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5. INTANGIBLE ASSETS
 6 Months Ended
Jun. 30, 2016
Goodwill and Intangible Assets Disclosure [Abstract]  
NOTE 5. INTANGIBLE ASSETS

Intangible assets consist of patents and trademarks related to our Binary Ionization Technology. All of these assets were pledged as collateral for the convertible notes as described below in Note 6. The patents are being amortized over the estimated remaining lives of the related patents. The trademarks have an indefinite life. Amortization expense was $185,000 and $185,000 for the six months ended June 30, 2016 and 2015.

 

Definite life intangible assets consist of the following:

 

   

June 30,

2016

(Unaudited)

    

December 31,

2015

  
             
Intellectual Property and Patents   $ 2,848,300     $ 2,848,300  
Less: Accumulated Amortization     1,185,506       1,000,752  
Intangible Assets, net   $ 1,662,794     $ 1,847,548  

 

Indefinite life intangible assets consist of the following:

 

Trademarks   $ 440,000     $ 440,000  
                 
Total Intangible Assets, net   $ 2,102,794     $ 2,287,548  

 

Approximate amortization over the next five years is as follows:

 

Twelve Month Period Ending June 30,   Amount  
2017   $ 370,000  
2018     370,000  
2019     370,000  
2020     370,000  
2021     180,000  
    $ 1,660,000