Property and Equipment

9 Months Ended

Sep. 30, 2015

4.	PROPERTY AND EQUIPMENT

Property and equipment is recorded at cost when acquired. Depreciation is provided principally on the straight-line method over the estimated useful lives of the related assets, which is 3-7 years for equipment, furniture and fixtures, hardware and software and leasehold improvements. During the nine months ended September 30, 2015, the Company invested $28,222 in shop machinery and equipment, $13,808 in computers and electronics, $30,908 office furniture and fixtures and additional $16,974 in leasehold improvements. Depreciation expense was $10,809 and $659 for the nine months ended September 30, 2015 and 2014, respectively. Property and equipment consists of the following at September 30, 2015 and December 31, 2014:

	September 30, 2015			December 31, 2014
Shop Machinery and equipment	$	48,176		$	19,954
Computers and electronics		25,883			12,075
Office furniture and fixtures		32,943			2,035
Leasehold improvements		16,974			–
		123,976			34,064
Less - accumulated depreciation		(17,849	)		(7,040	)
	$	106,127		$	27,024