Payables and Accruals

3 Months Ended

Sep. 30, 2011

Payables and Accruals

Accounts Payable and Accrued Liabilities Disclosure [Text Block]

9.         ACCRUED EXPENSES AND OTHER LIABILITIES

Accrued expenses and other liabilities consist of the following:

	September 30, 2011	December 31, 2010
Royalties payable	$      339,712	$        41,394
Deferred compensation	13,438	93,167
Accrued legal fees		66,251
Accrued accounting fees	84,279	54,170
Deferred Revenue	87,800	-
Other accrued liabilities	160,723	152,141
Accrued Expenses and Other Liabilities	$      685,952	$      407,123

            Deferred revenue includes 16 training days which were purchased but not conducted during the quarter ended September 30, 2011.  Deferred revenue also includes sale of five (5) Calmare devices to an international distributor initiated but not completed during the quarter ended September 30, 2011. Fifty percent (50%) of the funds for the sale were received in the quarter ended September 30, 2011, but the devices have not yet been shipped per the customer's request.