7.	Property and Equipment

Major classes of property and equipment consisted of the following as of the periods presented below:

	MARCH 31,		DECEMBER 31,
	2018		2017
	(Unaudited)
Computer hardware and software	$	1,975,966	$	1,943,180
Furniture and fixtures		300,174		296,316
Leasehold improvements		267,116		260,748
Automobile		195,951		188,238
Gross property and equipment		2,739,207		2,688,482

Less: accumulated depreciation and amortization		1,526,044		1,370,062

Property and equipment, net	$	1,213,163	$	1,318,420

During the three month period ended March 31, 2018 there were disposals of fully depreciated owned property and equipment with related cost and accumulated depreciation of approximately $129,600. During the three month period ended March 31, 2017 there were material disposals of fully depreciated owned property and equipment of approximately $31,500.

There were no changes in the estimated useful lives used to depreciate property and equipment during the three month periods ended March 31, 2018 and 2017.

Assets under capital lease included in the table above consisted of the following as of the periods presented below:

	MARCH 31,		DECEMBER 31,
	2018		2017
	(Unaudited)
Automobiles	$	105,231	$	100,882
Computer hardware and software		290,223		290,223
Gross leased property and equipment	$	395,454	$	391,105
Less: accumulated amortization		52,088		20,890

Capital lease assets, net	$	343,366	$	370,215

During the three month period ended March 31, 2018, the Company did not enter into any capital lease arrangements and there were no material sales or disposals of assets under capital leases. During the three month period ended March 31, 2017, the Company acquired two automobiles under capital lease arrangements and recognized a gross asset of $93,301 (€87,300). For the three month period ended March 31, 2017, the Company disposed of two leased automobiles with a net book value of $47,800 (€44,900) and received gross proceeds of approximately $51,800 (€48,700). The Company recognized a net gain on disposal of approximately $4,100 (€3,800).

Property and equipment depreciation expense (including amortization of capital leases) was approximately as follows for the periods presented below:

	THREE MONTHS ENDED
	MARCH 31,
	2018		2017
	(Unaudited)
Property and equipment depreciation expense	$	131,100	$	83,800

Capital lease amortization (included in property and equipment depreciation expense)	$	30,347	$	-