Note 2 - Summary of Significant Accounting Policies: Warrants Policy (Policies)

12 Months Ended

Dec. 31, 2012

Policies

Warrants Policy

Warrants - The Company accounts for common stock purchase warrants in accordance with ASC 815, “Accounting for Derivative Instruments and Hedging Activities”. As is consistent with its handling of stock compensation and embedded deriviativederivative instruments, the Company’s cost for stock options is estimated at the grant date based on each option's fair-value as calculated by the Black-Scholes-Merton (“BSM”) option-pricing model value method for valuing the impact of the expense associated with these warrants. Amortization expense for the years ended December 31, 2012 and 2011 was approximately $667,127 and $800,904, respectively.