XML 57 R20.htm IDEA: XBRL DOCUMENT v2.4.0.6
14. COMMITMENTS
12 Months Ended
Dec. 31, 2012
Commitments and Contingencies Disclosure [Abstract]  
14. COMMITMENTS

NOTE 14 - COMMITMENTS

 

Software Development Agreement

 

In August 2010, the Company entered into a software development agreement with Qualzoom, Inc. to help design and program the Company’s mobile phone technology.  The agreement calls for three payments of $65,000 to be made based on Qualzoom reaching certain milestones outlined in the agreement.  Through December 31, 2011, the Company had incurred $200,000 of software development costs with Qualzoom in connection with designing and establishing technological feasibility as well as programming costs for its mobile phone technology. The Company expensed $65,000 of the costs incurred to reach technological feasibility and capitalized $65,000 of costs incurred after technological feasibility was obtained in 2010.  During 2011, the Company recorded an additional $70,000 of development costs for services provided by Qualzoom. The Company did not incur any costs with Qualzoom during the year ended December 31, 2012.

 

Consulting Agreements

 

In the second half of 2011, the Company entered into numerous short term consulting agreements.  The agreements are for various services comprising technical and supervisory services for the development of its mobile applications, general business, marketing and financial services, and management consulting, shareholder information and public relations services.  All of the contracts expire by the end of January 2012.  The agreements call for payments to be made on a monthly or hourly basis ranging from $1,000 to $10,000 per month.  Certain agreements have performance bonuses compensated with stock options upon successful completion of specific milestones.