Prepaid Land Use Rights, net

3 Months Ended

Dec. 31, 2015

Prepaid Land Use Rights, net [Text Block]

9. Prepaid Land Use Rights, net

Prepaid land use rights as of September 30 and December 31, 2015 consisted of the followings:

		September 30,			December 31,
		2015			2015
Prepaid land use rights	$	8,838,220		$	8,649,351
Accumulated amortization		(206,225	)		(245,065	)
	$	8,631,995		$	8,404,286
Less: Classified as current assets		(176,764	)		(172,987	)
	$	8,455,231		$	8,231,299

Pursuant to a land use rights acquisition agreement dated August 10, 2014, the Company acquired the rights to use a piece of land with an area of 153,832 m ² in Dalian Economic Zone for 50 years up to August 9, 2064, at a total consideration of $8,170,000 (RMB53.1 million). Other incidental costs incurred totaled $477,000 (RMB3.1 million).

Amortization expenses of prepaid land use rights were $68,529 and $43,955 for the three months ended December 31, 2014 and 2015.