Debt

3 Months Ended

Sep. 30, 2011

Debt

Debt Disclosure [Text Block]

Note 7- Line of Credit

The Company has a line of credit with a bank with a maximum borrowing limit of $450,000. The outstanding balance was $0 and $450,000 as of September 30, 2011 and December 31, 2010.

The Company incurred interest expenses on this line of credit of $0 and $26,872 for the nine months ended September 30, 2011 and 2010, respectively.

Note 8 - Notes Payable

The Company has long term notes payable as follows:

	September30,	December 31,
	2011	2010
A note payable to a bank, due in monthly installments of $2,931, including interest at the bank’s prime plus 1.25% (4.50% as of March 31, 2010). The note matures in May 2011, and is collateralized by substantially all the assets of the Company. The note is subject to various restrictive covenants, including maintenance of financial ratios at all times.	$         -	$14,423
A note payable to a bank, due in monthly installments of $4,587, including interest at the bank’s prime plus 1.50% with minimum interest rate of 6.25% (6.25% as of March 31, 2010). The note matures in January 2012, and is collateralized by substantially all the assets of the Company.	-	82,558
Total notes payable	-	96,981
Less: Current portion	-	(65,778)
Notes payable, net of current	$            -	$31,203

Total interest expense on the notes payable were $0 and $6,742 for the nine months ended September 30, 2011and 2010, respectively.

Note 9 - Capital Lease Obligations

The Company entered into numerous capital lease agreements with leasing companies to purchase certain equipment and transportation vehicles.  As of September 30, 2011 and December 31, 2010, these assets are carried as follows: 

	September 30,	December 31,
	2011	2010
Equipment	$     -	$162,889
Transportation vehicles	-	32,800
Less: Accumulated depreciation	-	-190,340
	$    -	$5,349

LEXON TECHNOLOGIES, INC.

NOTES TO UNAUDITED FINANCIAL STATEMENTS

The related future minimum lease payments under the capital lease obligations are as follows:

	September 30,	December 31,
	2011	2010
Total minimum lease payments	$   -	$                              34,868
Less: Amount representing interest	-	(4,558)
Present value of net minimum lease payments	-	30,310
Less: Current portion	-	(20,447)
Capital lease obligations, net of current portion	$    -	$                                9,863

Total interest expenses from the capital lease obligations were $0 and $6,103 for the six months ended June 30, 2011 and 2010, respectively.