v3.8.0.1
Consolidated Statements of Cash Flows (Unaudited) - USD ($)
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES:    
Net loss $ (2,231,654) $ (2,246,504)
Adjustments to reconcile net loss to net cash used in operating activities:    
Common stock issued for debt extension 28,490 10,000
Depreciation and amortization 23,499 2,450
Accretion of interest and amortization of debt discount 459,232 1,021,630
Inventory reserve recovery (19,950)
Gain on extinguishment of debt (4,285)
Stock-based compensation expense 86,020 74,529
Amortization of third party fees paid in common stock and warrants 15,558
Shares issued with debt 7,800
Impairment loss on investment 4,730 6,069
Changes in operating assets and liabilities:    
Accounts receivable (115,736) (237,407)
Inventories (14,795) (35,099)
Prepaid expenses and other assets 22,886 50,358
Accounts payable 51,823 265,480
Accrued employee compensation (15,668) 443
Deferred revenue and other accrued expenses 440,096 (92,917)
Net cash used in operating activities (1,277,512) (1,165,410)
CASH FLOWS FROM INVESTING ACTIVITIES:    
Purchases of property plant and equipment (15,608)
Net cash used in investing activities (15,608)
CASH FLOWS FROM FINANCING ACTIVITIES:    
Net proceeds from revolving note payable 460,000 920,000
Net proceeds from convertible debt 819,350
Net proceeds from non-convertible debt - third party 298,600 773,000
Net proceeds from non-convertible debt - related party 50,000
Payments on convertible debt (102,500) (300,000)
Payments on non-convertible debt (247,809) (228,907)
Net cash provided by financing activities 1,277,641 1,164,093
NET DECREASE IN CASH 129 (16,925)
CASH AT BEGINNING OF YEAR 81,033 138,363
CASH AT END OF PERIOD 81,162 121,438
SUPPLEMENTAL INFORMATION    
Interest paid in cash 120,970 62,802
NON CASH TRANSACTIONS:    
Common stock issued in lieu of cash for interest 80,755 287,920
Common stock issued with debt 51,463 125,443
Discount from warrants issued with convertible debt 118,416
Discount from one-time interest 72,500 100,000
Reclassification of derivative liabilities to equity and cumulative effect of adoption of ASU 2017-11 $ 1,712,699

Source