Property and Equipment

3 Months Ended

Mar. 31, 2012

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment Disclosure [Text Block]

4. Property and Equipment

Major classes of property and equipment consisted of the following:

	MARCH 31,			DECEMBER 31,
	2012			2011
Land and building	$	677,054		$	677,054
Computer hardware and software		1,646,984			1,419,711
Furniture and fixtures		208,491			202,591
Leasehold improvements		220,760			220,760
Automobile		2,401			-
Gross property and equipment		2,755,690			2,520,116
Less: accumulated depreciation and amortization		(1,274,879	)		(1,183,982	)
Property and equipment, net	$	1,480,811		$	1,336,134

For the three months ended March 31, 2012 and 2011, property and equipment depreciation expense recorded was approximately $90,897 and $78,854. There were no material sales or disposals of property and equipment.

Included property and equipment are certain equipment purchases acquired under capital lease arrangements. For the three months ended March 31, 2012, the Company entered into capital lease arrangements for computer server replacement with a present value of approximately $180,000. For the three months ended March 31, 2011, the Company did not enter into any capital lease arrangements. For the three months ended March 31, 2012 and 2011 depreciation expense for leased equipment was approximately $12,700 and $11,300, respectively.

Total capitalized cost of equipment under capital leases at March 31, 2012 and December 31, 2011 was approximately $610,600 and $432,000, respectively. Accumulated depreciation for leased equipment at March 31, 2012 and December 31, 2011 was approximately $426,900 and $414,200, respectively. Total net book value of assets under capital leases at March 31, 2012 and December 31, 2011 was approximately $183,700 and $17,800, respectively.