7. Goodwill and Finite Lived Intangible Asset

12 Months Ended

Jun. 30, 2022

7. Goodwill and Finite Lived Intangible Asset

Goodwill and Finite Lived Intangible Asset

7. Goodwill and Finite Lived Intangible Asset

Goodwill represents the excess of the purchase price over the fair value of the net assets acquired in connection with the Company’s acquisitions. Goodwill amounted to $4,395,400 as of June 30, 2022 and 2021, respectively, all of which is expected to be deductible for tax purposes.

The components of finite lived intangible assets are as follows:

	Useful Lives	Cost		Accumulated Amortization		Net
As of June 30, 2022
Technology, trademarks	3-10 yrs.	$	1,278,900	$	653,400	$	625,500
Trade names	3-6 yrs.		592,300		228,200		364,100
Websites	3-7 yrs.		210,000		210,000		-
Customer relationships	4-10 yrs.		372,200		143,300		228,900
Sublicense agreements	10 yrs.		294,000		294,000		-
Non-compete agreements	4-5 yrs.		1,060,500		504,200		556,300
Patents	5-7 yrs.		594,300		289,300		305,000
		$	4,402,200	$	2,322,400	$	2,079,800

As of June 30, 2021	Useful Lives	Cost		Accumulated Amortization		Net
Technology, trademarks	3-10 yrs.	$	1,216,800	$	497,000	$	719,800
Trade names	3-6 yrs.		592,300		152,600		439,700
Websites	3-7 yrs.		210,000		210,000		-
Customer relationships	4-10 yrs.		372,200		102,400		269,800
Sublicense agreements	10 yrs.		294,000		283,000		11,000
Non-compete agreements	4-5 yrs.		1,060,500		308,600		751,900
Patents	5-7 yrs.		591,500		225,900		365,600
		$	4,337,300	$	1,779,500	$	2,557,800

Total amortization expense was $542,900 and $146,900 for the years ending June 30, 2022 and 2021, respectively.

Estimated future amortization expense of intangible assets as of June 30, 2022 is as follows:

Year Ended June 30,
2023	$	535,900
2024		520,800
2025		485,300
2026		284,400
2027		136,800
Thereafter		116,600
Total	$	2,079,800