Cash Flow

v3.7.0.1
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Cash flows from operating activities:    
Net loss $ (577,985) $ (1,260,883)
Adjustments to reconcile net loss to net cash (used in) provided by operating activities:    
Depreciation expense 16,860 22,786
Amortization of patents 17,682 17,538
Stock based compensation 116,718 444,505
Equity earning on China joint venture 44,401 269,726
Changes in operating assets and liabilities:    
Increase in accounts receivable (824,182) (475,351)
Decrease in related parties 1,400,801
Decrease in other receivable 10,000
Decrease in inventories 68,885 359,857
Increase to advances on contracts (161,114) (38,517)
Decrease in deferred cost 438,925
Increase to prepaid expenses and other current assets (217,613) (200,732)
Increase in other assets (9,523)
Decrease in accounts payable (452,157) (237,853)
Decrease in accounts payable related party (152,748)
Increase in accrued expenses and other payables 96,841 (185,313)
Decrease in deferred revenue (645,400)
Net cash (used in) operating activities (874,010) (1,389,126)
Cash flows from investing activities:    
Purchases of intangible assets (14,442)
Purchases of property and equipment (4,822)
Consolidation of variable interest entity 50,621
Net cash used in investing activities (133,480)
Cash flows from financing activities:    
Net proceeds on Public Offering 150,836
Proceeds from employee exercise of stock options 62,500
Net cash provided by investing activities 213,336
Net (decrease) in cash and cash equivalents (660,674) (1,522,606)
Cash and cash equivalents at beginning of year 3,602,229 4,194,384
Cash and cash equivalents at end of year 2,941,555 2,671,778
Supplemental disclosure of cash flow information:    
Shares issued to employees for bonus 195,000
Shares issued to consultants in lieu of cash payment 43,750
Net assets acquired from variable interest entity 20,472
Milestone China [Member]    
Adjustments to reconcile net loss to net cash (used in) provided by operating activities:    
Equity earning on China joint venture 0 164,837
Cash flows from investing activities:    
Investment in China Join Venture $ (164,837)

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