Intangible Assets and Goodwill

3 Months Ended

Mar. 31, 2019

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets and Goodwill

Note 5: Intangible Assets and Goodwill 

Intangible assets at March 31, 2019 and December 31, 2018 are summarized in the tables below: 

March 31, 2019	Gross  Carrying  Value		Accumulated  Amortization			Net Carrying  Amount
Definite-lived Intangible assets, estimated lives in years:
Patents, Taper DPI Intellectual Property, 10 years	$	9,708,700	$	(5,097,068	)	$	4,611,632
Transition Services Agreement, 1 year		194,200		(194,200	)		—
FDA 503B Registration & Compliance - USC, 10 years		3,963,000		(1,176,791	)		2,786,209
Non-compete Agreement - USC, 3 years		1,639,000		(1,622,304	)		16,696
Customer Relationships - USC, 10 years		5,572,000		(1,654,574	)		3,917,426
Website Design - USC, 3 years		16,163		(11,226	)		4,937
Total Definite-lived Assets		21,093,063		(9,756,163	)		11,336,900
Trade Name and Brand - USC, Indefinite		1,245,000		—			1,245,000
Symjepi™ Domain Name		9,674		—			9,674
Balance, March 31, 2019	$	22,347,737	$	(9,756,163	)	$	12,591,574

December 31, 2018	Gross Carrying Value		Accumulated Amortization			Net Carrying Amount
Definite-lived Intangible assets, estimated lives in years:
Patents, Taper DPI Intellectual Property, 10 years	$	9,708,700	$	(4,854,350	)	$	4,854,350
Transition Services Agreement, 1 year		194,200		(194,200	)		—
FDA 503B Registration & Compliance - USC, 10 years		3,963,000		(1,077,716	)		2,885,284
Non-compete Agreement - USC, 3 years		1,639,000		(1,485,721	)		153,279
Customer Relationships - USC, 10 years		5,572,000		(1,515,274	)		4,056,726
Website Design- USC, 3 years		16,163		(9,880	)		6,283
Total Definite-lived Assets		21,093,063		(9,137,141	)		11,955,922
Trade Name and Brand - USC, Indefinite		1,245,000		—			1,245,000
Symjepi™ Domain Name		9,674		—			9,674
Balance, December 31, 2018	$	22,347,737	$	(9,137,141	)	$	13,210,596

Amortization expense for the three months ended March 31, 2019 and 2018 was approximately $619,000. 

Estimated amortization expense of definite-lived intangible assets at March 31, 2019 for each of the five succeeding years and thereafter is as follows:  

Year ending December 31,
2019	$	1,464,014
2020		1,925,266
2021		1,924,370
2022		1,924,370
2023		1,924,370
Thereafter		2,174,510
Total	$	11,336,900

 Goodwill recorded related to the acquisition of USC in 2016 was approximately $7,641,000. Goodwill is calculated as the excess of the consideration transferred over the net assets recognized and represents the future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill is not amortized but rather evaluated for impairment annually or more frequently, if indicators of impairment exist. If the impairment evaluations for goodwill indicate the carrying amount exceeds the estimated fair value, an impairment loss is recognized in an amount equal to that excess. The carrying value of the Company's goodwill as of March 31, 2019 and December 31, 2018 was approximately $7,641,000.