Leases	9 Months Ended
Sep. 30, 2021
Leases
Leases	Note 7 – Leases The Company leases office space under an operating lease that expired in June 2020. The lease includes an option to extend for an additional three-year term with rent adjusted to market rates. The Company did not exercise its option to extend the lease. Upon adopting ASU 2016-02 on January 1, 2019, the Company recorded a right-of-use asset and lease liability for $122,985 related to the remaining term of this operating lease. As an implicit rate was not available for the lease, the Company used our incremental borrowing rate as the discount rate to measure the operating lease liability. The incremental borrowing rate represents an estimate of the interest rate the Company would incur at lease commencement to borrow an amount equal to the lease payments on a collateralized basis over the term of the lease. The Company has determined its incremental borrowing rate as of the inception of this lease to be twenty-five percent (25%) per year. In accordance with ASC 842, Leases, the depreciation for the Company’s operating lease right-of-use asset is recorded in periodic lease expense within the Company’s general and administrative expenses in the consolidated statements of operations. The periodic lease expense recorded during the nine months ended September 30, 2021, and 2020, was $0 and $42,489, respectively. Total lease payments for the nine months ended September 30, 2021, and 2020, were $0 and $42,856, respectively. Total amortization of the operating lease right-of-use asset for the nine months ended September 30, 2021, and 2020, was $0 and $40,775, respectively. Upon expiration of the lease term in June 2020, the Company’s security deposit was applied towards the final rent payment and the lease reverted to a month-to-month basis until PVI entered into a new lease for the property in August 2020. The Company has agreed to pay a rent allocation to PVI of $1,000 per month. The Company recorded $9,000 of rent expense during the nine months ended September 30, 2021.

Leases

9 Months Ended

Sep. 30, 2021

Note 7 – Leases

The Company leases office space under an operating lease that expired in June 2020. The lease includes an option to extend for an additional three-year term with rent adjusted to market rates. The Company did not exercise its option to extend the lease. Upon adopting ASU 2016-02 on January 1, 2019, the Company recorded a right-of-use asset and lease liability for $122,985 related to the remaining term of this operating lease. As an implicit rate was not available for the lease, the Company used our incremental borrowing rate as the discount rate to measure the operating lease liability. The incremental borrowing rate represents an estimate of the interest rate the Company would incur at lease commencement to borrow an amount equal to the lease payments on a collateralized basis over the term of the lease. The Company has determined its incremental borrowing rate as of the inception of this lease to be twenty-five percent (25%) per year.

In accordance with ASC 842, Leases, the depreciation for the Company’s operating lease right-of-use asset is recorded in periodic lease expense within the Company’s general and administrative expenses in the consolidated statements of operations. The periodic lease expense recorded during the nine months ended September 30, 2021, and 2020, was $0 and $42,489, respectively. Total lease payments for the nine months ended September 30, 2021, and 2020, were $0 and $42,856, respectively. Total amortization of the operating lease right-of-use asset for the nine months ended September 30, 2021, and 2020, was $0 and $40,775, respectively.

Upon expiration of the lease term in June 2020, the Company’s security deposit was applied towards the final rent payment and the lease reverted to a month-to-month basis until PVI entered into a new lease for the property in August 2020. The Company has agreed to pay a rent allocation to PVI of $1,000 per month. The Company recorded $9,000 of rent expense during the nine months ended September 30, 2021.