INVENTORY- AUDIO AND FILM LIBRARY	9 Months Ended
Jun. 30, 2011
Film Costs Policy [Abstract]
INVENTORY- AUDIO AND FILM LIBRARY	NOTE 7. INVENTORY- AUDIO AND FILM LIBRARY An independent appraisal service and an independent certified public accountant have collectively prepared a valuation on the Company’s audio and film library. The library is composed of a large collection of videos, movies, audio recordings, and TV shows. The appraisers considered multiple factors in determining fair market value of $23,206,942 with a net present value of $161,572,209. These factors used in the valuation process were as follows and have not been audited: Cost - $18,275,150. Cost has been calculated by the appraiser and confirmed by an independent certified public accountant working with the appraiser. The audio and film library inventory was adjusted accordingly resulting in an increase in net income in the Statement of Operations. Historical Earnings Earning – To date, the appraiser has identified earnings of $14,865,000. This amount was used in the calculation of the future and current value of the library. Network Value – This amount is determined by the appraiser to be 40% of the potential annual income if 100% of the advertising time were sold at $1,000 per minute of commercials. The Network Value is calculated as $1,698,948 for the first year. This amount may fluctuate annually as revenues increase/decrease. Competition – A certain number of the total films and TV Shows are unique to this library. For this reason the appraiser took an approach to the valuation of determining a mean value for the titles based on what other film distributors and library owners are currently selling or renting these titles. From this calculation, the appraiser determined a value based on the potential sales of the programming, use of the programming on ValCom’s own network, and on advertising generated over the next ten years. Using a discount rate of 10% over ten years, a net present value of $161,572,209 was calculated. In the opinion of the appraiser and staff, the values published in the appraisal are conservative and have the potential to increase as additional work is completed on the library and restoration of many of the unique and historical films continue. There are also additional audio tracks and films which have not been valued as of the appraisal date which may be added to the library and valued separately.

INVENTORY- AUDIO AND FILM LIBRARY

9 Months Ended

Jun. 30, 2011

NOTE 7.

INVENTORY- AUDIO AND FILM LIBRARY

An independent appraisal service and an independent certified public accountant have collectively prepared a valuation on the Company’s audio and film library. The library is composed of a large collection of videos, movies, audio recordings, and TV shows. The appraisers considered multiple factors in determining fair market value of $23,206,942 with a net present value of $161,572,209. These factors used in the valuation process were as follows and have not been audited:

Cost - $18,275,150. Cost has been calculated by the appraiser and confirmed by an independent certified public accountant working with the appraiser. The audio and film library inventory was adjusted accordingly resulting in an increase in net income in the Statement of Operations.

Historical Earnings Earning – To date, the appraiser has identified earnings of $14,865,000. This amount was used in the calculation of the future and current value of the library.

Network Value – This amount is determined by the appraiser to be 40% of the potential annual income if 100% of the advertising time were sold at $1,000 per minute of commercials. The Network Value is calculated as $1,698,948 for the first year. This amount may fluctuate annually as revenues increase/decrease.

Competition – A certain number of the total films and TV Shows are unique to this library. For this reason the appraiser took an approach to the valuation of determining a mean value for the titles based on what other film distributors and library owners are currently selling or renting these titles. From this calculation, the appraiser determined a value based on the potential sales of the programming, use of the programming on ValCom’s own network, and on advertising generated over the next ten years. Using a discount rate of 10% over ten years, a net present value of $161,572,209 was calculated.

In the opinion of the appraiser and staff, the values published in the appraisal are conservative and have the potential to increase as additional work is completed on the library and restoration of many of the unique and historical films continue. There are also additional audio tracks and films which have not been valued as of the appraisal date which may be added to the library and valued separately.