XML 26 R13.htm IDEA: XBRL DOCUMENT v3.19.3.a.u2
Software Costs
9 Months Ended
Sep. 30, 2019
Software Costs [Abstract]  
SOFTWARE COSTS

NOTE 7 – SOFTWARE COSTS

  

In January 2018, MassRoots entered into a Master Services Agreement with MEV, LLC ("MEV") pursuant to which MEV will assist with the development and servicing of the Company's technology platform, including its mobile applications, business portal and WeedPass. MassRoots has capitalized the billable costs of engineers that were devoted to building the system and developing additional features that enhanced its ability to generate revenue. MassRoots did not capitalize any costs associated with maintenance, user-testing, analysis and planning of the system. The Company has been amortizing these capitalized costs using a straight-line methodology over five years, since July 5, 2018.

  

During fiscal year 2018, MassRoots paid MEV $521,839 with respect to the development and maintenance of its platform, of which MassRoots has capitalized $260,565 in development costs.

 

During the three months ended September 30, 2019 and 2018, MassRoots incurred amortization of software costs of $12,849 and $108,182, respectively. During the same period, MassRoots incurred impairment of software costs of $196,315 and $0, respectively.

 

During the nine months ended September 30, 2019 and 2018, MassRoots incurred amortization of software costs of $38,549 and $315,229, respectively. During the same period, MassRoots incurred impairment of software costs of $196,315 and $0, respectively.