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Cost of Goods Sold, Related Party
9 Months Ended
Sep. 30, 2015
Related Party Transactions [Abstract]  
Cost of Goods Sold, Related Party

NOTE 4 – COST OF GOODS SOLD, RELATED PARTY

 

At the acquisition of QMI on January 1, 2014, there was $1,273,292 of related party prepaid expenses for business related insurance policies QMI previously maintained insurance policies with an insurance company for which the stockholders also own. The Company deemed this to be a related party and the insurance expenses paid during 2013, which was for 2014 coverage while not a cash expense for 2014, was taken as an expense from January 2014 through November 2014. The amount of expense was $1,273,292 in prepaid expenses for insurance coverage, paid in 2013, for 2014 coverage. As of January 1, 2014, the Company did not renew any of these policies now that they have expired.

 

For the nine months ended September 30, 2014, the Company recorded $1,041,784 of expense related to this, as opposed to $0 recorded during the nine months ended September 30, 2015.