Annual report pursuant to Section 13 and 15(d)

7. Goodwill and Intangible Assets, Net (Details - Intangibles)

v3.3.1.900
7. Goodwill and Intangible Assets, Net (Details - Intangibles) - USD ($)
 12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Less Accumulated Amortization [1] $ (197,521) $ (3,320,522)
Net Intangible Assets 1,918,206 1,876,438
Amortization expense 69,453 59,269
Identifiable artistic-related assets    
Intangible assets [2] 1,740,000 1,740,000
Trademarks [Member]    
Intangible assets [3] 129,831 129,831
Product Masters    
Intangible assets 64,676 3,257,129
Other Intangible Assets    
Intangible assets $ 181,220 $ 70,000
[1] During the year ended December 31, 2015 and 2014, the Company recognized $69,453 and $59,269, respectively, in amortization expense related to these intangible assets.
[2] In association with the Merger, the Company acquired $1,740,000 in 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. During the year ended December 31, 2015 and 2014, the Company did not recognize any impairment expense related to these assets.
[3] 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. At December 31, 2015, it was determined that certain "Other Intangible Assets" totaling $3,192,453 in gross asset value, with accumulated amortization of $3,192,453, were to be retired. As these "Other Intangible Assets" were fully depreciated, there was no associated loss on disposition of assets