EQUIPMENT

12 Months Ended

Feb. 28, 2015

Property, Plant and Equipment [Abstract]

EQUIPMENT

Equipment consists of the following:

	Estimated Useful lives	February 28, 2015		February 28, 2014
Research equipment	7 years	$	548,991	$	165,537
Computer and software equipment	5 years		73,704		72,909
			622,695		238,446
Accumulated depreciation and amortization			(96,089)		(34,192)
Equipment, net		$	526,606	$	204,254

Depreciation of equipment utilized in research and development activities is included in research and development expenses. All other depreciation is included in general and administrative expense. Depreciation and amortization expense was $61,897 and $21,796 for the years ended February 28, 2015 and 2014, respectively.

On March 26, 2014, we entered into an agreement to finance the purchase of research equipment for a purchase price of $318,603. The terms of the agreement require a down payment of $21,115 and 36 monthly payments of $10,260. The agreement further requires a security deposit of $238,952, which will be refunded to the Company in three equal installments upon the payment of the twelfth, the twenty-fourth and the thirty-sixth monthly payments. This security deposit has been satisfied by the Company. As further security, a personal guaranty was required of our chief executive officer.

Capital lease obligation and future payments of capital lease obligations as of February 28, 2015 were as follows:

Year Ending February 28,
(In thousands)
2016	$	123,120
2017		123,120
2018		61,560
		307,800
Less: amount representing interest		38,159
Capital lease obligations		269,641
Less: current portion		99,965
Noncurrent	$	169,676