| Schedule of Fair Value of Measured Assets and Liabilities |
Assets and liabilities
measured at fair value on a recurring basis are summarized in the following tables according to FASB ASC 820 pricing levels.
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|
Fair Value Measurement Using |
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|
Recorded
value
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|
Quoted prices
in active
markets of
identical
assets
(Level 1)
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Significant
other
observable
inputs
(Level 2)
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|
|
Significant
Unobservable
Inputs
(Level 3)
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| December 31, 2014 |
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| Assets: |
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Available-for-sale securities |
|
$ |
35,362 |
|
|
$ |
35,362 |
|
|
$ |
- |
|
|
$ |
- |
|
| Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Embedded conversion feature |
|
$ |
1,610,900 |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
1,610,900 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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| December 31, 2013 |
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| Assets: |
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|
|
|
|
|
|
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|
|
|
|
|
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| Available-for-sale securities |
|
$ |
55,112 |
|
|
$ |
55,112 |
|
|
$ |
- |
|
|
$ |
- |
|
| Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Embedded conversion feature |
|
$ |
2,146,000 |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
2,146,000 |
|
|
| Summary of Changes in Fair Value |
The following table
provides a summary of the changes in fair value, including net transfers in and/or out, of all financial assets measured at fair
value on a recurring basis using significant unobservable inputs during the year ended December 31, 2014 and 2013.
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|
Warrants |
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|
Conversion
Feature
|
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|
Total |
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| Balance at January 31, 2013 |
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
| Change in fair value of derivative liability |
|
|
|
|
|
|
(119,600 |
) |
|
|
(119,600 |
) |
| Included in debt discount |
|
|
|
|
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|
2,115,400 |
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|
|
2,115,400 |
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| Included in interest |
|
|
|
|
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|
150,200 |
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|
|
150,200 |
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| Balance at December 31, 2013 |
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|
- |
|
|
|
2,146,000 |
|
|
|
2,146,000 |
|
| |
|
|
|
|
|
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|
|
|
|
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| Change in fair value of derivative liability |
|
|
(292,600 |
) |
|
|
(935,000 |
) |
|
|
(1,227,600 |
) |
| Amount included in debt discounts |
|
|
626,900 |
|
|
|
399,900 |
|
|
|
1,026,800 |
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| Balance at December 31, 2014 |
|
$ |
334,300 |
|
|
$ |
1,610,900 |
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|
$ |
1,945,200 |
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|