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Asset Purchase Agreement
6 Months Ended
Feb. 29, 2020
Offsetting [Abstract]  
ASSET PURCHASE AGREEMENT

2. ASSET PURCHASE AGREEMENT

 

On February 21, 2017, the Company purchased all right, title, interest and goodwill in or associated with certain domain names set forth in an asset purchase agreement for a total of $20,185 in cash and 200,000 shares of the Company's common stock valued at $30,000. For the three and six months ended February 29, 2020 amortization expense amounted to $861 and $1,697, respectively. For the three and six months ended February 28, 2019 amortization expense amounted to $837 and $1,672, respectively. The domain names are being amortized over a 15 year period. During the three and six months ended February 29, 2020, the Company recorded an impairment expense of $289 for expired domain names.

 

On December 24, 2019, the Company repaid a note holder $120,000, and transferred certain URLs valued at $5,282 to the holder. (See note 3.)