Quarterly report pursuant to Section 13 or 15(d)

3. Inventory

3. Inventory
3 Months Ended
Mar. 31, 2017
Inventory Disclosure [Abstract]  

During 2014, the Company began a strategic initiative to restructure its product sales business by phasing out the direct sale of physical products including DVDs and CDs and shifting to primarily a licensing model. In addition to nominal changes to the reserve made during the normal course of business, the Company determined that a portion of its inventory may not be saleable and recorded an additional reserve of $174,963 which was recorded as a loss on inventory. During the three months ended March 31, 2017, the Company made additions to its inventory of $16,010 to be sold beginning in the second quarter of 2017. As of both March 31, 2017, and December 31, 2016, the Company had recorded a total reserve of $26,097.