Note 4 - Spin-Out and Discontinued Operations (Tables)

12 Months Ended

Dec. 31, 2015

Discontinued Operations and Disposal Groups [Abstract]

Results of operations associated with discontinued operations

The results of operations associated with discontinued operations were as follows:

	For the Year Ended
	December 31,			December 31,
	2015			2014
Net Sales	$	464,786		$	227,655
Cost of sales		220,228			172,966
Gross Profit		244,558			54,689
Operating Expenses:
Research and development		734,985			892,092
Selling, general and administrative		938,799			2,235,012
Total operating expenses		1,673,784			3,127,104
Operating Loss from Discontinued Operations		(1,429,226	)		(3,072,415	)
Other Expense:
Interest expense, net		(775,564	)		(381,941	)
Disposal on fixed assets		—			(5,692	)
Gain (Loss) on debt extinguishment		1,867,428			(310,096	)
Net Loss from Discontinued Operations	$	(337,362	)	$	(3,770,144	)
Other Comprehensive Gain Net of Tax:
Foreign currency translation adjustments		24,815			14,325
Comprehensive Loss from Discontinued Operations	$	(312,547	)	$	(3,755,819	)

Carrying value of the major categories of assets and liabilities of discontinued operations

The following table presents the carrying value of the major categories of assets and liabilities of discontinued operations reflected on the Company’s consolidated balance sheet as of December 31, 2014:

	2014
Cash and cash equivalents	$	14,119
Accounts receivable		3,020
Prepaid expenses and other current assets		104,592
Debt issuance costs		35,899
Property and equipment, net		19,716
Capitalized software development costs, net		774,406
Other assets		12,895
ASSETS OF DISCONTINUED OPERATIONS	$	964,647
Accounts payable	$	984,841
Accrued interest and other liabilities		300,297
Debentures carrying value		1,334,996
Convertible note payable		115,463
Deferred revenue		324,169
Convertible promissory notes		45,089
TOTAL LIABILITIES	$	3,104,855