Leasehold Improvements and Equipment

9 Months Ended

Sep. 28, 2013

Leasehold Improvements And Equipment

Note 5. Leasehold Improvements and Equipment

Leasehold improvements and equipment consisted of the following:

	September 28, 2013		December 29, 2012
Laboratory equipment	$	2,570,567	$	2,439,688
Leasehold improvements		491,125		403,971
Computer equipment		372,851		363,739
Furniture and fixtures		18,313		18,313
Office equipment		7,877		7,877
Construction in progress		99,931		106,080
		3,560,664		3,339,668
Less accumulated depreciation		2,590,909		2,403,242
	$	969,755	$	936,426

In September 2013, the Company decided to abandon the development of certain modules of the Laboratory Information Management System (or “LIMS”).  In an effort to automate and better track its laboratory services operations, the Company has been trying to implement LIMS since 2008.  From June 2008 through June 2012, the Company has incurred a total cost of $106,080 for the development and implementation of LIMS and this cost has been capitalized as a long term asset in the books, categorized as “Construction in progress.”  The Company did not incur additional costs since June 2012.  The Company decided to abandon certain modules of LIMS as the additional costs expected to complete the development was greater than the anticipated future benefits from the operation efficiency.  The carrying value of these abandoned modules was $68,378 and was recognized as loss from disposal of equipment in general and administrative expenses in the statement of operations for the three and nine months ended September 28, 2013.