Property and Equipment

9 Months Ended

Sep. 30, 2018

Property, Plant and Equipment [Abstract]

PROPERTY AND EQUIPMENT

Note 4. PROPERTY AND EQUIPMENT

The components of property and equipment at September 30, 2018 and December 31, 2017 consisted of the following:

	September 30,			December 31,
	2018			2017
	(unaudited)
Land	$	300,000		$	300,000
Buildings and Improvements		1,650,000			1,650,000		31.5 years
Machinery and Equipment		11,590,000			11,554,000		5 - 8 years
Capital Lease Machinery and Equipment		6,534,000			6,534,000		5 - 8 years
Tools and Instruments		9,124,000			8,538,000		1.5 - 7 years
Automotive Equipment		172,000			172,000		5 years
Furniture and Fixtures		316,000			311,000		5 - 8 years
Leasehold Improvements		528,000			528,000		Term of Lease
Computers and Software		409,000			406,000		4 - 6 years
Total Property and Equipment		30,623,000			29,993,000
Less: Accumulated Depreciation		(21,985,000	)		(19,943,000	)
Property and Equipment, net	$	8,638,000		$	10,050,000

Depreciation expense for the three months ended September 30, 2018 and 2017 was $681,000 and $575,000, respectively. Depreciation expense for the nine months ended September 30, 2018 and 2017 was $2,042,000 and $1,938,000, respectively.

Assets held under capitalized lease obligations are depreciated over the shorter of their related lease terms or their estimated productive lives. Depreciation of assets under capital leases is included in depreciation expense for 2018 and 2017. Accumulated depreciation on these assets was approximately $4,576,000 and $3,595,000 as of September 30, 2018 and December 31, 2017, respectively.