Quarterly report pursuant to Section 13 or 15(d)

7. Goodwill and Intangible Assets, Net

v3.20.2
7. Goodwill and Intangible Assets, Net
9 Months Ended
Sep. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets, Net

Note 7: Goodwill and Intangible Assets, Net

 

Goodwill

 

In 2013, the Company recognized $10,365,806 in Goodwill, representing the excess of the fair value of the consideration for the merger over net identifiable assets acquired. Pursuant to FASB ASC 350-20, Goodwill is not subject to amortization but is subject to annual review to determine if certain events warrant impairment to the Goodwill asset. Through September 30, 2020, the Company has not recognized any impairment to Goodwill.

 

Intangible Assets, Net

 

The Company had the following intangible assets as of September 30, 2020 and December 31, 2019:

 

   

September 30,

2020

   

December 31,

2019

 
Trademarks (a)   $ 129,831     $ 129,831  
Other Intangible Assets (a)     295,028       272,528  
Intangible Assets, Gross     424,859       402,359  
Less Accumulated Amortization (b)     (385,427 )     (350,776 )
Intangible Assets, Net   $ 39,432     $ 51,583  

 

  (a) Pursuant to FASB ASC 350-30-35, the Company reviews these intangible assets periodically to determine if the value should be retired or impaired due to recent events. Through September 30, 2019, the Company has not recognized any impairment expense related to these assets.
  (b) During the three months ended September 30, 2020 and September 30, 2019, the Company recognized $13,013 and $9,456, respectively, in amortization expense related to the Trademarks, Product Masters, and Other Intangible Assets. During the nine months ended September 30, 2020 and September 30, 2019, the Company recognized $34,651 and $28,949, respectively, in amortization expense related to the Trademarks, Product Masters, and Other Intangible Assets.

  

Expected future intangible asset amortization as of September 30, 2020 is as follows:

 

  2020       12,624  
  2021       11,692  
  2022       9,195  
  2023       5,187  
  2024       734  
  Total     $ 39,432