NOTE 6 - RIGHT-OF-USE ASSETS AND LEASE LIABILITIES (Tables)

6 Months Ended

Jun. 30, 2019

Commitments and Contingencies Disclosure [Abstract]

Lessee, Operating Lease, Disclosure [Table Text Block]

The Company entered into a lease agreement to lease its retail space in Tennessee in October 2017 with a lease term of 24 months. The lease contains a renewal option to extend the term for two additional years. The Company does not plan on renewing the lease when it expires. Rent for the first twelve months was $2,500 per month and $2,550 for the next twelve months. In applying ASC 842, the Company uses a lease term of 24 months and an incremental borrowing rate of 5.99% which was the borrowing rate on a finance lease (discussed below).

Right of use (ROU) asset - operating lease obtained in exchange for lease liability - operating lease
	$	29,355
Lease liability - operating lease on adoption date	$	29,655
Payments on lease liability - operating lease		(14,612	)
Lease liability - operating lease on June 30, 2019	$	15,043
This entire lease liability matures prior to December 31, 2019.
Operating lease expense for the three months ended June 30, 2019	$	7,575
Operating lease expense for the six months ended June 30, 2019	$	15,450
Weighted average remaining lease term	6 months
Weighted average discount rate		5.99	%

Lessee, Finance Lease, Disclosure [Table Text Block]

ROU asset - finance lease - land	$	37,530
ROU asset - finance lease - improvement		148,788
ROU asset - finance lease obtained in exchange for lease liability - finance lease		186,318
Cumulative effect adjustment to ROU asset - finance lease on adoption date		(8,679	)
Amortization of ROU asset - finance lease		(7,440	)
ROU asset - finance lease at June 30, 2019	$	170,199
Lease liability - finance lease on adoption date	$	186,318
Cumulative effect adjustment to ROU lease liability - finance lease on adoption date		(4,277	)
Payments on lease liability - finance lease		(4,266	)
Lease liability - finance lease on June 30, 2019	$	177,775

Finance Lease, Liability, Maturity [Table Text Block]

Interest expense related to lease liability - finance lease was $2,633 and $5,256 for the three and six months ended June 30, 2019, respectively.

Amounts of lease liability - finance lease matures over the next five years:
Twelve Months Ended June 30,
2020	$	8,738
2021		9,261
2022		9,816
2023		10,404
2024 and thereafter		139,557
	$	177,776
Variable lease expense was $11,513 and $19,233, for the three and six months ended June 30, 2019, respectively.
Weighted average remaining lease term	14 years
Weighted average discount rate		5.99	%