(7) Derivative Instruments: Derivative Liability Assumptions Used (Tables)

12 Months Ended

Dec. 31, 2017

Tables/Schedules

Derivative Liability Assumptions Used

The derivative liability, as it relates to the different instruments, is shown in the following table:

	Year Ended December 31, 2017
	Conversion Feature
	of
	Notes Payable
Beginning balance, January 1	$                                           -
Additional issuances	1,079,942
Exercised/converted	-
Reclassification to equity	-
Change in value of derivative liability	707,121
Ending balance, December 31	$                              1,787,063

The derivative liability was valued using the Black-Scholes method with the following inputs:

	Year Ended	Year Ended
	December 31, 2017	December 31, 2016
Expected life in years	0.4 - 0.96 years	N/A
Stock price volatility	283.6% - 343.6%	N/A
Discount rate	0.12%	N/A
Expected dividends	None	N/A
Forfeiture rate	0%	0%