Annual report pursuant to section 13 and 15(d)

4. Notes Payable (Tables)

v2.4.0.6
4. Notes Payable (Tables)
 12 Months Ended
Dec. 31, 2012
Notes to Financial Statements  
Black-Scholes valuation for the warrants
Risk-free interest rate     0.73%  
Expected life in years     5  
Dividend yield     0  
Expected volatility     63.65%  
Black-Scholes valuation for Debt Discount of debenture
Risk-free interest rate     0.31%  
Expected life in years     2  
Dividend yield     0  
Expected volatility     60.01%  
Long term notes payable and accrued interest
    2012     2011  
Debenture - $1,000,000 16% senior secured convertible   $ 1,000,000     $ –  
Debt Discount     (485,147 )     –  
Total Notes Payable     514,853       –  
Less:  Current Portion     –       –  
Long Term Portion   $ 514,853     $ –  
                 
Accrued Interest                
Debenture - $1,000,000 16% senior secured convertible Issued June 27,2012   $ 26,667     $ –  
Debenture - $2,500,000 Terminated June 2009     19,049       19,049  
Accrued Interest - Current Portion   $ 45,716     $ 19,049  
Maturities of long-term debt
2013   $ 250,000  
2014     750,000  
2015     –  
2016     –  
2017     –  
Total   $ 1,000,000