6. Balance Sheet Components

Inventory

Inventory at December 31, 2019 and 2018 consisted of the following:


	December 31,
	2019		2018
Raw Material	$	457,345	$	197,359
Work in Process		1,210,616		2,672,264
Finished Goods		460,725		472,554
Inventory	$	2,128,686	$	3,342,177

Property and Equipment

Property and equipment at December 31, 2019 and 2018 consisted of the following:


	December 31,
	2019		2018
Land	$	396,247	$	396,247
Lab equipment		410,522		410,522
Clinical equipment		64,870		64,870
Software		62,637		62,637
Total property and equipment at cost		934,276		934,276
Accumulated depreciation		(224,069)		(173,659)
Property and equipment, net	$	710,207	$	760,617

Depreciation and amortization expense was $50,410 and $60,886 in the years ended December 31, 2019 and 2018, respectively.

Goodwill

The change in the carrying amount of goodwill for the year ended December 31, 2019 and 2018 was as follows:



	December 31,
	2019		2018
Beginning balance	$	—	$	5,210,821
Impairment		—		(5,210,821)
Ending balance	$	—	$	—

Goodwill represents the excess of the purchase price over the fair value of the net tangible and intangible assets acquired. Concurrent with the Napo Merger in July 2017, the Company recorded goodwill of $22.0 million, which was allocated to the Human Health segment. At December 31, 2018, the Company determined that the entire remaining balance of goodwill was impaired and recorded an impairment loss of $5.2 million in the consolidated statement of operations.

Intangible assets, net

Intangible assets, net of amortization at December 31, 2019 and 2018 consist of the following:


	December 31,
	2019		2018
Developed technology	$	25,000,000	$	25,000,000
Accumulated developed technology amortization		(4,027,778)		(2,361,111)
Developed technology, net		20,972,222		22,638,889
In-process research and development		8,800,000		8,800,000
Impairment		(4,000,000)		—
In process research and development, net		4,800,000		8,800,000
Trademarks		300,000		300,000
Accumulated trademark amortization		(48,333)		(28,333)
Trademarks, net		251,667		271,667
Total intangible assets, net	$	26,023,889	$	31,710,556

In June 2019, the Company determined that in-process research and development was impaired and recorded an impairment loss of $4,000,000 in the consolidated statements of operations. Amortization expense of finite-lived intangibles was $1,686,667 and $1,686,657 for the years ended December 31, 2019 and 2018, respectively.

The following table summarizes the Company’s estimated future amortization expense of intangible assets with finite lives as of December 31, 2019:


	Amounts
2020	$	1,686,667
2021		1,686,667
2022		1,686,667
2023		1,686,667
2024		1,686,667
Thereafter		12,790,554
	$	21,223,889

Accrued Liabilities

Accrued liabilities at December 31, 2019 and 2018 consist of the following:


	December 31,
	2019		2018
Accrued vacation	$	272,822	$	287,326
Accrued payroll and commission		111,087		298,960
Accrued payroll tax		52,228		57,306
Accrued interest		356,778		917,482
Accrued consulting		257,492		368,862
Accrued contract manufacturing costs		386,591		106,607
Accrued legal costs		291,508		731,190
Accrued audit and tax services		188,967		96,150
Accrued other		1,004,782		2,075,558
Total	$	2,922,255	$	4,939,441