Annual report pursuant to Section 13 and 15(d)

PROPERTY AND EQUIPMENT

PROPERTY AND EQUIPMENT

12 Months Ended

Dec. 31, 2015

NOTE 4 – PROPERTY AND EQUIPMENT

Furniture fixtures and equipment, stated at cost, less accumulated depreciation at December 31 consisted of the following:

	December 31, 2015			December 31, 2014
Equipment	$	35,202		$	35,202
Furniture		37,276			37,276
Computers & Hardware		5,187			5,187
Leasehold improvements		—			12,230
Moldings		59,955			86,455
Less: accumulated depreciation		(102,320	)		(85,585	)
Fixed assets, net	$	35,300		$	90,765

During the year ended December 31, 2015, the Company ceased using the office space for which it had capitalized prior leasehold improvement expense of $12,230. Accordingly, the Company has determined that carrying amount of such asset is not recoverable and has written it down to $0, resulting in a loss on disposal of $7,148.

During the year ended December 31, 2015, the Company determined that it would no longer be using tooling that had been capitalized at $26,500. Accordingly, the Company has determined that carrying amount of such asset is not recoverable and has written it down to $0, resulting in a loss on disposal of $9,886.

Depreciation expense

Depreciation expense for the years ended December 31, 2015 and 2014 was $38,431 and $41,786, respectively.