Prepaid Land Use Rights, net

3 Months Ended

Dec. 31, 2016

Prepaid Land Use Rights, net [Text Block]

9. Prepaid Land Use Rights, net

Prepaid land use rights as of September 30, 2016 and December 31, 2016 consisted of the followings:

		September 30,			December 31,
		2016			2016
Prepaid land use rights	$	8,420,911		$	8,089,516
Accumulated amortization		(364,906	)		(390,993	)
	$	8,056,005		$	7,698,523
Less: Classified as current assets		(168,418	)		(161,790	)
	$	7,887,587		$	7,536,733

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 $7,641,799 (RMB53.1 million). Other incidental costs incurred totaled $447,718 (RMB3.1 million).

Amortization expenses of the prepaid land use rights were $43,955 and $41,110 for the three months ended December 31, 2015 and 2016, respectively.