9. RELATED PARTY TRANSACTION

6 Months Ended

Jun. 30, 2016

Related Party Transactions [Abstract]

RELATED PARTY TRANSACTION

The Company periodically receives funding from officers and directors to fund operations. Jerry Wright, a director, advanced to the Company $30,000 during the year ended December 31, 2015. The Company repaid $4,500 of the advance, resulting in a related party note payable of $25,500 as of June 30, 2016 and December 31, 2015 reported in the Company’s Condensed Balance Sheets. The related party note payable bears interest at the rate of 6% per annum, and had accrued interest payable of $444 and $953 as of June 30, 2016 and December 31, 2015, respectively. The maturity date of the note has been extended to June 30, 2016.

The Company’s CEO and the bookkeeper who is the wife of the CEO provide consulting services to the Company through companies controlled by the individuals. The Company accrued $40,500 for compensation for the CEO during each of the three-month periods ended June 30, 2016 and 2015 and $81,000 during each of the six-month periods ended June 30, 2016 and 2015. Accrued compensation to the CEO totaled $390,125 and $318,125 as of June 30, 2016 and December 31, 2015, respectively.

For services provided to the Company, the bookkeeper earned $4,500 during each of the three-month periods ended June 30, 2016 and 2015 and $9,000 during each of the six-month periods ended June 30, 2016 and 2015. Accrued compensation to the bookkeeper totaled $18,000 and $12,000 as of June 30, 2016 and December 31, 2015, respectively.