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