Inventories

9 Months Ended

Sep. 30, 2019

Inventory Disclosure [Abstract]

INVENTORIES

4. INVENTORIES

Inventories are stated at the net realizable value, using the first-in first-out method. Cost includes materials, labor and manufacturing overhead related to the purchase and production of inventories. We regularly review inventory quantities on hand, future purchase commitments with our supplies, and the estimated utility of our inventory. If the review indicates a reduction in utility below carrying value, we reduce our inventory to a new cost basis through a charge to cost of goods sold. At September 30, 2019, the increase in inventory is primarily related to WASP and WASP Lite systems in production pursuant to announced orders. Inventory consists of the following at September 30, 2019 and December 31, 2018: 

	September 30, 2019			December 31, 2018
Raw Materials	$	565,749		$	136,555
Work in progress		273,337			180,041
Finished Goods		517,521			523,698
In transit		2,409			-
Less valuation allowance		(532,369	)		(532,369	)
Total	$	826,647		$	307,925