| Note 4: Balance Sheet Information |
Balance sheet information is as follows:
| |
|
September
30, |
|
| |
|
2012 |
|
|
2011 |
|
| |
|
|
|
|
|
|
| Receivables, current, net: |
|
|
|
|
|
|
|
|
| Accounts receivable, current |
|
$ |
1,863,067 |
|
|
$ |
2,080,747 |
|
| Less: Allowance for doubtful
accounts |
|
|
(1,423,219 |
) |
|
|
(1,425,891 |
) |
| |
|
$ |
439,848 |
|
|
$ |
654,856 |
|
| Receivables, long term, net: |
|
|
|
|
|
|
|
|
| Accounts receivable, long term |
|
$ |
510,587 |
|
|
$ |
569,178 |
|
| Less: Allowance for doubtful
accounts |
|
|
(136,017 |
) |
|
|
(197,740 |
) |
| |
|
$ |
374,570 |
|
|
$ |
371,438 |
|
| Total receivables, net: |
|
|
|
|
|
|
|
|
| Gross receivables |
|
$ |
2,373,654 |
|
|
$ |
2,649,925 |
|
| Less: Allowance for doubtful
accounts |
|
|
(1,559,236 |
) |
|
|
(1,623,631 |
) |
| |
|
$ |
814,418 |
|
|
$ |
1,026,294 |
|
Long term receivables consist of reserves
held by LEC processors that are not expected to be settled within 12 months.
Approximately
93% of the Companys allowance for doubtful accounts is an allowance against accounts receivable balances and reserves held
by a LEC that is in bankruptcy and an allowance against an outstanding receivable balance that is in dispute. After excluding
these reserves from the related accounts receivable balances, the allowance for doubtful accounts as a percentage of gross accounts
receivable decreases to 12.6%. See note 12 for Concentration of Credit Risk.
Components of allowance for
doubtful accounts are as follows:
| |
|
September
30, |
|
| |
|
2012 |
|
|
2011 |
|
| |
|
|
|
|
|
|
| Allowance for dilution and fees on amounts due from
billing aggregators |
|
$ |
1,525,126 |
|
|
$ |
1,477,769 |
|
| Allowance for customer refunds |
|
|
34,111 |
|
|
|
145,862 |
|
| |
|
$ |
1,559,237 |
|
|
$ |
1,623,631 |
|
| |
|
September
30, |
|
| |
|
2012 |
|
|
2011 |
|
| |
|
|
|
|
|
|
| Property and equipment, net: |
|
|
|
|
|
|
|
|
| Leasehold improvements |
|
$ |
|
|
|
$ |
201,476 |
|
| Furnishings and fixtures |
|
|
94,511 |
|
|
|
233,577 |
|
| Office, computer equipment
and other |
|
|
361,685 |
|
|
|
426,931 |
|
| |
|
|
456,196 |
|
|
|
861,984 |
|
| Less: Accumulated depreciation |
|
|
(405,670 |
) |
|
|
(690,783 |
) |
| |
|
$ |
50,526 |
|
|
$ |
171,201 |
|
| |
|
September
30, |
|
| |
|
2012 |
|
|
2011 |
|
| |
|
|
|
|
|
|
| Intangible assets, net: |
|
|
|
|
|
|
|
|
| Domain name and marketing related
intangibles |
|
$ |
1,511,650 |
|
|
$ |
1,509,600 |
|
| Website and technology related
intangibles |
|
|
1,252,304 |
|
|
|
351,941 |
|
| |
|
|
2,763,954 |
|
|
|
1,861,541 |
|
| Less: Accumulated
amortization |
|
|
(766,283 |
) |
|
|
(639,207 |
) |
| |
|
$ |
1,997,671 |
|
|
$ |
1,222,334 |
|
The change
in intangibles is attributable to $420,000 of intangibles acquired in the LiveOpenly acquisition and $482,413 of website development
costs.
| |
|
September
30, |
|
| |
|
2012 |
|
|
2011 |
|
| |
|
|
|
|
|
|
| Accrued liabilities: |
|
|
|
|
|
|
|
|
| Deferred revenue |
|
$ |
2,310 |
|
|
$ |
14,553 |
|
| Accrued payroll and bonuses |
|
|
28,968 |
|
|
|
63,043 |
|
| Accruals under revenue sharing agreements |
|
|
67,601 |
|
|
|
86,550 |
|
| Accrued expenses - other |
|
|
311,225 |
|
|
|
260,449 |
|
| |
|
$ |
410,104 |
|
|
$ |
424,595 |
|
|