XML 50 R11.htm IDEA: XBRL DOCUMENT

Inventory

6 Months Ended

Jun. 30, 2012

NOTE 4 – Inventory

The Company produced its first water purification unit in March, 2010. This unit was deployed in Switzerland for the product launch which took place on April 22, 2010.

Inventories are stated at the lower of cost (first-in, first-out) or market value. The Company’s policy is to regularly assesses slow-moving, excess and obsolete inventory and establish a reserve against any amounts determined to have such characteristics.

In June 2012, the Company wrote down to market value the cost of its water purification unit held in inventory to $188,442 to reflect the expected sales price of this unit based on reduced costs of components, currency fluctuations, market interest, competitive products currently on the market and other factors.

The following table presents the net book value of inventory on-hand as of June 30, 2012 and December 31, 2011:

	Inventory at		Inventory at
	June 30, 2012		December 31, 2011
Raw Materials	$	-	$	-
Work-in-process		-		-
Finished Goods		188,442		544,436

Total Inventory	$	188,442	$	544,436

- Definition

The entire disclosure for inventory. This may include, but is not limited to, the basis of stating inventory, the method of determining inventory cost, the major classes of inventory, and the nature of the cost elements included in inventory. If inventory is stated above cost, accrued net losses on firm purchase commitments for inventory and losses resulting from valuing inventory at the lower-of-cost-or-market may also be included. For LIFO inventory, may disclose the amount and basis for determining the excess of replacement or current cost over stated LIFO value and the effects of a LIFO quantities liquidation that impacts net income.

+ References+ Details