NOTES PAYABLE

3 Months Ended

Mar. 31, 2020

Notes Payable [Abstract]

NOTES PAYABLE

NOTE 8 – NOTES PAYABLE

On April 24, 2019, the Company received $20,000 from an individual. The terms of this note are: a due date of October 24, 2019 and an interest rate of 11%. In addition, the individual received 100,000 shares of restricted common stock. These shares were valued at $30,000 which represents the trading price as of the date indicated and were recorded to interest expense.

On December 13, 2019, the Company negotiated a six-month extension with the lender and paid $1,100 cash for accrued interest and issued 100,000 shares of common stock as an additional inducement for the extension. The stock was valued at $0.027 per share per the loan agreement, resulting in $2,700 of interest expense based on the stock’s closing price on that date.

On April 29, 2019, the Company received $10,000 from an individual. The terms of this note are: due date October 29, 2019 and an interest rate of 11%. In addition, the individual received 50,000 shares of restricted common stock. These shares were valued at $19,000 which represents the trading price as of the date indicated and recorded to interest expense.

On December 13, 2019, the Company negotiated a six-month extension with the lender and paid $550 cash for accrued interest and issued 50,000 shares of common stock as an additional inducement for the extension. The stock was valued at $0.027 per share per the loan agreement, resulting in $1,350 of interest expense based on the stock’s closing price on that date. Principal outstanding on the first note was $20,000 at both March 31, 2020 and December 31, 2019. Principal outstanding on the second note was $10,000 at both March 31, 2020 and December 31, 2019.

ACCRUED INTEREST SUMMARY FOR NOTES PAYABLE
												Three Months ended
												March 31,		March 31,
	Begin		End		Interest					2019		2020		2020
	Date		Date		Rate			Principal		Accrual		Expense		Accrual
B Rosen		5/13/2019		5/13/2020		11	%		10,000	$	699	$	274	$	973
L Haag		5/13/2019		5/13/2020		11	%		20,000	$	1,398	$	547	$	1,945
Totals										$	2,097	$	821	$	2,918