NOTE 5 – PREPAID STOCK BASED COMPENSATION

Prepaid expenses amounted to $151,102 at September 30, 2017 and $171,164 at December 31, 2016. Prepaid expenses include prepayments in cash for professional fees and prepayments made with equity instruments which are being amortized over the terms of their respective agreements. Amortization of the prepaid expense is included in professional fees. For the nine months ended September 30, 2017 and 2016, amortization expense was $121,096 and $173,009, respectively. The current portion consists primarily of costs paid for future services which will occur within a year.