| LEASES |
NOTE 7 LEASES
We have finance and operating
leases for our corporate office and certain office and computer equipment. Our leases have remaining lease terms of 1 to
3 years, some of which include options to extend the leases annually and some with options to terminate the leases within 1 year.
The components of lease expense
were as follows:
| |
|
|
|
|
|
|
|
| |
|
Three
Months Ended
June 30, 2019 |
|
Six
Months Ended
June 30, 2019 |
|
| |
|
|
|
|
|
|
|
| Operating lease cost |
|
$ |
37,921 |
|
$ |
73,750 |
|
| |
|
|
|
|
|
|
|
| Finance lease cost: |
|
|
|
|
|
|
|
| Amortization of right-of-use
assets |
|
$ |
1,061 |
|
$ |
2,121 |
|
| Interest on lease
liabilities |
|
|
59 |
|
|
131 |
|
| Total finance lease cost |
|
$ |
1,120 |
|
$ |
2,252 |
|
Supplemental cash flow information
related to leases was as follows:
| |
|
|
|
|
|
|
| |
Three
Months Ended
June 30, 2019 |
|
Six
Months Ended
June 30, 2019 |
|
| |
|
|
|
|
|
|
| Cash paid for amounts included in the measurement
of lease liabilities: |
|
|
|
|
|
|
| Finance cash flows
from finance leases |
$ |
1,041 |
|
$ |
2,069 |
|
| Finance lease cost: |
|
|
|
|
|
|
| Amortization of right-of-use
assets |
$ |
1,061 |
|
$ |
2,121 |
|
| Interest on lease
liabilities |
|
59 |
|
|
131 |
|
| Total finance lease cost |
$ |
1,120 |
|
$ |
2,252 |
|
Supplemental balance sheet
information related to leases was as follows:
| |
|
|
|
|
| |
|
Six
Months Ended
June 30, 2019 |
|
| Operating Leases |
|
|
|
|
| Operating lease right-of-use
assets |
|
$ |
439,782 |
|
| |
|
|
|
|
| Operating lease current
liabilities |
|
|
133,417 |
|
| Operating lease long
term liabilities |
|
|
306,365 |
|
| Total operating lease liabilities |
|
$ |
439,782 |
|
| |
|
|
|
|
| Finance Leases |
|
|
|
|
| Property and equipment,
at cost |
|
$ |
6,363 |
|
| Accumulated depreciation |
|
|
2,121 |
|
| Property and equipment,
net |
|
$ |
4,242 |
|
| |
|
|
|
|
| Finance lease current
liabilities |
|
|
4,295 |
|
| Finance lease long
term liabilities |
|
|
— |
|
| Total finance lease liabilities |
|
$ |
4,295 |
|
| |
|
|
|
| |
|
Six
Months Ended
June 30, 2019 |
|
| Weighted Average Remaining Lease Term |
|
|
|
| Operating leases |
|
3 Years |
|
| Finance leases |
|
1 Year |
|
| |
|
|
|
| Weighted Average Discount Rate |
|
|
|
| Operating leases |
|
4.75% |
|
| Finance leases |
|
4.75% |
|
Maturities of lease liabilities
are as follows:
| |
|
|
|
|
|
|
|
| Year
Ending December 31, |
|
Operating
Leases |
|
Finance
Leases |
|
| 2019 |
|
$ |
75,843 |
|
$ |
2,200 |
|
| 2020 |
|
|
151,685 |
|
|
2,206 |
|
| 2021 |
|
|
149,476 |
|
|
— |
|
| 2022 |
|
|
97,256 |
|
|
— |
|
| Total lease payments |
|
|
474,260 |
|
|
4,406 |
|
| Less
imputed interest |
|
|
(34,478 |
) |
|
(111 |
) |
| Total |
|
$ |
439,782 |
|
$ |
4,295 |
|
|