Financial Tables
Balance Sheet top
 
   
September 30,
  
December 31,
  
   
2008
  
2007
  
ASSETS
              
CURRENT ASSETS
              
Cash and cash equivalents
  
$
1,952,734
  
$
5,424,486
  
Accounts receivable
    
174,437
    
118,471
  
Inventories
    
606,789
    
172,548
  
Deposits
    
114,510
    
553,483
  
Prepaid income taxes
    
6,600
    
56,863
  
Income tax receivable
    
251,261
    
249,541
  
Prepaid expenses and other current assets
    
200,848
    
94,783
  
Total current assets
    
3,307,179
    
6,670,175
  
PROPERTY AND EQUIPMENT, NET
    
271,908
    
257,797
  
               
OTHER ASSETS
              
Intangible assets, net
    
291,816
    
328,290
  
TOTAL ASSETS
  
$
3,870,903
  
$
7,256,262
  
               
LIABILITIES AND STOCKHOLDERS' EQUITY
              
CURRENT LIABILITIES
              
Accounts payable
  
$
321,950
  
$
152,729
  
Accrued employee compensation
    
371,052
    
377,190
  
Accrued professional fees and other expenses
    
177,274
    
186,840
  
Income taxes payable
    
3,082
    
4,519
  
Deferred revenue
    
22,685
    
15,075
  
Total current liabilities
    
896,043
    
736,353
  
LONG TERM LIABILITIES
              
Deferred revenue
    
10,650
    
6,767
  
TOTAL LIABILITIES
    
906,693
    
743,120
  
COMMITMENTS AND CONTINGENCIES (Note 5)
              
               
STOCKHOLDERS' EQUITY
              
Preferred stock; 1,000,000 shares authorized; 0 outstanding
    
-
    
-
  
Common stock, $.01 par value; 20,000,000 shares authorized; 2,195,283 shares issued and outstanding on September 30, 2008 and 2,192,175 shares issued and outstanding on December 31, 2007
    
21,953
    
21,922
  
Additional paid-in capital
    
6,745,614
    
6,284,616
  
Retained (deficit) earnings
    
(3,803,357
)
  
206,604
  
Total stockholders' equity
    
2,964,210
    
6,513,142
  
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY
  
$
3,870,903
  
$
7,256,262
  
Cash Flow Statement top
 
   
For the Nine Months Ended
September 30,
  
   
2008
  
2007
  
CASH FLOWS FROM OPERATING ACTIVITIES:
              
Net loss
  
$
(4,009,961
)
$
(183,145
)
Less gain on sale of discontinued operations
    
-
    
(1,155,973
)
Loss from continuing operations
  
$
(4,009,961
)
$
(1,339,118
)
               
Adjustments to reconcile net loss to net cash used in operating activities:
              
Depreciation and amortization
    
154,320
    
130,436
  
Stock-based compensation expense
    
451,279
    
252,469
  
Realized gain on sale of marketable securities
    
-
    
(2,028,720
)
               
Changes in operating assets and liabilities:
              
Accounts receivable
    
(55,966
)
  
(37,647
)
Inventories
    
(434,241
)
  
(218,451
)
Deposits
    
438,973
    
(354,203
)
Accounts payable
    
169,221
    
86,570
  
Accrued employee compensation
    
(6,138
)
  
38,220
  
Deferred revenue and other accrued expenses
    
1,927
    
(18,026
)
Prepaid expenses and other current assets and other current liabilities
    
(58,959
)
  
465,221
  
Net cash used in operating activities from continuing operations
    
(3,349,545
)
  
(3,023,249
)
               
CASH FLOWS FROM INVESTING ACTIVITIES:
              
Additions to property and equipment
    
(131,957
)
  
(120,039
)
Proceeds from sale of marketable securities
    
-
    
2,033,397
  
Net cash (used in) provided by investing activities from continuing operations
    
(131,957
)
  
1,913,358
  
               
CASH FLOWS FROM FINANCING ACTIVITIES:
              
Proceeds from the issuance of common stock
    
9,750
    
-
  
Net cash provided by financing activities from continuing operations
    
9,750
    
-
  
               
CASH FLOWS FROM DISCONTINUED OPERATIONS:
              
Cash flows from investing activities
    
-
    
1,780,071
  
Net cash provided by discontinued operations
    
-
    
1,780,071
  
               
CHANGE IN CASH AND CASH EQUIVALENTS:
    
(3,471,752
)
  
670,180
  
Cash and cash equivalents, beginning of period
    
5,424,486
    
5,335,282
  
Cash and cash equivalents, end of period
  
$
1,952,734
  
$
6,005,462