Quarterly report pursuant to Section 13 or 15(d)

6. INTANGIBLE ASSETS, NET

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6. INTANGIBLE ASSETS, NET
9 Months Ended
Sep. 30, 2016
Goodwill and Intangible Assets Disclosure [Abstract]  
INTANGIBLE ASSETS, NET

Intangible assets consisted of the following at September 30, 2016 and December 31, 2015:

 

    Original Fair Market Value     Accumulated Amortization     Net     Useful Life (Years)  
Balance - September 30, 2016:                                
Vendor relationships   $ 1,170,000     $ 858,000     $ 312,000       5  
In-process research and development     3,730,000             3,730,000        
Trade names     330,000       183,667       146,333       5  
Non-compete agreements     2,787,000       1,998,383       788,617       5  
    $ 8,017,000     $ 3,040,050     $ 4,976,950          
                                 
Balance - December 31, 2015:                                
Vendor relationships   $ 1,170,000     $ 682,500     $ 487,500       5  
In-process research and development     3,730,000             3,730,000        
Trade names     330,000       134,167       195,833       5  
Non-compete agreements     2,787,000       1,580,333       1,206,667       5  
    $ 8,017,000     $ 2,397,000     $ 5,620,000          

 

Amortization expense for the three months ended September 30, 2016 and 2015 totaled $214,350 and $205,500, respectively, and for the nine months ended September 30, 2016 and 2015 totaled $643,050 and $616,500, respectively.