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GOODWILL AND OTHER INTANGIBLE ASSETS
 6 Months Ended
Jun. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND OTHER INTANGIBLE ASSETS

NOTE 3. GOODWILL AND OTHER INTANGIBLE ASSETS

 

The following table rolls forward the Company’s goodwill balance for the periods ending June 30, 2022 and December 31, 2021. As discussed in Note 1 - Prior Period Adjustments, a $(503,345) adjustment was identified for goodwill which impacted the closing December 31, 2020 balance in the same amount. Accordingly, the December 31, 2020 balance is adjusted in the following table from the originally reported balance of $9,265,070 to $8,761,725.

 SCHEDULE OF IMPAIRMENT OF GOODWILL

   Goodwill 
December 31, 2020  $8,761,725 
Goodwill recognized in connection with Kush acquisition on May 1, 2021  $1,288,552 
December 31, 2021  $10,050,277 
Goodwill recognized in connection with Medigap acquisition on January 10, 2022  $19,199,008 
Goodwill recognized in connection with Barra acquisition on April 26, 2022   4,236,822 
June 30, 2022  $33,486,107 

 

The following table sets forth the major categories of the Company’s intangible assets and the weighted-average remaining amortization period as of June 30, 2022:

 

 

   Weighted Average Remaining Amortization period (Years)  

Gross

Carrying

Amount

   Accumulated Amortization  

Net

Carrying Amount

 
Trade name and trademarks   4.9   $2,142,858   $(804,020)  $1,338,838 
Internally developed software   4.5    1,326,158    (131,655)   1,194,503 
Customer relationships   9.53    11,922,290    (1,517,174)   10,405,116 
Purchased software   -    562,327    (562,327)   - 
Video Production Assets   0.6    50,000    (23,242)   26,758 
Non-competition agreements   2.4    3,504,810    (1,827,590)   1,677,220 
Contracts Backlog   0.5    210,000    (100,684)   109,316 
        $19,718,443   $(4,966,692)  $14,751,751 

 

The following table sets forth the major categories of the Company’s intangible assets and the weighted-average remaining amortization period as of December 31, 2021:

 

   Weighted Average Remaining Amortization period (Years)  

Gross

Carrying

Amount

   Accumulated Amortization  

Net

Carrying Amount

 
Trade name and trademarks   3.5   $1,777,475   $(609,822)  $1,167,653 
Internally developed software   4.7    595,351    (28,443)   566,908 
Customer relationships   7.7    4,237,290    (1,048,726)   3,188,564 
Purchased software   0.6    562,327    (452,985)   109,342 
Video Production Assets   1.0    20,000    -    20,000 
Non-competition agreements   2.9    3,504,809    (1,478,376)   2,026,433 
        $10,697,252   $(3,618,352)  $7,078,900 

 

 

The following table reflects expected amortization expense as of June 30, 2022, for each of the following five years and thereafter:

 

Years ending December 31,  Amortization Expense 
2022 (remainder of year)  $1,374,512 
2023   2,461,552 
2024   2,083,450 
2025   1,703,824 
2026   1,463,747 
Thereafter   5,664,666 
Total  $14,751,751