Quarterly report pursuant to Section 13 or 15(d)

Note 2 - Significant Accounting Policies: Other Intangible Assets and Goodwill (Policies)

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Note 2 - Significant Accounting Policies: Other Intangible Assets and Goodwill (Policies)
3 Months Ended
Jun. 30, 2016
Policies  
Other Intangible Assets and Goodwill

Other Intangible Assets

 

The Company accounts for Other Intangible Assets under the guidance of ASC 350, “Intangibles—Goodwill and Other”. The Company capitalizes certain costs related to patent technology, as a substantial portion of the purchase price related to the Company’s acquisition of VIM assets has been assigned to patents.  Under the guidance, Other Intangible Assets with definite lives are amortized over their estimated useful lives. Intangible assets with indefinite lives are tested annually for impairment.

 

Goodwill

 

Goodwill, representing the difference between the total purchase price and the fair value of assets (tangible and intangible) and liabilities at the date of acquisition, is reviewed for impairment annually, and more frequently as circumstances warrant, and written down only in the period in which the recorded value of such assets exceed their fair value. The Company does not amortize goodwill in accordance with Financial Accounting Standards Board (the “FASB”) Accounting Standards Codification (“ASC”) 350, “Intangibles—Goodwill and Other” (“ASC 350”). 

Goodwill is tested for impairment at the reporting unit level. The Company’s two operating segments comprise the reporting unit for goodwill impairment testing purposes.