Intangible Assets

9 Months Ended

Sep. 30, 2012

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets

Note 3. Intangible Assets

The following is a summary of intangible assets which consists of licenses and patents:

	Weighted Average Amortization Period (years)		Cost		Accumulated Amortization		Net Book Value
September 30, 2012
Licenses		8.0	$	462,234	$	245,154	$	217,080
Patents		2.9		1,893,185		1,198,272		694,913
Total		3.9	$	2,355,419	$	1,443,426	$	911,993
December 31, 2011
Licenses		8.7	$	462,234	$	224,708	$	237,526
Patents		3.3		1,893,185		1,051,145		842,040
Total		4.4	$	2,355,419	$	1,275,853	$	1,079,566

Amortization expense was $62,384 and $57,734 for the three months ended September 30, 2012 and 2011, respectively and $167,573 and $159,578 for the nine months ended September 30, 2012 and 2011, respectively.

Based on the balance of licenses and patents at September 30, 2012, the expected annual amortization expense for each of the succeeding five years is estimated to be as follows:

	Amortization Expense
2012	$	223,200
2013	$	223,200
2014	$	221,900
2015	$	174,000
2016	$	61,800

License fees and royalty payments are expensed annually if incurred, as the Company does not attribute any future benefits other than within that period.