9. INTANGIBLE ASSETS

3 Months Ended

Mar. 31, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

INTANGIBLE ASSETS

Intangible assets as of March 31, 2015 consisted of the following: 

Estimated Useful Lives	Cost		Accumulated Amortization			Net Book Value
5 years	$	366,000	$	(134,200	)	$	231,800
5 years		230,000		(138,285	)		91,715
5 years		215,000		(215,000	)		-
5 years		60,000		(60,000	)		-
		3,600		-			3,600
	$	874,600	$	(547,485	)	$	327,115

Total amortization expense was $26,637 for the three months ended March 31, 2015 and 2014.

The fair value of the assets acquired detailed above, estimated by using a discounted cash flow approach based on future economic benefits associated with agreements with customers, or through expected continued business activities with its customers. In summary, the estimate was based on a projected income approach and related discounted cash flows over five years, with applicable risk factors assigned to assumptions in the forecasted results.