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CONDENSED STATEMENTS OF CASH FLOWS (USD $)
9 Months Ended
Sep. 30, 2011
Sep. 30, 2010
Cash flows from operating activities:  
Net loss$ (3,695,699)$ (3,505,904)
Adjustments to reconcile net loss to net cash used in operating activities  
Depreciation55,32671,529
Amortization of debt discount937,33343,822
Loss on disposal of property and equipment55,1220
Fair value of common stock, options and warrants issued for services rendered1,069,4771,943,064
Non cash interest expense relating to convertible debt314,709185,228
Loss (gain) on change in fair value of derivative liability126,787(102,639)
(Increase) decrease in:  
Accounts receivable65,032(349,389)
Inventory136,93322,489
Prepaid expenses and other(8,513)(48,832)
Increase (decrease) in:  
Accounts payable9,399315,070
Payroll liabilities(18,759)(5,072)
Deferred revenue41,447(153,686)
Billings in excess of revenue0147,368
Net cash provided by (used in) operating activities(911,407)(1,436,952)
Cash flows from investing activities:  
Purchase of equipment(9,694)(5,569)
Net cash used in investing activities(9,694)(5,569)
Cash flows from financing activities:  
Payments of related party loans(154,459)0
Proceeds from issuance of put agreements140,829300,000
Proceeds from exercise of options and warrants200220,625
Proceeds from issuance of convertible notes855,000500,000
Net cash provided by financing activities841,5701,020,625
(Decrease) increase in cash and cash equivalents(79,531)(421,896)
Cash and cash equivalents, beginning of period182,046534,425
Cash and cash equivalents, end of period102,515112,529
Supplemental disclosures of cash flow information:  
Interest1,1981,198
Taxes00
Non cash financing activities:  
Common stock issued in settlement of convertible notes$ 1,602,226$ 0