Intangible Assets

9 Months Ended

Jun. 30, 2018

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets Disclosure [Text Block]

Note 5 – Intangible Assets

Intangible assets at June 30, 2018 and September 30, 2017 consist of the following:

	Useful	Gross		Accumulated
June 30, 2018	Life (years)	Amount		Amortization		Net
Acquired Customer Base	5 to 15	$	722,000	$	588,000	$	134,000
Know How	15		512,000		341,000		171,000
Trade Names	Indefinite		274,000		-		274,000
Patents	20		397,000		17,000		380,000
Biomedical Technologies	5		260,000		260,000		-
		$	2,165,000	$	1,206,000	$	959,000
	Useful		Gross		Accumulated
September 30, 2017	Life (years)		Amount		Amortization		Net
Acquired Customer Base	5 to 15	$	737,000	$	551,000	$	186,000
Know How	15		512,000		316,000		196,000
Trade Names	Indefinite		281,000		-		281,000
Patents	20		333,000		9,000		324,000
Biomedical Technologies	5		260,000		260,000		-
		$	2,123,000	$	1,136,000	$	987,000

Amortization expense for the three months ended June 30, 2018 and 2017 was $28,000 and $24,000, respectively. Amortization expense for the nine months ended June 30, 2018 and 2017 was $84,000 and $75,000, respectively.

Estimated amortization expense for each of the next five fiscal years and thereafter is as follows:

	2018 (3 months)		2019		2020		2021		2022		Thereafter		Total
Acquired Customer Base	$	20,000	$	80,000	$	34,000	$	-	$	-	$	-	$	134,000
Know How		9,000		34,000		34,000		34,000		34,000		26,000		171,000
Patents		3,000		11,000		11,000		11,000		11,000		162,000		209,000
	$	32,000	$	125,000	$	79,000	$	45,000	$	45,000	$	188,000	$	514,000

As of June 30, 2018, Xcede had $171,000 in patents that have not yet been granted, therefore, the amortization related to these patents is not included in the five-year amortization table above.

The Company continually assesses whether events or changes in circumstances have occurred that may warrant revision of the estimated useful lives of its long-lived assets or whether the remaining balances of those assets should be evaluated for possible impairment. There were no changes, aside from foreign exchange rate fluctuations, in the carrying value of long-lived assets, during the nine months ended June 30, 2018 and 2017.