XML 17 R6.htm IDEA: XBRL DOCUMENT v3.7.0.1
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
6 Months Ended
Jun. 30, 2017
Jun. 30, 2016
CASH FLOWS FROM OPERATING ACTIVITIES:    
Net Loss $ (1,223,905) $ (1,351,752)
Adjustments to Reconcile Net loss to Net Cash Used in Operating Activities:    
Depreciation and amortization 34,781 66,888
Common stock issued for services 85,500 136,664
Common stock issued for loan guaranty 26,755 0
Gain on debt settlement (2,355) (80)
Compensation expense related to grant of stock options 78,891 61,437
Change in fair value of embedded conversion option liability (107,081) 133,678
Amortization of debt issue costs 800 55,742
Amortization of debt discount 805 0
Changes in assets and liabilities: (Increase) decrease in:    
Accounts receivable 730,749 619,131
Prepaid expenses and other current assets 6,932 (47,830)
Inventory, net (389,936) (304,894)
Costs and estimated earnings in excess of billings on uncompleted contracts 0 (46,775)
Deposits (1,810) 103,183
Increase (decrease) in:    
Accounts payable 96,190 (215,088)
Accrued expenses 172,232 89,726
Convertible note payable issued in lieu of salary - related party 60,000 0
Sales tax payable (36,134) (101,575)
Deferred revenue 14,844 (129,567)
NET CASH USED IN OPERATING ACTIVITIES (452,742) (931,112)
CASH FLOWS FROM INVESTING ACTIVITIES:    
Purchase of equipment (3,220) (68,225)
Funding of patent costs (1,837) (17,357)
NET CASH USED IN INVESTING ACTIVITIES (5,057) (85,582)
CASH FLOWS FROM FINANCING ACTIVITIES:    
Proceeds from sale of common stock 245,000 1,180,000
Payments of offering costs related to sale of common stock (3,600) (44,800)
Borrowings on line of credit 500,000 200,000
Payments of loan offering costs (9,655) 0
Repayments on convertible notes payable (6,000) (6,000)
Repayments on auto loan (4,608) (4,294)
NET CASH PROVIDED BY FINANCING ACTIVITIES 721,137 1,324,906
NET INCREASE IN CASH 263,338 308,212
CASH AT BEGINNING OF PERIOD 8,568 32,451
CASH AT END OF PERIOD 271,906 340,663
Supplemental Disclosure of Cash Flow Information:    
Cash paid for interest 30,444 22,028
Cash paid for income tax 0 0
Supplemental Disclosure of Non-Cash Investing and Financing Activities:    
Transfer of prepaid asset to inventory 21,168 31,752
Transfer of inventory to property and equipment 0 56,677
Depreciation capitalized into inventory 10,989 11,359
Prepaid insurance financed by a third party 16,335 16,881
Shares issued for debt conversion $ 704,709 $ 0