Quarterly report pursuant to Section 13 or 15(d)

Convertible Note Issuance Costs

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Convertible Note Issuance Costs
6 Months Ended
Jun. 30, 2015
Debt Disclosure [Abstract]  
Convertible Note Issuance Costs

5.         Convertible Note Issuance Costs

 

The costs associated with the issuance of the Convertible Notes were recorded as a reduction to the carrying amount of the Convertible Notes and are being amortized as interest expense within the statement of operations over the 14-month life of the notes:

  

Issuance costs are as follows:            
             
    December 31,     June 30,  
    2014     2015  
Placement fee   $ 553,490     $ 553,490  
Fair value of Financing warrants at time of issue     212,155       212,155  
Attorney fees     79,679       79,679  
Escrow fees     3,500       3,500  
Beneficial conversion feature     212,155       212,155  
Accumulated amortization     (151,568 )     (606,274 )
Net issuance costs   $ 909,411     $ 454,705  
Convertible Notes   $ 6,000,000     $ 6,000,000  
Convertible Notes discount net of amortization     (909,411 )     (454,705 )
Convertible Notes, net of discount   $ 5,090,589     $ 5,545,295