Disaggregation of Revenue

9 Months Ended

Sep. 30, 2022

Disaggregation of Revenue

Disaggregation of Revenue

Note 3.Disaggregation of Revenue

Disaggregation of revenue

In the following table, revenue is disaggregated by major products/service lines, and timing of revenue recognition:

	For the Three Months Ended				For the Nine Months Ended
	September 30,				September 30,
	2022		2021		2022		2021
Major products/service lines
Licensing fees - royalty revenue	$	73,500	$	62,000	$	561,000	$	182,001
Total Revenue	$	73,500	$	62,000	$	561,000	$	182,001
Timing of revenue recognition
Products transferred at a point in time	$	—	$	—	$	—	$	—
Products and services transferred over time		73,500		62,000		561,000		182,001
	$	73,500	$	62,000	$	561,000	$	182,001

Contract balances

The following table provides information about receivables, assets and liabilities from contracts with customers:

	September 30,		December 31,
	2022		2021
Assets
Trade receivables, net	$	7,499	$	140,000
Liabilities
Contract liabilities	$	452,000	$	351,000

	September 30,		December 31,
	2022		2021
Contract liabilities
Opening	$	351,000	$	235,000
Additions		450,000		116,000
Transfer to revenue		(349,000)		—
Ending	$	452,000	$	351,000

Contract receivables are recorded at the invoiced amount and do not bear interest. Credit is extended based on the evaluation of a customer’s financial condition and collateral is not required.

The contract liabilities primarily relate to amounts billed in advance of performance obligations being satisfied are booked as deferred revenue.