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OPERATING LEASES
12 Months Ended
Sep. 30, 2011
Leases  
Operating Leases of Lessee Disclosure [Table Text Block]

NOTE 7 - OPERATING LEASES

 

The Company leases two pieces of property to use as storage lots. One is leased under a seven-year agreement beginning March 1, 2007, for $4,802 based on the Consumer Price Index.

 

The second lot is located in Oceano, California and is leased at $2,933 per month. The lease has converted to a month-to-month lease; however, the lessor is considering a long-term renewal at this time.

 

The Company has a five-year lease obligation for a copier. Rental expense under this operating lease is $432 per month.

 

Future minimum lease payments under the second property lease and the obligation to lease equipment are as follows:

Year Ended September 30,

 

2012

$  61,512

2013

    57,624

2014

    24,010

2015

         -     

2016

         -     

Thereafter

         -     

 

$ 143,146

 

Rent expense under these agreements was $94,610 and $94,558 for the years ended September 30, 2011 and 2010, respectively.