Quarterly report pursuant to Section 13 or 15(d)

Basis of Presentation and Summary of Significant Accounting Policies (Tables)

v3.8.0.1
Basis of Presentation and Summary of Significant Accounting Policies (Tables)
 9 Months Ended
Sep. 30, 2017
Schedule of the level of the inputs used in the company's fair value calculation for instruments carried at fair value

The lowest priority, referred to as Level 3, is given to unobservable inputs. The table below reflects the level of the inputs used in the Company’s fair value calculations:

   

    Quoted Prices
in Active
Markets
(Level 1) 		  Significant
Observable Inputs
(Level 2) 		  Significant
Unobservable
Inputs
(Level 3) 		  Total Fair
Value 		 
                           
September 30, 2017                          
Derivative liabilities - warrants   $ -   $ -   $ 54,950   $ 54,950  
Derivative liabilities – debt conversion feature   $ -   $ -   $ 17,500   $ 17,500  
December 31, 2016                          
Derivative liabilities - warrants   $ -   $ -   $ 91,173   $ 91,173  
Derivative liabilities – debt conversion feature   $ -   $ -   $ 40,000   $ 40,000  
Schedule of the carrying values and the estimated fair values, based on level 3 inputs

Information with respect to customers that accounted for sales in excess of 10% of total sales in the three-month and nine-month periods ended September 30, 2017 and 2016 is as follows:

  

  Three Months Ended
September 30,
  2017   2016
Customer - 1 11%   11%

 

 

  Nine Months Ended
September 30,
  2017   2016
Customer - 1 -   10%
Sales Revenue, Net [Member]  
Schedule of concentration of risk

The table below reflects the carrying values and the estimated fair values, based on Level 3 inputs, of the Company’s outstanding notes payable, including the related accrued interest, at September 30, 2017:

  

    Carrying Values   Estimated
Fair Values 		 
Senior secured note payable, including accrued interest   $ 2,028,111   $ 2,028,111  
2014 junior secured notes payable, including accrued interest     1,862,859     1,983,375  
2010 junior secured notes payable, including accrued interest     1,665,385     2,724,293
Accounts Receivable [Member]  
Schedule of concentration of risk

Information with respect to accounts receivable from those customers who comprised more than 10% of accounts receivable at September 30, 2017 and December 31, 2016 is as follows:

  

  September 30,
2017 		  December 31,
2016
Customer – 1 18%   20%
Customer – 2 -   13%
Customer – 3 -   10%