Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Feb. 14, 2020 | Jun. 30, 2019 | |
Details | |||
Registrant CIK | 0000752294 | ||
Fiscal Year End | --12-31 | ||
Registrant Name | ELECTRONIC SYSTEMS TECHNOLOGY INC | ||
SEC Form | 10-K | ||
Period End date | Dec. 31, 2019 | ||
Trading Symbol | ELST | ||
Trading Exchange | NONE | ||
Tax Identification Number (TIN) | 91-1238077 | ||
Number of common stock shares outstanding | 4,946,502 | ||
Public Float | $ 1,266,127 | ||
Filer Category | Non-accelerated Filer | ||
Current with reporting | Yes | ||
Interactive Data Current | Yes | ||
Voluntary filer | No | ||
Well-known Seasoned Issuer | No | ||
Shell Company | false | ||
Small Business | true | ||
Emerging Growth Company | false | ||
Entity File Number | 000-27793 | ||
Entity Address, Address Line One | 415 N. Quay St., Bldg B1 | ||
Entity Address, City or Town | Kennewick | ||
Entity Address, State or Province | WA | ||
Entity Incorporation, State or Country Code | WA | ||
Entity Address, Postal Zip Code | 99336 | ||
City Area Code | 509 | ||
Local Phone Number | 735-9092 | ||
Title of 12(g) Security | Common | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Document Annual Report | true | ||
Document Transition Report | false |
Electronic Systems Technology,
Electronic Systems Technology, Inc. Balance Sheets - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 | |
CURRENT ASSETS | |||
Cash and cash equivalents | $ 274,936 | $ 323,667 | |
Certificates of deposit | 650,000 | 900,000 | |
Accounts receivable, net | 76,959 | 57,156 | |
Inventories | 822,819 | 714,995 | |
Prepaid expenses | 20,910 | 21,353 | |
Accrued interest receivable | 6,540 | 13,300 | |
Total current assets | 1,852,164 | 2,030,471 | |
Property and equipment, net of depreciation | 12,398 | 20,368 | |
Right to use - Lease, net of amortization | 39,641 | 0 | |
TOTAL ASSETS | 1,904,203 | 2,050,839 | |
CURRENT LIABILITIES | |||
Accounts payable | 101,548 | 71,257 | |
Refundable deposits | 2,070 | 10,310 | |
Accrued wages and bonus | 0 | 2,138 | |
Lease liability, current portion | 39,641 | [1] | 0 |
Accrued vacation pay | 11,165 | 11,449 | |
Other accrued liabilities | 2,485 | 2,514 | |
Total current liabilities | 156,909 | 97,668 | |
Total liabilities | 156,909 | 97,668 | |
STOCKHOLDERS' EQUITY | |||
Additional paid-in capital | 929,159 | 944,040 | |
Retained earnings | 813,188 | 1,004,145 | |
TOTAL STOCKHOLDERS' EQUITY | 1,747,294 | 1,953,171 | |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 1,904,203 | $ 2,050,839 | |
[1] | BS1 |
Electronic Systems Technology_2
Electronic Systems Technology, Inc. Balance Sheets - Parenthetical - $ / shares | Dec. 31, 2019 | Dec. 31, 2018 |
Details | ||
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Common Stock, Shares Authorized | 50,000,000 | 50,000,000 |
Common Stock, Shares, Issued | 4,946,502 | 4,985,748 |
Common Stock, Shares, Outstanding | 4,946,502 | 4,985,748 |
ELECTRONIC SYSTEMS TECHNOLOGY_3
ELECTRONIC SYSTEMS TECHNOLOGY, INC STATEMENTS OF OPERATIONS - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Details | ||
Sales, net | $ 1,408,548 | $ 1,395,030 |
Cost of sales | 664,265 | 675,598 |
Gross profit | 744,283 | 719,432 |
Operating loss | 957,438 | 853,628 |
Operating loss | (213,155) | (134,196) |
Other income | ||
Interest income | 22,198 | 18,097 |
Total other income | 22,198 | 18,097 |
Net loss before income tax | (190,957) | (116,099) |
INCOME TAX PROVISION (BENEFIT) | 0 | 0 |
Net loss | $ (190,957) | $ (116,099) |
LOSS PER SHARE, BASIC AND DILUTED | $ (0.04) | $ (0.02) |
WEIGHTED AVERAGE SHARES OUTSTANDING, BASIC AND DILUTED | 4,948,658 | 4,986,005 |
ELECTRONIC SYSTEMS TECHNOLOGY_4
ELECTRONIC SYSTEMS TECHNOLOGY, INC. STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) | Common Stock | Additional Paid-in Capital | Retained Earnings | Total |
Equity balance at Dec. 31, 2017 | $ 4,986 | $ 944,161 | $ 1,120,244 | $ 2,069,391 |
Shares outstanding at Dec. 31, 2017 | 4,986,048 | |||
Net loss | $ 0 | 0 | (116,099) | $ (116,099) |
Stock repurchased | (300) | 300 | ||
Stock repurchased | $ 0 | (121) | 0 | $ (121) |
Shares outstanding at Dec. 31, 2018 | 4,985,748 | |||
Equity balance at Dec. 31, 2018 | $ 4,986 | 944,040 | 1,004,145 | 1,953,171 |
Net loss | $ 0 | 0 | (190,957) | $ (190,957) |
Stock repurchased | (39,246) | 39,246 | ||
Stock repurchased | $ (39) | (14,881) | 0 | $ (14,920) |
Shares outstanding at Dec. 31, 2019 | 4,946,502 | |||
Equity balance at Dec. 31, 2019 | $ 4,947 | $ 929,159 | $ 813,188 | $ 1,747,294 |
ELECTRONIC SYSTEMS TECHNOLOGY_5
ELECTRONIC SYSTEMS TECHNOLOGY, INC. STATEMENTS OF CASH FLOWS - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities | ||
Net loss | $ (190,957) | $ (116,099) |
Noncash items included in net loss | ||
Depreciation | 7,970 | 11,076 |
Write off of uncollectible account receivable | 75,035 | 0 |
Changes in operating assets and liabilities | ||
Accounts receivable, net | (94,838) | 41,785 |
Inventories | (107,824) | 47,522 |
Prepaid expenses | 443 | (13,313) |
Accrued interest receivable | 6,760 | (8,163) |
Accounts payable | 30,291 | 52,288 |
Accrued wages and bonus, vacation and other accrued liabilities | (2,451) | (5,781) |
Refundable deposits | (8,240) | 6,373 |
Net Cash provided (used) by Operating Activities | (283,811) | 15,688 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchase of certificates of deposit | (1,850,000) | (900,000) |
Proceeds from maturities of certificates of deposit | 2,100,000 | 1,000,000 |
Net Cash provided by Investing Activities | 250,000 | 100,000 |
CASH FLOWS USED IN FINANCING ACTIVITIES: | ||
Repurchase of shares of common stock | (14,920) | (121) |
Net Cash used by Financing Activities | (14,920) | (121) |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | (48,731) | 115,567 |
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR | 323,667 | 208,100 |
CASH AND CASH EQUIVALENTS AT END OF YEAR | $ 274,936 | $ 323,667 |
1. Organization and Summary of
1. Organization and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Notes | |
1. Organization and Summary of Significant Accounting Policies | 1. Organization and Summary of Significant Accounting Policies Business Organization The Company was incorporated under the laws of the State of Washington on February 10, 1984, primarily to develop, produce, sell and distribute wireless modems that will allow communication between peripherals via radio frequency waves. Effective September 13, 2007, the Company announced their establishment of a doing business as or dba structure, based on the Companys registered trade name of ESTeem® Wireless Modems. Accounting Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses. Estimates used in the accompanying financial statements include the allowance for doubtful accounts receivable, inventory obsolescence, useful lives of depreciable assets, share-based compensation, and deferred income taxes. Actual results could differ from those estimates. Concentrations and Credit Risks The Company places its cash with three major financial institutions. During the period, the Company had cash balances that were in excess of federally insured limits. The Company purchases certain key components necessary for the production of its products from a limited number of suppliers. The components provided by the suppliers could be replaced or substituted by other products. It is possible that if this action became necessary, an interruption of production and/or material cost expenditures could take place. Revenue Recognition The Company accounts for revenue in accordance with Accounting Standards Codification (ASC) Topic 606: Revenue from Contracts with Customers. Under Topic 606, a performance obligation is a promise in a contract with a customer to transfer a distinct good or service to the customer. Our contracts with customers contain a single performance obligation. A contract's transaction price is recognized as revenue when, or as, the performance obligation is satisfied. The Company considers the contractual consideration payable by the customer when determining the transaction price of each contract. Revenue is recorded net of charges for certain sales incentives and discounts, and applicable state and local sales taxes, which represent components of the transaction price. Charges are estimated by us upon shipment of the product based on contractual terms, and actual charges typically do not vary materially from our estimates. Shipping estimates are determined by utilizing shipping costs provided by the various service providers websites based on number of packages, weight and destination. Shipping costs are included in the cost of goods sold as the revenue is captured in total sales. The Company receives payments from customers based on the terms established in our contracts. When amounts are billed and collected before the services are performed, they are included in deferred revenues. The Company does not generally sell its products with the right of return. Therefore, returns are accounted for when they occur and are accepted. Products sold to foreign customers are shipped after payment is received in U.S. funds, unless an established distributor relationship exists, or the customer is a foreign branch of a U.S. company. Performance obligations for product sales are satisfied as of a point in time. Revenue is recognized when control of the product transfers to the customer, generally upon product shipment. Performance obligations for site support and engineering services are satisfied over-time if the customer receives the benefits as we perform work and we have a contractual right to payment. Revenue recognized on an over-time basis is based on costs incurred to date relative to milestones and total estimated costs at completion to measure progress. The Company warrants its products as free of manufacturing defects and provides a refund of the purchase price, repair or replacement of the product for a period of one year from the date of installation by the first user/customer. No allowance for estimated warranty repairs or product returns has been recorded due to Financial Instruments The Companys financial instruments are cash, money market funds, and certificates of deposit. The recorded values of cash, money market funds and certificates of deposit approximate their fair values based on their short-term nature. Cash and Cash Equivalents Cash and cash equivalents consist primarily of cash and money market funds purchased with original maturities of three months or less. Allowance for Uncollectible Accounts The Company uses the allowance method to account for estimated uncollectible accounts receivable. Accounts receivable are presented net of an allowance for doubtful accounts. As of December 31, 2019, and 2018, the Companys estimate of doubtful accounts was zero. The Companys policy for writing off past due accounts receivable is based on the amount, time past due, and responses received from the subject customer. Inventories Inventories are stated at lower of direct cost or market. Cost is determined on an average cost basis that approximates the first-in, first-out (FIFO) method. Market is determined based on net realizable value and consideration is given to obsolescence. Reclassifications Certain prior year amounts have been reclassified for consistency with the current period presentation. These reclassifications had no effect on the reported statement of operations. Property and Equipment Property and equipment is carried at cost. Major betterments are capitalized and de minimis purchases are expensed. Depreciation is computed using the straight-line method over the estimated useful lives of the assets. The useful life of property and equipment for purposes of computing depreciation is three to seven years. When the Company sells or otherwise disposes of property and equipment a gain or loss is recorded in the statement of operations. The cost of improvements that extend the life of property and equipment is capitalized. The Company periodically reviews its long-lived assets for impairment and, upon indication that the carrying value of such assets may not be recoverable, recognizes an impairment loss by a charge against current operations. Certificates of Deposit Certificates of deposit with original maturities ranging from one month to twelve months were $650,000 and $900,000 at December 31, 2019 and 2018, respectively. Software Costs Software purchased and used by the Company is capitalized as property and equipment based on its cost, and amortized over its useful life, usually not exceeding five years. The Company capitalizes the costs of creating a software product to be sold, leased or otherwise marketed, for which technological feasibility has been established. Amortization of the software product, on a product-by-product basis, begins on the date the product is available for distribution to customers and continues over the estimated revenue-producing life, not to exceed five years. Income Taxes The provision (benefit) for income taxes is computed on the pretax income (loss) based on the current tax law. Deferred income taxes are recognized for the tax consequences in future years of differences between the tax basis of assets and liabilities and their financial reporting amounts at each year-end based on enacted tax laws and statutory tax rates. The Company evaluates positive and negative information when estimating the valuation allowance for deferred tax assets. For tax positions that meet the more likely than not recognition threshold a deferred tax asset is recognized. Research and Development Research and development costs are recognized as operating expenses when incurred. Research and development expenditures for new product development and improvements of existing products by the Company for 2019 and 2018 were $210,679 and $179,413, respectively. Advertising Costs Costs incurred for producing and communicating advertising are recognized as operating expenses when incurred. Advertising costs for the years ended December 31, 2019 and 2018 were $6,735 and $9,403, respectively. Earnings Per Share The Company is required to have dual presentation of basic earnings per share (EPS) and diluted EPS. Basic EPS is computed as net income (loss) divided by the weighted average number of common shares outstanding for the period. Diluted EPS is calculated based on the weighted average number of common shares outstanding during the period plus the effect of potentially dilutive common stock equivalents. Potentially dilutive common stock equivalents consist of 120,000 and 120,000 stock options outstanding as of December 31, 2019 and 2018, respectively. As of December 31, 2019 and 2018, the potentially dilutive stock options were not included in the calculation of the diluted weighted average number of shares outstanding or diluted EPS as their effect would have been anti-dilutive. Share-Based Compensation Share-based payments to employees, including grants of employee stock options, are measured at fair value and expensed in the statement of operations over the vesting period. In addition to the recognition of expense in the financial statements, any excess tax benefits received upon exercise of options will be presented as a financing activity inflow rather than an adjustment of operating activity in the statement of cash flows. Fair Value Measurements The Company discloses the following information for each class of assets and liabilities that are measured at fair value: 1. the fair value measurement; 2. the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets or liabilities (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3); 3. the amount of the total gains or losses for the period included in earnings that are attributable to the change in unrealized gains or losses relating to those assets and liabilities still held at the reporting date and a description of where those unrealized gains or losses are reported in the statement of operations; and 4. in annual periods only, the valuation technique(s) used to measure fair value and a discussion of changes in valuation techniques, if any, during the period. At December 31, 2019 and 2018, the Company has no assets or liabilities subject to fair value measurements on a recurring basis. New Accounting Pronouncements Accounting Standards Updates Adopted In February 2016, the FASB issued ASU No. 2016-02 Leases (Topic 842). The update modified the classification criteria and requires lessees to recognize the assets and liabilities on the balance sheet for most leases. The update was effective for fiscal years beginning after December 15, 2018, with early adoption permitted. The Company adopted the guidance effective January 1, 2019 and recognized a liability and right-of-use asset of $91,637 as of that date for the Companys office lease. The Company elected the transition option to apply the new guidance as of that effective date without adjusting comparative periods presented. In the adoption of ASU No. 2016-02, the Company elected to not assess leases with terms less than twelve months in length. See Note 8 for information about the lease. Accounting Standards Updates to Become Effective in Future Periods In August 2018, the FASB issued ASU No. 2018-13 Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement. The update removes, modifies and makes additions to the disclosure requirements on fair value measurements. The update is effective for fiscal years beginning after December 15, 2019, with early adoption permitted. The Company is currently evaluating the impact of this update on fair value measurement disclosures. |
Note 2 - Inventories
Note 2 - Inventories | 12 Months Ended |
Dec. 31, 2019 | |
Notes | |
Note 2 - Inventories | 2. Inventories Inventories consist of the following: 2019 2018 Parts $ 116,843 $ 133,809 Work in progress 379,987 243,081 Finished goods 325,989 338,105 $ 822,819 $ 714,995 Included in the above amounts are reserves for obsolete inventories of $7,798 and $6,457 at December 31, 2019 and 2018, respectively. |
3. Property and Equipment
3. Property and Equipment | 12 Months Ended |
Dec. 31, 2019 | |
Notes | |
3. Property and Equipment | 3. Property and Equipment Property and equipment consist of the following: 2019 2018 Laboratory equipment $ 531,999 $ 580,452 Software purchased 35,028 35,028 Furniture and fixtures 16,312 16,310 Dies and molds 73,607 130,176 656,946 761,966 Accumulated depreciation and amortization (644,548) (741,598) $ 12,398 $ 20,368 |
4. Income Taxes
4. Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Notes | |
4. Income Taxes | 4. Income Taxes For the year ended December 31, 2019 and 2018, the Company did not have an income tax benefit nor provision because of continuing losses. The components of net deferred tax assets are as follows: December 31, 2019 2018 Deferred tax assets: Net operating loss carryforwards $ 214,200 $ 175,000 Accrued liabilities 2,400 2,400 Inventories 15,600 16,400 Other 300 1,400 Federal income tax credits 66,000 66,000 Total deferred tax assets 298,500 261,200 Deferred tax liability: Property and equipment (2,000) - Deferred tax assets, net 296,500 261,200 Less valuation allowance (296,500) (261,200) Total deferred tax assets, net $ - $ - Realization of the deferred tax asset is dependent on generating sufficient taxable income prior to expiration of the loss carryforwards and the income tax carryforwards. Management determined that it does not believe it is more likely than not that all of the net deferred tax assets will be realized. Therefore, a valuation allowance has been recorded for the full net deferred tax asset at December 31, 2019 and 2018. At December 31, 2019, the Company had approximately $66,000 of research and development income tax credits available to reduce federal income taxes in future periods. The credits expire from 2033-2037. In addition, at December 31, 2019, the Company had approximately $1,000,000 of net operating loss carryforwards, $750,000 of which will expire between 2034 and 2037. The remaining balance of $250,000 will never expire but whose utilization is limited to 80% of taxable income in any future year. The differences between the provision (benefit) for federal income taxes and federal income taxes computed using the U.S. statutory federal income tax rate of 21% were as follows: 2019 2018 Amount computed using the statutory rate $ (40,101) $ (24,381) Non-deductible items 444 3,981 Change in estimates 4,357 - Change in valuation allowance 35,300 20,400 Provision (benefit) for federal income taxes $ - $ - Should the Company have future accrued interest expense and penalties related to uncertain income tax positions, they will recognize those expenses in income tax expense. The Company files federal income tax returns in the United States only. The Company is no longer subject to federal income tax examination by tax authorities for years before 2016. The Company has evaluated all tax positions for open years and has concluded that they have no material unrecognized tax benefits or penalties. |
5. Profit Sharing Salary Deferr
5. Profit Sharing Salary Deferral 401-k Plan | 12 Months Ended |
Dec. 31, 2019 | |
Notes | |
5. Profit Sharing Salary Deferral 401-k Plan | The Company sponsors a Profit-Sharing Plan and Salary Deferral 401-K Plan and Trust. All employees over the age of twenty-one are eligible. On January 1, 2006, the Company adopted a four percent salary matching provision. The Company contributed $15,854 and $15,742 to the plan for the years ended December 31, 2019 and 2018, respectively. |
6. Employee Bonus Program
6. Employee Bonus Program | 12 Months Ended |
Dec. 31, 2019 | |
Notes | |
6. Employee Bonus Program | 6. Employee Bonus Program The Board of Directors establishes Sales and Net Income thresholds at the start of each year that are used in calculating the amount of bonuses that may be awarded. If these thresholds are not achieved, there will be no bonus issued. There was no accrual or expense recorded for 2019 or 2018. |
7. Share-based Compensation
7. Share-based Compensation | 12 Months Ended |
Dec. 31, 2019 | |
Notes | |
7. Share-based Compensation | 7. Share-Based Compensation The Company grants stock options to individual employees and directors with three years continuous tenure. After termination of employment, stock options may be exercised within ninety days, after which they are subject to forfeiture. There were no option grants during 2019 and 2018. In the years ended December 31, 2019 and 2018, the Company recognized $0 and $0 respectively, in share-based compensation expense. No non-vested share-based compensation arrangements existed as of December 31, 2019 and 2018. A summary of option activity follows: Number Outstanding Weighted Average Exercise Price Per Option Weighted Average Remaining Contractual Term (Years) Balance at December 31, 2017 150,000 $ 0.40 2.6 Granted - - Expired/Forfeited (30,000) 0.40 Balance at December 31, 2018 120,000 0.40 1.6 Granted - - Expired/Forfeited - - Balance at December 31, 2019 120,000 $ 0.40 0.6 Outstanding and Exercisable at December 31, 2019 120,000 $ 0.40 0.6 The aggregate intrinsic value of the options outstanding and exercisable at December 31, 2019 was $1,200. |
8. Leases
8. Leases | 12 Months Ended |
Dec. 31, 2019 | |
Notes | |
8. Leases | 8. Leases In February 2016, the FASB issued ASU No. 2016-02 Leases (Topic 842). The update modifies the classification criteria and requires lessees to recognize the assets and liabilities on the balance sheet for most leases. The update is effective for fiscal years beginning after December 15, 2018, with early adoption permitted. The Company implemented this standard effective January 1, 2019. Upon implementation of the new guidance, the Company recognized a liability and right-of-use asset of $91,637 as of January 1, 2019 for its one operating lease. To calculate the liability and right of use asset, the Company utilized a 4.0% incremental borrowing rate to discount the future rent payments and remaining lease term on the date of adoption of 1.75 years. The Company leases its facilities from a port authority for approximately $5,500 per month expiring in September 2020, with annual increases based upon the Consumer Price Index. The original lease was effective October 1, 2014 and contained a three-year renewal option and a provision for an annual increase of 2% per year, plus Leasehold Tax of 12.84%. On September 5, 2017, the Company exercised the three-year option. The first year of this option was not subject to the 2% increase. The current lease does not contain the option to extend the lease. However, the Company believes that a new lease agreement will be signed prior to the expiration of the current lease. At December 31, 2019, the remaining lease term is nine months. As of December 31, 2019, total future lease payments are as follows: For the 12 months ended December 31, 2020 $ 44,981 Less imputed interest (5,340) Net lease liability- current $ 39,641 For the years ended December 31, 2019 and 2018, costs relating to the operating lease were recognized in the statement of operations as follows: 2019 2018 Cost of sales Operating expenses Total Cost of sales Operating expenses Total Base rent pursuant to lease agreement $ 11,840 $ 47,359 $ 59,199 $ 11,633 $ 46,533 $ 58,166 Variable lease costs 1,520 6,081 7,601 1,493 5,974 7,467 Total lease costs $ 13,360 $ 53,440 $ 66,800 $ 13,126 $ 52,507 $ 65,633 |
9. Revenue
9. Revenue | 12 Months Ended |
Dec. 31, 2019 | |
Notes | |
9. Revenue | 9. Revenue The Company product revenue includes industrial wireless products and accessories such as antennas, power supplies and cable assemblies. The Company also provides direct site support and engineering services to customers, such as repair and upgrade of its products. During the years ended December 31, 2019 and 2018, the Companys revenue from products sales was $1,367,171 and $1,374,810, respectively. Revenue from site support and engineering services was $41,377 and $20,220 respectively, over the same periods. The Companys customers, to which trade credit terms are extended, consist of United States and local governments and foreign and domestic companies. Domestic sales for the fiscal year were $1,179,146 compared to $1,298,447 in 2018. Sales to foreign customers for the fiscal year were $229,402 compared to $96,583 in 2018. During 2019, sales to one customer represented more than 10% of total revenue. Sales to this domestic customer totaled $199,795 and were for products only. One customer had sales greater than 10% of total revenue in 2018 of $260,944 and were for products only. As of December 31, 2019 and 2018, the Company had a sales order backlog of $34,801 and $3,780, respectively. |
10. Stock Repurchase
10. Stock Repurchase | 12 Months Ended |
Dec. 31, 2019 | |
Notes | |
10. Stock Repurchase | 10. Stock Repurchase On January 13, 2016, the Companys Board of Directors approved a resolution authorizing the repurchase of up to $100,000 of the Companys common stock at the price of $0.38 per share. The Companys share repurchase program does not obligate it to acquire any specific number of shares. On March 2, 2016, the Companys Board of Director approved a resolution authorizing the repurchase of an additional $150,000 of the Companys common stock at the price of $0.38 per share. Under the program (the Stock Repurchase Plan), shares may be repurchased in open market transactions. Shares repurchased are retired. During the years ended December 31, 2019 and 2018, the Company repurchased 39,246 and 300 shares of its common stock for $14,920 and $121, respectively. As of December 31, 2019, the Company has repurchased a total of 212,165 shares for a total cost of $80,629 and a balance of $169,371 remains of the original $250,000 approved by the board. |
1. Organization and Summary o_2
1. Organization and Summary of Significant Accounting Policies: Nature of Operations (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Nature of Operations | Business Organization The Company was incorporated under the laws of the State of Washington on February 10, 1984, primarily to develop, produce, sell and distribute wireless modems that will allow communication between peripherals via radio frequency waves. Effective September 13, 2007, the Company announced their establishment of a doing business as or dba structure, based on the Companys registered trade name of ESTeem® Wireless Modems. |
1. Organization and Summary o_3
1. Organization and Summary of Significant Accounting Policies: Accounting Estimates (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Accounting Estimates | Accounting Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses. Estimates used in the accompanying financial statements include the allowance for doubtful accounts receivable, inventory obsolescence, useful lives of depreciable assets, share-based compensation, and deferred income taxes. Actual results could differ from those estimates. |
1. Organization and Summary o_4
1. Organization and Summary of Significant Accounting Policies: Concentrations of Credit Risks (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Concentrations of Credit Risks | Concentrations and Credit Risks The Company places its cash with three major financial institutions. During the period, the Company had cash balances that were in excess of federally insured limits. The Company purchases certain key components necessary for the production of its products from a limited number of suppliers. The components provided by the suppliers could be replaced or substituted by other products. It is possible that if this action became necessary, an interruption of production and/or material cost expenditures could take place. |
1. Organization and Summary o_5
1. Organization and Summary of Significant Accounting Policies: Revenue Recognition (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Revenue Recognition | Revenue Recognition The Company accounts for revenue in accordance with Accounting Standards Codification (ASC) Topic 606: Revenue from Contracts with Customers. Under Topic 606, a performance obligation is a promise in a contract with a customer to transfer a distinct good or service to the customer. Our contracts with customers contain a single performance obligation. A contract's transaction price is recognized as revenue when, or as, the performance obligation is satisfied. The Company considers the contractual consideration payable by the customer when determining the transaction price of each contract. Revenue is recorded net of charges for certain sales incentives and discounts, and applicable state and local sales taxes, which represent components of the transaction price. Charges are estimated by us upon shipment of the product based on contractual terms, and actual charges typically do not vary materially from our estimates. Shipping estimates are determined by utilizing shipping costs provided by the various service providers websites based on number of packages, weight and destination. Shipping costs are included in the cost of goods sold as the revenue is captured in total sales. The Company receives payments from customers based on the terms established in our contracts. When amounts are billed and collected before the services are performed, they are included in deferred revenues. The Company does not generally sell its products with the right of return. Therefore, returns are accounted for when they occur and are accepted. Products sold to foreign customers are shipped after payment is received in U.S. funds, unless an established distributor relationship exists, or the customer is a foreign branch of a U.S. company. Performance obligations for product sales are satisfied as of a point in time. Revenue is recognized when control of the product transfers to the customer, generally upon product shipment. Performance obligations for site support and engineering services are satisfied over-time if the customer receives the benefits as we perform work and we have a contractual right to payment. Revenue recognized on an over-time basis is based on costs incurred to date relative to milestones and total estimated costs at completion to measure progress. The Company warrants its products as free of manufacturing defects and provides a refund of the purchase price, repair or replacement of the product for a period of one year from the date of installation by the first user/customer. No allowance for estimated warranty repairs or product returns has been recorded due to |
1. Organization and Summary o_6
1. Organization and Summary of Significant Accounting Policies: Financial Instruments (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Financial Instruments | Financial Instruments The Companys financial instruments are cash, money market funds, and certificates of deposit. The recorded values of cash, money market funds and certificates of deposit approximate their fair values based on their short-term nature. |
1. Organization and Summary o_7
1. Organization and Summary of Significant Accounting Policies: Cash and Cash Equivalents (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents consist primarily of cash and money market funds purchased with original maturities of three months or less. |
1. Organization and Summary o_8
1. Organization and Summary of Significant Accounting Policies: Allowance For Uncollectible Accounts (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Allowance For Uncollectible Accounts | Allowance for Uncollectible Accounts The Company uses the allowance method to account for estimated uncollectible accounts receivable. Accounts receivable are presented net of an allowance for doubtful accounts. As of December 31, 2019, and 2018, the Companys estimate of doubtful accounts was zero. The Companys policy for writing off past due accounts receivable is based on the amount, time past due, and responses received from the subject customer. |
1. Organization and Summary o_9
1. Organization and Summary of Significant Accounting Policies: Inventories (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Inventories | Inventories Inventories are stated at lower of direct cost or market. Cost is determined on an average cost basis that approximates the first-in, first-out (FIFO) method. Market is determined based on net realizable value and consideration is given to obsolescence. |
1. Organization and Summary _10
1. Organization and Summary of Significant Accounting Policies: Reclassifications (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Reclassifications | Reclassifications Certain prior year amounts have been reclassified for consistency with the current period presentation. These reclassifications had no effect on the reported statement of operations. |
1. Organization and Summary _11
1. Organization and Summary of Significant Accounting Policies: Property and Equipment (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Property and Equipment | Property and Equipment Property and equipment is carried at cost. Major betterments are capitalized and de minimis purchases are expensed. Depreciation is computed using the straight-line method over the estimated useful lives of the assets. The useful life of property and equipment for purposes of computing depreciation is three to seven years. When the Company sells or otherwise disposes of property and equipment a gain or loss is recorded in the statement of operations. The cost of improvements that extend the life of property and equipment is capitalized. The Company periodically reviews its long-lived assets for impairment and, upon indication that the carrying value of such assets may not be recoverable, recognizes an impairment loss by a charge against current operations. |
1. Organization and Summary _12
1. Organization and Summary of Significant Accounting Policies: Certificates of Deposit (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Certificates of Deposit | Certificates of Deposit Certificates of deposit with original maturities ranging from one month to twelve months were $650,000 and $900,000 at December 31, 2019 and 2018, respectively. |
1. Organization and Summary _13
1. Organization and Summary of Significant Accounting Policies: Software Costs (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Software Costs | Software Costs Software purchased and used by the Company is capitalized as property and equipment based on its cost, and amortized over its useful life, usually not exceeding five years. The Company capitalizes the costs of creating a software product to be sold, leased or otherwise marketed, for which technological feasibility has been established. Amortization of the software product, on a product-by-product basis, begins on the date the product is available for distribution to customers and continues over the estimated revenue-producing life, not to exceed five years. |
1. Organization and Summary _14
1. Organization and Summary of Significant Accounting Policies: Income Taxes (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Income Taxes | Income Taxes The provision (benefit) for income taxes is computed on the pretax income (loss) based on the current tax law. Deferred income taxes are recognized for the tax consequences in future years of differences between the tax basis of assets and liabilities and their financial reporting amounts at each year-end based on enacted tax laws and statutory tax rates. The Company evaluates positive and negative information when estimating the valuation allowance for deferred tax assets. For tax positions that meet the more likely than not recognition threshold a deferred tax asset is recognized. |
1. Organization and Summary _15
1. Organization and Summary of Significant Accounting Policies: Research and Development (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Research and Development | Research and Development Research and development costs are recognized as operating expenses when incurred. Research and development expenditures for new product development and improvements of existing products by the Company for 2019 and 2018 were $210,679 and $179,413, respectively. |
1. Organization and Summary _16
1. Organization and Summary of Significant Accounting Policies: Advertising Costs (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Advertising Costs | Advertising Costs Costs incurred for producing and communicating advertising are recognized as operating expenses when incurred. Advertising costs for the years ended December 31, 2019 and 2018 were $6,735 and $9,403, respectively. |
1. Organization and Summary _17
1. Organization and Summary of Significant Accounting Policies: Earnings Per Share (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Earnings Per Share | Earnings Per Share The Company is required to have dual presentation of basic earnings per share (EPS) and diluted EPS. Basic EPS is computed as net income (loss) divided by the weighted average number of common shares outstanding for the period. Diluted EPS is calculated based on the weighted average number of common shares outstanding during the period plus the effect of potentially dilutive common stock equivalents. Potentially dilutive common stock equivalents consist of 120,000 and 120,000 stock options outstanding as of December 31, 2019 and 2018, respectively. As of December 31, 2019 and 2018, the potentially dilutive stock options were not included in the calculation of the diluted weighted average number of shares outstanding or diluted EPS as their effect would have been anti-dilutive. |
1. Organization and Summary _18
1. Organization and Summary of Significant Accounting Policies: Share-based Compensation (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Share-based Compensation | Share-Based Compensation Share-based payments to employees, including grants of employee stock options, are measured at fair value and expensed in the statement of operations over the vesting period. In addition to the recognition of expense in the financial statements, any excess tax benefits received upon exercise of options will be presented as a financing activity inflow rather than an adjustment of operating activity in the statement of cash flows. |
1. Organization and Summary _19
1. Organization and Summary of Significant Accounting Policies: Fair Value Measures (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
Fair Value Measures | Fair Value Measurements The Company discloses the following information for each class of assets and liabilities that are measured at fair value: 1. the fair value measurement; 2. the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets or liabilities (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3); 3. the amount of the total gains or losses for the period included in earnings that are attributable to the change in unrealized gains or losses relating to those assets and liabilities still held at the reporting date and a description of where those unrealized gains or losses are reported in the statement of operations; and 4. in annual periods only, the valuation technique(s) used to measure fair value and a discussion of changes in valuation techniques, if any, during the period. At December 31, 2019 and 2018, the Company has no assets or liabilities subject to fair value measurements on a recurring basis. |
1. Organization and Summary _20
1. Organization and Summary of Significant Accounting Policies: New Accounting Pronouncements, Policy (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Policies | |
New Accounting Pronouncements, Policy | New Accounting Pronouncements Accounting Standards Updates Adopted In February 2016, the FASB issued ASU No. 2016-02 Leases (Topic 842). The update modified the classification criteria and requires lessees to recognize the assets and liabilities on the balance sheet for most leases. The update was effective for fiscal years beginning after December 15, 2018, with early adoption permitted. The Company adopted the guidance effective January 1, 2019 and recognized a liability and right-of-use asset of $91,637 as of that date for the Companys office lease. The Company elected the transition option to apply the new guidance as of that effective date without adjusting comparative periods presented. In the adoption of ASU No. 2016-02, the Company elected to not assess leases with terms less than twelve months in length. See Note 8 for information about the lease. Accounting Standards Updates to Become Effective in Future Periods In August 2018, the FASB issued ASU No. 2018-13 Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement. The update removes, modifies and makes additions to the disclosure requirements on fair value measurements. The update is effective for fiscal years beginning after December 15, 2019, with early adoption permitted. The Company is currently evaluating the impact of this update on fair value measurement disclosures. |
Note 2 - Inventories_ Schedule
Note 2 - Inventories: Schedule of Inventory, Current (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Tables/Schedules | |
Schedule of Inventory, Current | 2019 2018 Parts $ 116,843 $ 133,809 Work in progress 379,987 243,081 Finished goods 325,989 338,105 $ 822,819 $ 714,995 |
3. Property and Equipment_ Prop
3. Property and Equipment: Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Tables/Schedules | |
Property, Plant and Equipment | 2019 2018 Laboratory equipment $ 531,999 $ 580,452 Software purchased 35,028 35,028 Furniture and fixtures 16,312 16,310 Dies and molds 73,607 130,176 656,946 761,966 Accumulated depreciation and amortization (644,548) (741,598) $ 12,398 $ 20,368 |
4. Income Taxes_ Schedule of De
4. Income Taxes: Schedule of Deferred Tax Assets and Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Tables/Schedules | |
Schedule of Deferred Tax Assets and Liabilities | December 31, 2019 2018 Deferred tax assets: Net operating loss carryforwards $ 214,200 $ 175,000 Accrued liabilities 2,400 2,400 Inventories 15,600 16,400 Other 300 1,400 Federal income tax credits 66,000 66,000 Total deferred tax assets 298,500 261,200 Deferred tax liability: Property and equipment (2,000) - Deferred tax assets, net 296,500 261,200 Less valuation allowance (296,500) (261,200) Total deferred tax assets, net $ - $ - |
4. Income Taxes_ Schedule of Ef
4. Income Taxes: Schedule of Effective Income Tax Rate Reconciliation (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Tables/Schedules | |
Schedule of Effective Income Tax Rate Reconciliation | 2019 2018 Amount computed using the statutory rate $ (40,101) $ (24,381) Non-deductible items 444 3,981 Change in estimates 4,357 - Change in valuation allowance 35,300 20,400 Provision (benefit) for federal income taxes $ - $ - |
7. Share-based Compensation_ Su
7. Share-based Compensation: Summary of Option Activity (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Tables/Schedules | |
Summary of Option Activity | Number Outstanding Weighted Average Exercise Price Per Option Weighted Average Remaining Contractual Term (Years) Balance at December 31, 2017 150,000 $ 0.40 2.6 Granted - - Expired/Forfeited (30,000) 0.40 Balance at December 31, 2018 120,000 0.40 1.6 Granted - - Expired/Forfeited - - Balance at December 31, 2019 120,000 $ 0.40 0.6 Outstanding and Exercisable at December 31, 2019 120,000 $ 0.40 0.6 |
8. Leases_ Future Less Payments
8. Leases: Future Less Payments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Tables/Schedules | |
Future Less Payments | For the 12 months ended December 31, 2020 $ 44,981 Less imputed interest (5,340) Net lease liability- current $ 39,641 |
8. Leases_ Schedule of distribu
8. Leases: Schedule of distribution of lease expense (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Tables/Schedules | |
Schedule of distribution of lease expense | 2019 2018 Cost of sales Operating expenses Total Cost of sales Operating expenses Total Base rent pursuant to lease agreement $ 11,840 $ 47,359 $ 59,199 $ 11,633 $ 46,533 $ 58,166 Variable lease costs 1,520 6,081 7,601 1,493 5,974 7,467 Total lease costs $ 13,360 $ 53,440 $ 66,800 $ 13,126 $ 52,507 $ 65,633 |
1. Organization and Summary _21
1. Organization and Summary of Significant Accounting Policies: Nature of Operations (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Details | |
Entity Incorporation, Date of Incorporation | Feb. 10, 1984 |
1. Organization and Summary _22
1. Organization and Summary of Significant Accounting Policies: Certificates of Deposit (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Details | ||
Certificates of deposit | $ 650,000 | $ 900,000 |
1. Organization and Summary _23
1. Organization and Summary of Significant Accounting Policies: Advertising Costs (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Details | ||
Advertising Expense | $ 6,735 | $ 9,403 |
1. Organization and Summary _24
1. Organization and Summary of Significant Accounting Policies: Earnings Per Share (Details) - shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Details | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 120,000 | 120,000 |
1. Organization and Summary _25
1. Organization and Summary of Significant Accounting Policies: New Accounting Pronouncements, Policy (Details) | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Details | |
New Accounting Pronouncements and Changes in Accounting Principles | In February 2016, the FASB issued ASU No. 2016-02 Leases (Topic 842).  The update modified the classification criteria and requires lessees to recognize the assets and liabilities on the balance sheet for most leases.  The update was effective for fiscal years beginning after December 15, 2018, with early adoption permitted.  The Company adopted the guidance effective January 1, 2019 and recognized a liability and right-of-use asset of $91,637 as of that date for the Company’s office lease.  The Company elected the transition option to apply the new guidance as of that effective date without adjusting comparative periods presented.  In the adoption of ASU No. 2016-02, the Company elected to not assess leases with terms less than twelve months in length.  See Note 8 for information about the lease. |
Right of Use Lease Asset at Inception | $ 91,637 |
Description of New Accounting Pronouncements Not yet Adopted | In August 2018, the FASB issued ASU No. 2018-13 Fair Value Measurement (Topic 820):  Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement.  The update removes, modifies and makes additions to the disclosure requirements on fair value measurements.  The update is effective for fiscal years beginning after December 15, 2019, with early adoption permitted.  The Company is currently evaluating the impact of this update on fair value measurement disclosures. |
Note 2 - Inventories_ Schedul_2
Note 2 - Inventories: Schedule of Inventory, Current (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Details | ||
Inventory, Parts and Components, Net of Reserves | $ 116,843 | $ 133,809 |
Inventory, Work in Process, Gross | 379,987 | 243,081 |
Inventory, Finished Goods, Gross | 325,989 | 338,105 |
Total inventories | $ 822,819 | $ 714,995 |
3. Property and Equipment_ Pr_2
3. Property and Equipment: Property, Plant and Equipment (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Details | ||
Laboratory equipment | $ 531,999 | $ 580,452 |
Capitalized Computer Software, Gross | 35,028 | 35,028 |
Furniture and Fixtures, Gross | 16,312 | 16,310 |
Dies and molds | 73,607 | 130,176 |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment, Excluding Capital Leased Assets | (644,548) | (741,598) |
Total Property Plant and Equipment, Net | $ 12,398 | $ 20,368 |
4. Income Taxes_ Schedule of _2
4. Income Taxes: Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred tax assets: | ||
Deferred Tax Assets, Operating Loss Carryforwards | $ 214,200 | $ 175,000 |
Deferred Tax Liabilities, Net | 2,400 | 2,400 |
Deferred Tax Assets, Inventory | 15,600 | 16,400 |
Deferred Tax Assets, Other | 300 | 1,400 |
Tax Credit Carryforward, Amount | 66,000 | 66,000 |
Deferred Tax Assets, Gross | 298,500 | 261,200 |
Deferred tax liability: | ||
Property and equipment | (2,000) | 0 |
Deferred tax assets, net | 296,500 | 261,200 |
Deferred Tax Assets, Valuation Allowance | (296,500) | (261,200) |
Total deferred tax assets, net | $ 0 | $ 0 |
4. Income Taxes (Details)
4. Income Taxes (Details) | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Details | |
Effective Income Tax Rate Reconciliation, Tax Credit, Amount | $ 66,000 |
Operating Loss Carryforwards | $ 1,000,000 |
4. Income Taxes_ Schedule of _3
4. Income Taxes: Schedule of Effective Income Tax Rate Reconciliation (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Details | ||
Amount computed using the statutory rate | $ (40,101) | $ (24,381) |
Other | 444 | 3,981 |
Research and development credits | 4,357 | 0 |
Change in valuation allowance | 35,300 | 20,400 |
Provision (benefit) for federal income taxes | $ 0 | $ 0 |
5. Profit Sharing Salary Defe_2
5. Profit Sharing Salary Deferral 401-k Plan (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Details | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 15,854 | $ 15,742 |
7. Share-based Compensation_ _2
7. Share-based Compensation: Summary of Option Activity (Details) | 12 Months Ended |
Dec. 31, 2019$ / sharesshares | |
Details | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | shares | 120,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | $ / shares | $ 0.40 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | 7 months 6 days |
7. Share-based Compensation (De
7. Share-based Compensation (Details) | Dec. 31, 2019USD ($) |
Details | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Exercisable, Aggregate Intrinsic Value | $ 1,200 |
8. Leases (Details)
8. Leases (Details) | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Details | |
Right of Use Lease Asset at Inception | $ 91,637 |
Description of operating lease | The Company leases its facilities from a port authority for approximately $5,500 per month expiring in September 2020, with annual increases based upon the Consumer Price Index. |
8. Leases_ Future Less Paymen_2
8. Leases: Future Less Payments (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 | |
Details | |||
Operating Leases, Future Minimum Payments, Due in Two Years | $ 44,981 | ||
Less imputed interest | (5,340) | ||
Lease liability, current portion | $ 39,641 | [1] | $ 0 |
[1] | BS1 |
8. Leases_ Schedule of distri_2
8. Leases: Schedule of distribution of lease expense (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Details | ||
Base rent pursuant to lease agreement | $ 59,199 | $ 58,166 |
Variable lease costs | 7,601 | 7,467 |
Operating lease expense distributied | $ 66,800 | $ 65,633 |
9. Revenue (Details)
9. Revenue (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Details | ||
Revenue Recognition, Sales of Goods | 1,367,171 | 1,374,810 |
Revenue Recognition, Sales of Services | 41,377 | 20,220 |
Domestic sales revenues | $ 1,179,146 | $ 1,298,447 |
Foreign sales | 229,402 | 96,583 |
Sales to customers in excess of 10 % of total sales | 199,795 | 260,944 |
Sales order backlog | $ 34,801 | $ 3,780 |
10. Stock Repurchase (Details)
10. Stock Repurchase (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Details | ||
Employee Stock Ownership Plan (ESOP), Terms of Repurchase Obligation | On January 13, 2016, the Company’s Board of Directors approved a resolution authorizing the repurchase of up to $100,000 of the Company’s common stock at the price of $0.38 per share. The Company’s share repurchase program does not obligate it to acquire any specific number of shares. On March 2, 2016, the Company’s Board of Director approved a resolution authorizing the repurchase of an additional $150,000 of the Company’s common stock at the price of $0.38 per share. Under the program (the “Stock Repurchase Plan”), shares may be repurchased in open market transactions. Shares repurchased are retired | |
Stock repurchased | 39,246 | 300 |
Adjustments to Additional Paid in Capital, Other | $ 14,920 | $ 121 |
Total number shares repurchased | 212,165 | |
Total number shares repurchased value | 80,629 |