Intangible Assets

3 Months Ended

Sep. 30, 2011

Intangible Assets

Note 5 — Intangible Assets

Intangible assets consist of the following at September 30, 2011 and June 30, 2011:

	September 30, 2011			June 30, 2011
Customer lists	$	803,751		$	775,915
Covenant not to compete		574,324			574,324
Intellectual property licenses		1,175,119			1,175,119
Accumulated amortization		(858,554	)		(641,698	)
	$	1,694,640		$	1,883,660

Customer lists are amortized using an accelerated method that management presently estimates matches the utilization of those lists over an estimated useful life of 2 years.  The covenant not to compete is amortized over 2 years.

The Company has purchased licenses to use certain intellectual property, including computer software. These licenses are depreciated using the straight-line method over their estimated useful lives of 7 years.