Quarterly report pursuant to Section 13 or 15(d)

6. Goodwill and Intangible Assets, Net (Tables)

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6. Goodwill and Intangible Assets, Net (Tables)
9 Months Ended
Sep. 30, 2016
Goodwill And Intangible Assets Net Tables  
Schedule of Intangible Assets
    9/30/2016     12/31/2015  
Identifiable Artistic-Related Assets (a)   $ 1,740,000     $ 1,740,000  
Trademarks (b)     129,831       129,831  
Product Masters (b)     64,676       64,676  
Other Intangible Assets (b)     185,019       181,220  
Intangible Assets, Gross     2,119,526       2,115,727  
Less Accumulated Amortization (c)     (255,284 )     (197,521 )
Intangible Assets, Net   $ 1,864,242     $ 1,918,206  

  

  (a) In association with the Merger, the Company acquired $1,740,000 of Identifiable Artistic-Related Assets. These assets, related to certain properties owned by A Squared and assumed by the Company, were valued using an independent firm during the fourth quarter of 2013. Based on certain legal, regulatory, contractual, and economic factors, the Company has deemed these assets to be indefinite-lived. Hence, pursuant to ASC 350-30, these assets are not subject to amortization and are tested annually for impairment. Through September 30, 2016, the Company has not recognized any impairment expense related to these assets.
  (b) Pursuant to 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. During the three and nine months ended September 30, 2016 and 2015, the Company did not recognize any impairment of these assets.
  (c) During the three months ended September 30, 2016 and 2015, the Company recognized $19,448 and $19,999, respectively, in amortization expense related to the Trademarks, Product Masters, and Other Intangible Assets. During the nine months ended September 30, 2016 and 2015, the Company recognized $57,763 and $50,322, respectively, in amortization expense related to the Trademarks, Product Masters, and Other Intangible Assets.

 

Expected Future Ingtangible Asset Amortization
Fiscal Year:      
2016   $ 18,593  
2017     55,520  
2018     26,119  
2019     9,236  
2020     8,655  
Remaining     6,119  
Total   $ 124,242