provisional patent applications are not amortized until a patent has been granted. Once a patent is granted, the Company will amortize the related costs over the estimated useful life of the patent. If a patent application is denied, then the costs will be expensed at that time.

 

The customer contacts were acquired in a business acquisition on December 31, 2011 (See Note 10) and will be amortized over their estimated useful life of 3 years.

 

The following is a summary of definite-life intangible assets less accumulated amortization as of December 31, 2011 and 2010:

 

    Year Ended December 31,  
    2011     2010  
                 
Provisional Patent Applications   $ 21,760     $ 8,600  
Utility Patents     17,200       17,200  
Customer Contacts     262,009       -  
Less:  Accumulated Amortization     (1,728 )     (717 )
                 
Net Intangible Assets   $ 299,241     $ 25,083  

  

Amortization expense on intangible assets was $1,011 and $717 for the years ended December 31, 2011 and 2010.

 

The estimated aggregate amortization expense for each of the succeeding years ending December 31 is as follows:

 

2012   $ 88,348  
2013     88,348  
2014     88,348  
2015     1,012  
2016     1,012  
Thereafter     32,173  
         
    $ 299,241