Note 4 - Property and Equipment

12 Months Ended

Apr. 30, 2014

Notes

Note 4 - Property and Equipment

NOTE 4 - PROPERTY AND EQUIPMENT

On April 30, 2014 and 2013, property and equipment consisted of the following:

(Estimated Life)	April 30, 2014	April 30, 2013
Office Equipment (5-7 Years)	$          58,266	$          48,741
Auto and Trucks (10 Years)	929,042	907,480
Manufacturing Equipment (20 Years)	11,987,404	11,687,057
Buildings (20 Years)	10,303,529	10,192,769
Construction in Process	1,284,199	668,330
Gross Property and Equipment	24,562,440	23,504,377
Less: Accumulated Depreciation	(9,624,082)	(7,778,993)
Property and equipment, net	$  14,938,358	$  15,725,384

For fiscal 2014 and 2013, depreciation expense totaled $1,781,938 and $1,587,892, respectively. During the third quarter of fiscal 2013, the Company performed an impairment analysis of long-lived assets and decided to impair certain Qufu Shengwang’s property and equipment with a net value of $209,500. Depreciation is not taken during the period of construction or equipment installation. Upon completion of the installation of manufacturing equipment or any construction in progress, construction in progress balances will be classified to their respective property and equipment category.