LEASE LIABILITIES AND RIGHT OF USE ASSETS (Tables)

9 Months Ended

Sep. 30, 2019

LEASE LIABILITIES AND RIGHT OF USE ASSETS

Schedule of finance leased assets

	September 30,		December 31,
	2019		2018
Finance equipment lease dated April 5, 2018	$	9,076	$	13,056
Finance equipment lease dated May 8, 2018		10,076		14,525
Finance equipment lease dated June 27, 2018		15,528		21,701
Finance equipment lease dated September 18, 2018		11,290		15,368
Finance equipment lease dated September 28, 2018		12,530		16,672
Finance equipment lease dated February 20, 2019		15,665		—
Finance equipment lease dated June 4, 2019		18,761		—
Finance equipment lease dated September 30, 2019		20,695		—
Total finance lease liabilities		113,621		81,322
Less current portion		(51,735)		(30,172)
Long term portion	$	61,886	$	51,150

Schedule of finance leased assets included in property plant and equipment

The following summarizes the right to use assets under finance leases included in property and equipment:

	September 30,		December 31,
Classes of Property	2019		2018
Computer equipment	$	156,858	$	95,506
Less: accumulated depreciation		(46,706)		(16,117)
	$	110,152	$	79,389

Schedule of future minimum lease payments for capital leases

The following summarizes total future minimum finance lease payments at September 30, 2019:

Period ending December 31,
2019	$	14,839
2020		57,126
2021		41,382
2022		10,083
Total minimum lease payments		123,430
Amount representing interest		(9,809)
Present value of minimum lease payments		113,621
Current portion of finance lease obligations		51,735
Finance lease obligations, less current portion	$	61,886

Schedule of allocation of total rental payments

Operating lease liabilities at September 30, 2019 and January 1, 2019 consist of:

	September 30,		January 1,
	2019		2019
Tucson Arizona office lease	$	431,815	$	518,309
Marietta Georgia office lease		481,864		—
Atlanta Georgia office lease		—		49,959
Total operating lease liabilities		913,679		568,268
Less current portion		(204,411)		(166,252)
Long term portion	$	709,268	$	402,016

Schedule of future minimum lease payments for operating leases

The following summarizes total future minimum operating lease payments at September 30, 2019:

Period ending December 31,
2019	$	79,854
2020		267,500
2021		262,219
2022		244,245
2023		118,166
2024		80,638
Total minimum lease payments		1,052,622
Less: present value discount		(138,943)
Present value of minimum lease payments		913,679
Current portion of operating lease obligations		204,411
Operating lease obligations, less current portion	$	709,268

Schedule of lease expense

The following summarizes lease expenses for the nine months ended September 30, 2019:

Finance lease expenses:
Depreciation/amortization expense	$	34,185
Interest on lease liabilities		5,269
Finance lease expense		39,454
Operating lease expense		193,739
Short-term lease expense		66,784
Total lease expenses	$	299,977