Equity Method Investments (Tables)

3 Months Ended

Mar. 31, 2014

Equity Method Investments Tables

Summary Investment Holdings

Changes in Equity Method Investments
		Portables		SpreadZoom		Total
Balance December 31, 2012 (Restated)	$	11,846,018	$	11,912,956	$	23,758,974
Equity method investment loss		105,606		(377,005)		(271,399)
Increase in investment through co-borrowing on bank term note		2,500,000		-		2,500,000
Reduction in investment through repayment of line of credit		(500,000)		-		(500,000)
Reduction from repayment on bank term note		(489,310)		-		(489,310)
Gain from default of promisssry note leading for fofeiture of ownership		(2,000,000)		-		(2,000,000)
Loss on disposal		(11,462,314)		-		(11,462,314)
Balance December 31, 2013	$	-	$	11,535,951	$	11,535,951
Balance December 31, 2013	$	-	$	11,535,951	$	11,535,951
Equity method investment loss		-		(377,005)		(377,005)
Balance March 31, 2014	$	-	$	11,158,946	$	11,158,946

		March 31,		December 31,
		2014		2013
Financial Position of SpreadZoom		(Unaudited)
Current assets	$	24,227,267	$	17,811,982
Non-current assets		6,670,406		6,558,367
Total assets		30,897,673		24,370,349
Current liabilities		16,797,399		9,353,001
Non-current liabilities		-		-
Total liabilities		16,797,399		9,353,001
Net asset value	$	14,100,274	$	15,017,348
		For Three Months Ended
Results of Operations of SpreadZoom		March 31,
		2014		2013
		(Unaudited)		(Unaudited)
Net revenues	$	12,074,348	$	18,106,466
Cost of goods sold		12,276,854		17,923,971
Gross profit		(202,506)		182,495
Operating expenses		593,525		715,903
Operating loss		(796,031)		(533,408)
Other income (expenses), net		159		185
Income (loss) before taxes		(795,872)		(533,223)
less: Provision for income taxes		-		-
Net loss	$	(795,872)	$	(533,223)
Investment loss attributable to Zoom Technologies, Inc.	$	(377,005)	$	(252,588)

The Company accounted for its investment in Portables Unlimited, LLC using the equity method. The following are operating results of Portables for the three months ended March 31, 2013 (as restated).

		For Three Months Ended
Results of Operations of Portables		March 31,
		2013
		(Unaudited)
		(Restated)
Net revenues	$	7,365,230
Cost of goods sold		5,893,746
Gross profit		1,471,484
Operating expenses		1,637,860
Operating loss		(166,376)
Other income (expenses), net		(137,978)
Income (loss) before taxes		(304,354)
less: Provision for income taxes		-
Net loss	$	(304,354)