Note 1. Organization and Basis of Presentation	9 Months Ended
Sep. 30, 2013
Notes
Note 1. Organization and Basis of Presentation	Note 1. Organization and Basis of Presentation The accompanying consolidated financial statements of N-Viro International Corporation (the “Company”) are unaudited but, in management's opinion, reflect all adjustments (including normal recurring accruals) necessary to present fairly such information for the period and at the dates indicated. The results of operations for the nine months ended September 30, 2013 may not be indicative of the results of operations for the year ending December 31, 2013. Since the accompanying consolidated financial statements have been prepared in accordance with Article 8 of Regulation S-X, they do not contain all information and footnotes normally contained in annual consolidated financial statements; accordingly, they should be read in conjunction with the consolidated financial statements and notes thereto appearing in the Company's Form 10-K for the period ending December 31, 2012. The financial statements are consolidated as of September 30, 2013, December 31, 2012 and September 30, 2012 for the Company. All intercompany transactions were eliminated. In preparing financial statements in conformity with accounting principles generally accepted in the United States of America, management makes estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. There have been no changes in the selection and application of significant accounting policies and estimates disclosed in “Item 8 – Financial Statements and Supplementary Data” of our Annual Report on Form 10-K for the year ended December 31, 2012. The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. The Company has negative working capital of approximately ($1,080,000) at September 30, 2013, and incurred negative cash flow from operating activities for the first six months of the year. In July 2013, the Company did not repay the principal portion and defaulted on its convertible debenture obligation. Moreover, the Company’s line of credit was only renewed until October and then a second time until December 2013, the borrowing limit was effectively reduced a total of $40,000 over the two renewals, and the Company has minimal borrowing availability under the line of credit. The Company has borrowed money from third parties and a related party and expects to be able to generate future cash from the exercise of common stock warrants and new equity issuances, and by focusing on existing and expected new sources of revenue, especially from our N-Viro Fuel technology. In 2012 the Company modified all outstanding common stock warrants at that time to reduce their weighted average exercise price of $2.00 per share to $1.00 per share for all warrants, and in 2013 further modified all outstanding warrants to enhance their exercisability. In addition, the Company’s operations in Florida, which now represent approximately 99% of the Company’s revenue, could be suspended temporarily or permanently by its landlord for perceived on-site issues with material storage or for other issues deemed in the best interest of the county and in conformance with the lease agreement. The Company considers its relationship with the landlord to be satisfactory overall, and is working to improve this relationship in the future. These factors raise substantial doubt as to the Company’s ability to continue as a going concern. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.

Note 1. Organization and Basis of Presentation

9 Months Ended

Sep. 30, 2013

Note 1. Organization and Basis of Presentation

Note 1. Organization and Basis of Presentation

The accompanying consolidated financial statements of N-Viro International Corporation (the “Company”) are unaudited but, in management's opinion, reflect all adjustments (including normal recurring accruals) necessary to present fairly such information for the period and at the dates indicated. The results of operations for the nine months ended September 30, 2013 may not be indicative of the results of operations for the year ending December 31, 2013. Since the accompanying consolidated financial statements have been prepared in accordance with Article 8 of Regulation S-X, they do not contain all information and footnotes normally contained in annual consolidated financial statements; accordingly, they should be read in conjunction with the consolidated financial statements and notes thereto appearing in the Company's Form 10-K for the period ending December 31, 2012.

The financial statements are consolidated as of September 30, 2013, December 31, 2012 and September 30, 2012 for the Company. All intercompany transactions were eliminated.

In preparing financial statements in conformity with accounting principles generally accepted in the United States of America, management makes estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. There have been no changes in the selection and application of significant accounting policies and estimates disclosed in “Item 8 – Financial Statements and Supplementary Data” of our Annual Report on Form 10-K for the year ended December 31, 2012.

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. The Company has negative working capital of approximately ($1,080,000) at September 30, 2013, and incurred negative cash flow from operating activities for the first six months of the year. In July 2013, the Company did not repay the principal portion and defaulted on its convertible debenture obligation. Moreover, the Company’s line of credit was only renewed until October and then a second time until December 2013, the borrowing limit was effectively reduced a total of $40,000 over the two renewals, and the Company has minimal borrowing availability under the line of credit. The Company has borrowed money from third parties and a related party and expects to be able to generate future cash from the exercise of common stock warrants and new equity issuances, and by focusing on existing and expected new sources of revenue, especially from our N-Viro Fuel technology. In 2012 the Company modified all outstanding common stock warrants at that time to reduce their weighted average exercise price of $2.00 per share to $1.00 per share for all warrants, and in 2013 further modified all outstanding warrants to enhance their exercisability. In addition, the Company’s operations in Florida, which now represent approximately 99% of the Company’s revenue, could be suspended temporarily or permanently by its landlord for perceived on-site issues with material storage or for other issues deemed in the best interest of the county and in conformance with the lease agreement. The Company considers its relationship with the landlord to be satisfactory overall, and is working to improve this relationship in the future. These factors raise substantial doubt as to the Company’s ability to continue as a going concern. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.