Note 3 - Capital Lease Obligations

3 Months Ended

Mar. 31, 2016

Debt and Capital Leases Disclosures [Text Block]

3. CAPITAL LEASE OBLIGATIONS

We lease certain telecommunication equipment under a capital lease agreement. The asset subject to the agreement totaled $227,783, of which $22,152 is included in Property and Equipment at March 31, 2016 and December 31, 2015 and $205,631 is included in Prepaid Equipment (not placed in service) as of March 31, 2016 and December 31, 2015. Accumulated depreciation on the assets placed in service was $1,055 and $264 at March 31, 2016 and December 31, 2015, respectively. Amortization of the capitalized cost is charged to depreciation expense.

At March 31, 2016 and December 31, 2015, the amounts outstanding under capital lease obligation consisted of the following:

	2016		2015
Capital Lease secured by certain telecommunication equipment – total annual principal payments of $72,686, 1.8% interest, maturing January 2018	$	149,251	$	156,271
Less amount representing interest		3,877		4,189
Total obligation under capital lease		145,374		152,082
Less - Current maturities		72,686		72,686
	$	72,688	$	79,396