Intangibles and Goodwill

12 Months Ended

Dec. 31, 2023

Intangibles and Goodwill

Intangibles and Goodwill

2. Intangibles and Goodwill

The Company considers all intangibles to be definite-lived assets with lives of 5 to 10 years. Intangibles consisted of the following at December 31, 2022 and 2021:

	December 31,			December 31,
	2023			2022
CBDS.com website (Cannabis Sativa)	$	13,999		$	13,999
Intellectual Property Rights (PrestoCorp)		240,000			240,000
Patents and Trademarks (KPAL)		1,281,411			1,281,411
Total Intangibles		1,535,410			1,535,410
Less: Accumulated Amortization		(1,528,151	)		(1,376,467	)
Net Intangible Assets	$	7,259		$	158,943

Amortization expense for each of the years ended December 31, 2023 and 2022 was $151,684 and $161,863, respectively.

Amortization of intangibles through 2028 is: 

January 1, 2024 to December 31, 2024	$	3,056
January 1, 2025 to December 31, 2025		932
January 1, 2026 to December 31, 2026		932
January 1, 2027 to December 31, 2027		932
January 1, 2028 to December 31, 2028		478

Goodwill in the amount of $3,010,202 was recorded as part of the acquisition of PrestoCorp that occurred on August 1, 2017. Cumulative impairment of the PrestoCorp goodwill totals $1,234,391 and $1,173,000 as of December 31, 2023 and 2022. The balance of goodwill at December 31, 2023 and 2022 was $1,775,811 and $1,837,202. Goodwill was impaired due to the analysis of PrestoCorp utilizing the discounted cash flow method which supported a present value of $1,775,811. However, since the estimated enterprise value of PrestoCorp is less that the carrying value of the assets, $61,391 of impairment write down was required.