Lake Area Corn Processors (LKCRU) 10-Q 12 May 17 2017 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2017	May 12, 2017
Document Information [Line Items]
Entity Registrant Name	LAKE AREA CORN PROCESSORS LLC
Entity Central Index Key	1,156,174
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Document Type	10-Q
Document Period End Date	Mar. 31, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1
Amendment Flag	false
Entity Common Stock, Shares Outstanding		29,620,000

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Mar. 31, 2017	Dec. 31, 2016
CURRENT ASSETS
Cash and cash equivalents	$ 4,759,867	$ 9,993,335
Accounts receivable	3,526,624	4,054,667
Other receivables	46,182	25,216
Inventory	7,961,122	6,212,619
Derivative financial instruments	1,080,156	1,057,465
Prepaid expenses	232,049	237,823
Total current assets	17,606,000	21,581,125
PROPERTY AND EQUIPMENT
Land	874,473	874,473
Land improvements	9,449,920	9,449,920
Buildings	8,955,206	8,955,206
Equipment	52,614,358	52,614,358
Construction in progress	98,842	0
Gross Property and Equipment	71,992,799	71,893,957
Less accumulated depreciation	(37,797,223)	(37,069,755)
Net property and equipment	34,195,576	34,824,202
OTHER ASSETS
Goodwill	10,395,766	10,395,766
Investments	10,075,757	11,192,032
Other	100,077	122,964
Total other assets	20,571,600	21,710,762
TOTAL ASSETS	72,373,176	78,116,089
CURRENT LIABILITIES
Outstanding checks in excess of bank balance	957,350	1,035,671
Accounts payable	4,095,026	7,670,550
Accrued liabilities	347,878	592,749
Derivative financial instruments	389,165	827,786
Other	91,323	141,323
Total current liabilities	5,880,742	10,268,079
LONG-TERM LIABILITIES
Notes payable	1,000	1,000
Other	21,556	25,556
Total long-term liabilities	22,556	26,556
COMMITMENTS AND CONTINGENCIES
MEMBERS' EQUITY (29,620,000 units issued and outstanding)	66,469,878	67,821,454
TOTAL LIABILITIES AND MEMBERS' EQUITY	$ 72,373,176	$ 78,116,089

Consolidated Balance Sheets Par

Consolidated Balance Sheets Parenthetical - shares	Mar. 31, 2017	Dec. 31, 2016
MEMBERS' EQUITY, units issued and outstanding	29,620,000	29,620,000

Consolidated Statements of Oper

Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
REVENUES	$ 22,713,628	$ 21,623,796
COSTS OF REVENUES	20,493,173	20,369,184
GROSS PROFIT	2,220,455	1,254,612
OPERATING EXPENSES	1,006,572	935,234
INCOME FROM OPERATIONS	1,213,883	319,378
OTHER INCOME (EXPENSE)
Interest and other income	13,804	5,904
Equity in net income of investments	383,725	335,601
Interest expense	(988)	(1,262)
Total other income	396,541	340,243
NET INCOME	$ 1,610,424	$ 659,621
BASIC AND DILUTED EARNINGS PER UNIT	$ 0.05	$ 0.02
WEIGHTED AVERAGE NUMBER OF UNITS OUTSTANDING FOR THE CALCULATION OF BASIC & DILUTED EARNINGS PER UNIT	29,620,000	29,620,000
DISTRIBUTIONS DECLARED PER UNIT	$ 0.10	$ 0

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
OPERATING ACTIVITIES
Net income	$ 1,610,424	$ 659,621
Changes to net income affecting cash and cash equivalents
Depreciation and amortization	750,354	906,111
Distributions in excess of earnings from investments	1,116,275	2,093,149
(Increase) decrease in
Receivables	507,078	(1,055,302)
Inventory	(1,748,501)	1,038,696
Prepaid expenses	5,774	70,524
Derivative financial instruments	(461,312)	(61,939)
Accounts payable	(3,571,000)	(4,758,980)
Accrued and other liabilities	(298,872)	(79,911)
NET CASH PROVIDED BY OPERATING ACTIVITIES	(2,089,780)	(1,188,031)
INVESTING ACTIVITIES
Insurance proceeds received for damage to equipment	0	1,318,955
Purchase of property and equipment	(103,366)	(1,128,535)
NET CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES	(103,366)	190,420
FINANCING ACTIVITIES
Increase (decrease) in outstanding checks in excess of bank balance	(78,322)	895,957
Distributions paid to members	(2,962,000)	0
NET CASH (USED IN) FINANCING ACTIVITIES	(3,040,322)	895,957
NET DECREASE IN CASH AND CASH EQUIVALENTS	(5,233,468)	(101,654)
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD	9,993,335	8,329,166
CASH AND CASH EQUIVALENTS AT END OF PERIOD	4,759,867	8,227,512
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION
Cash paid during the period for interest	988	1,261
Capital expenditures in accounts payable	$ 65,123	$ 0

Nature of Operations

Nature of Operations	3 Months Ended
	Mar. 31, 2017
Nature of Operations [Abstract]
Nature of Operations	NATURE OF OPERATIONS Principal Business Activity Lake Area Corn Processors, LLC and subsidiary (the Company) is a South Dakota limited liability company. The Company owns and manages Dakota Ethanol, LLC (Dakota Ethanol), a 40 million -gallon (annual nameplate capacity) ethanol plant, located near Wentworth, South Dakota. Dakota Ethanol sells ethanol and related products to customers located in North America. In addition, the Company has investment interests in five companies in ethanol-related industries. See note 4 for further details.

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2017
Summary of Significant Accounting Policies [Abstract]
Summary of Significant Accounting Policies	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The unaudited financial statements contained herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Accordingly, they do not include all the information and footnotes required by accounting principles generally accepted in the United States of America although the Company believes that the disclosures are adequate to make the information not misleading. In the opinion of management, all adjustments considered necessary for a fair presentation have been included in the accompanying financial statements. All adjustments are of a normal and recurring nature. The results of operations for the three months ended March 31, 2017 are not necessarily indicative of the results to be expected for a full year. These financial statements should be read in conjunction with the financial statements and notes included in the Company’s audited financial statements for the year ended December 31, 2016 , contained in the annual report on Form 10-K for 2016. Principles of Consolidation The consolidated financial statements of the Company include the accounts of its wholly owned subsidiary, Dakota Ethanol. All significant inter-company transactions and balances have been eliminated in consolidation. Revenue Recognition Revenue from the production of ethanol and related products is recorded when title transfers to customers. Generally, ethanol and related products are shipped FOB shipping point, based on written contract terms between Dakota Ethanol and its customers. Collectability of revenue is reasonably assured based on historical evidence of collectability between Dakota Ethanol and its customers. Interest income is recognized as earned. Shipping costs incurred by the Company in the sale of ethanol, dried distiller's grains and corn oil are not specifically identifiable and as a result, revenue from the sale of those products is recorded based on the net selling price reported to the Company from the marketer. Cost of Revenues The primary components of cost of revenues from the production of ethanol and related co-product are corn expense, energy expense (natural gas and electricity), raw materials expense (chemicals and denaturant), and direct labor costs. Shipping costs on modified and wet distiller’s grains are included in cost of revenues. Inventory Valuation Inventories are generally valued using methods which approximate the lower of cost (first-in, first-out) or net realizable value. In the valuation of inventories and purchase commitments, net realizable value is based on estimated selling prices in the ordinary course of business less reasonably predictable costs of completion, disposal and transportation. Investment in commodities contracts, derivative instruments and hedging activities The Company is exposed to certain risks related to our ongoing business operations. The primary risks that the Company manages by using forward or derivative instruments are price risk on anticipated purchases of corn and natural gas and the sale of ethanol, distillers grains and distillers corn oil. The Company is subject to market risk with respect to the price and availability of corn, the principal raw material the Company uses to produce ethanol and ethanol by-products. In general, rising corn prices result in lower profit margins and, therefore, represent unfavorable market conditions. This is especially true when market conditions do not allow us to pass along increased corn costs to our customers. The availability and price of corn is subject to wide fluctuations due to unpredictable factors such as weather conditions, farmer planting decisions, governmental policies with respect to agriculture and international trade and global demand and supply. Certain contracts that literally meet the definition of a derivative may be exempted from derivative accounting as normal purchases or normal sales. Normal purchases and normal sales are contracts that provide for the purchase or sale of something other than a financial instrument or derivative instrument that will be delivered in quantities expected to be used or sold over a reasonable period in the normal course of business. Contracts that meet the requirements of normal purchases or sales are documented as normal and exempted from the accounting and reporting requirements of derivative accounting. The Company does not apply the normal purchase and sales exemption for forward corn purchase contracts. As of March 31, 2017 , the Company is committed to purchasing approximately 3.2 million bushels of corn on a forward contract basis with an average price of $3.37 per bushel. The total corn purchase contracts represent 17% of the annual projected plant corn usage. The Company enters into firm-price purchase commitments with natural gas suppliers under which the Company agrees to buy natural gas at a price set in advance of the actual delivery. Under these arrangements, the Company assumes the risk of a price decrease in the market price of natural gas between the time the price is fixed and the time the natural gas is delivered. At March 31, 2017 , the Company does not have any firm-price purchase commitments for natural gas. The Company accounts for these transactions as normal purchases, and accordingly, does not mark these transactions to market. The Company enters into firm-price sales commitments with distillers grains customers under which the Company agrees to sell distillers grains at a price set in advance of the actual delivery. Under these arrangements, the Company assumes the risk of a price increase in the market price of distillers grain between the time the price is fixed and the time the distillers grains are delivered. At March 31, 2017 , the Company is committed to selling approximately 21,000 dry equivalent tons of distillers grains with an average price of $107 per ton. The Company accounts for these transactions as normal sales, and accordingly, does not mark these transactions to market. The distillers grains sales represent approximately 14% of the projected annual plant production. The Company enters into firm-price sales commitments with distillers corn oil customers under which the Company agrees to sell distillers corn oil at a price set in advance of the actual delivery. Under these arrangements, the Company assumes the risk of a price increase in the market price of distillers corn oil between the time the price is fixed and the time the distillers corn oil is delivered. At March 31, 2017 , the Company is committed to selling approximately 672,000 pounds of distillers corn oil with an average price of $0.28 per pound. The Company accounts for these transactions as normal sales, and accordingly, does not mark these transactions to market. The distillers corn oil sales represent approximately 6% of the projected annual plant production. The Company does not have any firm-priced sales commitments for ethanol as of March 31, 2017 . The Company enters into short-term forward, option and futures contracts for ethanol, corn and natural gas as a means of managing exposure to changes in commodity and energy prices. All of the Company's derivatives are designated as non-hedge derivatives, and accordingly are recorded at fair value with changes in fair value recognized in net income. Although the contracts are considered economic hedges of specified risks, they are not designated as and accounted for as hedging instruments. As part of our trading activity, the Company uses futures and option contracts offered through regulated commodity exchanges to reduce risk of loss in the market value of inventories and purchase commitments. To reduce that risk, the Company generally takes positions using forward and futures contracts and options. Derivatives not designated as hedging instruments at March 31, 2017 and December 31, 2016 were as follows: Balance Sheet Classification March 31, 2017 December 31, 2016* Forward contracts in gain position $ 5,955 $ 6,491 Futures contracts in gain position 201,750 246,900 Futures contracts in loss position (10,237 ) (12,575 ) Total forward and futures contracts 197,468 240,816 Cash held by broker 882,688 816,649 Current Assets $ 1,080,156 $ 1,057,465 Forward contracts in loss position (Current Liabilities) $ (389,165 ) $ (827,786 ) *Derived from audited financial statements. Futures contracts and cash held by broker are all with one party and the right of offset exists. Therefore, on the balance sheet, these items are netted in one balance regardless of position. Forward contracts are with multiple parties and the right of offset does not exist. Therefore, these contracts are reported at the gross amounts on the balance sheet. Realized and unrealized gains and losses related to derivative contracts related to corn and natural gas purchases are included as a component of cost of revenues and derivative contracts related to ethanol sales are included as a component of revenues in the accompanying financial statements. Statement of Operations Three Months Ended March 31, Classification 2017 2016 Net realized and unrealized gains (losses) related to purchase contracts: Futures contracts Cost of Revenues $ 23,287 $ 255,352 Forward contracts Cost of Revenues (52,026 ) (513,126 ) Investments The Company has investment interests in five companies in related industries. All of these interests are at ownership shares less than 20%. These investments are flow-through entities and are being accounted for by the equity method of accounting under which the Company’s share of net income is recognized as income in the Company’s statements of income and added to the investment account. Distributions or dividends received from the investments are treated as a reduction of the investment account. The Company consistently follows the practice of recognizing the net income from investments based on the most recent reliable data. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates include the fair value of derivative financial instruments, lower of cost or net realizable value accounting for inventory and forward purchase contracts and goodwill impairment evaluation. Recently Issued Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers (Topic 606) , requiring an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The updated standard will replace most existing revenue recognition guidance in U.S. Generally Accepted Accounting Principles (GAAP) when it becomes effective and permits the use of either a full retrospective or retrospective with cumulative effect transition method. Early adoption is not permitted. The updated standard becomes effective for the Company in the first quarter of fiscal year 2018. The Company has not yet selected a transition method and is currently evaluating the effect that the updated standard will have on the consolidated financial statements. In February 2016, FASB issued ASU No. 2016-02, "Leases (Topic 842)” (ASU 2016-02). ASU 2016-02 requires the recognition of lease assets and lease liabilities by lessees for all leases greater than one year in duration and classified as operating leases under previous GAAP. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, and for interim periods within that fiscal year. The Company does not expect this standard to have a material impact on the Company's consolidated financial statements. In August 2016, the FASB issued ASU No. 2016-15 (ASU 2016-15), "Statement of Cash Flows (Topic 230)" (ASU 2016-15). ASU 2016-15 clarifies and provides guidance for specific cash flow issues. The guidance addresses classification for proceeds from insurance settlements and distributions received from equity method investees. ASU 2016-15 is effective for fiscal periods beginning after December 15, 2017. The Company has chosen to early adopt the standard. The Company has chosen the nature of distributions approach for equity method distributions. The Company has also adopted the insurance settlement guidance which includes retrospective application to the 2015 cash flow statement. As a result of this retrospective application, cash provided by operations decreased and cash provided by investing activities increased for the three months ended March 31, 2016, by approximately $1,319,000 from amounts previously reported on the Company's Form 10-Q for the quarter ended March 31, 2016.

Inventory

Inventory	3 Months Ended
	Mar. 31, 2017
Inventory [Abstract]
Inventory	INVENTORY Inventory consisted of the following as of March 31, 2017 and December 31, 2016 : March 31, 2017 December 31, 2016* Raw materials $ 5,097,905 $ 3,217,822 Finished goods 987,511 1,124,660 Work in process 516,222 593,197 Parts inventory 1,359,484 1,276,940 $ 7,961,122 $ 6,212,619 *Derived from audited financial statements.

Investments (Notes)

Investments (Notes)	3 Months Ended
	Mar. 31, 2017
Investments [Abstract]
Investments	INVESTMENTS Dakota Ethanol has a 7% investment interest in the Company’s ethanol marketer, Renewable Products Marketing Group, LLC (RPMG). The net income which is reported in the Company’s income statement for RPMG is based on RPMG’s December 31, 2016 unaudited interim results. The carrying amount of the Company’s investment was approximately $1,318,000 and $1,283,000 as of March 31, 2017 and December 31, 2016 , respectively. Dakota Ethanol has a 6% investment interest in Prairie Gold Venture Partnership, LLC (PGVP), a venture capital fund investing in cellulosic ethanol production. The net income which is reported in the Company’s income statement for PGVP is based on PGVP’s December 31, 2016 unaudited interim results. The carrying amount of the Company’s investment was approximately $308,000 as of March 31, 2017 and December 31, 2016 . Dakota Ethanol has a 10% investment interest in Lawrenceville Tanks, LLC (LT), a partnership to operate an ethanol storage terminal in Georgia. The net income which is reported in the Company’s income statement for LT is based on LT’s March 31, 2017 unaudited interim results. The carrying amount of the Company’s investment was approximately $489,000 and $460,000 as of March 31, 2017 and December 31, 2016 , respectively. Lake Area Corn Processors has a 10% investment interest in Guardian Hankinson, LLC (GH), a partnership to operate an ethanol plant in North Dakota. The net income which is reported in the Company’s income statement for GH is based on GH’s March 31, 2017 unaudited interim results. The carrying amount of the Company’s investment was approximately $7,928,000 and $9,108,000 as of March 31, 2017 and December 31, 2016 , respectively. Lake Area Corn Processors has a 17% investment interest in Guardian Energy Management, LLC (GEM), a partnership to provide management services to ethanol plants. The net income which is reported in the Company’s income statement for GEM is based on GEM’s March 31, 2017 unaudited interim results. The carrying amount of the Company’s investment was approximately $33,000 as of March 31, 2017 and December 31, 2016 . Condensed, combined unaudited financial information of the Company’s investments in RPMG, PGVP, LT, GH and GEM is as follows: Balance Sheet March 31, 2017 December 31, 2016 Current Assets $ 204,759,814 $ 178,539,108 Other Assets 146,694,022 151,378,628 Current Liabilities 157,893,021 140,898,148 Long-term Liabilities 67,706,983 49,924,355 Members' Equity 125,853,832 139,095,233 Three Months Ended Income Statement March 31, 2017 March 31, 2016 Revenue $ 63,425,464 $ 57,942,150 Gross Profit 6,239,674 10,310,354 Net Income 3,841,100 3,722,116 The following table shows the condensed financial information of Guardian Hankinson, which represents greater than 10% of the Company's net income for the three months ended March 31, 2017 : Balance Sheet March 31, 2017 December 31, 2016 Current Assets $ 27,841,499 $ 31,337,860 Other Assets 129,137,379 133,415,881 Current Liabilities 10,005,645 23,822,812 Long-term Liabilities 67,706,983 49,856,355 Members' Equity 79,266,250 91,074,574 Three Months Ended Income Statement March 31, 2017 March 31, 2016 Revenue $ 60,377,748 $ 53,567,773 Gross Profit 4,326,567 7,778,140 Net Income 3,191,675 2,421,022 The Company recorded equity in net income of approximately $319,000 and $242,000 from GH for the three months ended March 31, 2017 and 2016, respectively. The Company recorded equity in net income of approximately $65,000 and $94,000 from its other investments for the three months ended March 31, 2017 and 2016, respectively.

Short Term Note Payable

Short Term Note Payable	3 Months Ended
	Mar. 31, 2017
Short Term Note Payable [Abstract]
Revolving Operating Note	On November 1, 2016, Dakota Ethanol executed a revolving promissory note from Farm Credit Services of America (FCSA) in the amount up to $10,000,000 or the amount available in accordance with the borrowing base calculation. Interest on the outstanding principal balance will accrue at 300 basis points above the 1 month LIBOR rate and is not subject to a floor. The rate was 3.80% at March 31, 2017 . There is a non-use fee of 0.25% on the unused portion of the $10,000,000 availability. The note is collateralized by substantially all assets of the Company. The note expires on November 1, 2018. On March 31, 2017 , Dakota Ethanol had $0 outstanding and $6,459,000 available to be drawn on the revolving promissory note under the borrowing base.

Long Term Notes Payable

Long Term Notes Payable	3 Months Ended
	Mar. 31, 2017
Long Term Note Payable [Abstract]
Long Term Notes Payable	LONG-TERM NOTES PAYABLE On November 11, 2014, Dakota Ethanol executed a reducing revolving promissory note from FCSA in the amount of $15,000,000 . The amount Dakota Ethanol can borrow on the note decreases by $750,000 semi-annually starting on April 1, 2015 until the maximum balance reaches $7.5 million on October 1, 2019. The note matures on October 1, 2024. Interest on the outstanding principal balance will accrue at 325 basis points above the 1 month LIBOR rate and is not subject to a floor. The rate was 4.05% at March 31, 2017 . The note contains a non-use fee of 0.5% on the unused portion of the note. On March 31, 2017 , Dakota Ethanol had $1,000 outstanding and $11,999,000 available to be drawn on the note. As part of the note payable agreement, Dakota Ethanol is subject to certain restrictive covenants establishing financial reporting requirements, distribution and capital expenditure limits, minimum debt service coverage ratios, net worth and working capital requirements. The note is collateralized by substantially all assets of the Company.

Fair Value Measurements (Notes)

Fair Value Measurements (Notes)	3 Months Ended
	Mar. 31, 2017
Fair Value Disclosures [Abstract]
Fair Value Measurements	FAIR VALUE MEASUREMENTS The Company complies with the fair value measurements and disclosures standard which defines fair value, establishes a framework for measuring fair value, and expands disclosure for those assets and liabilities carried on the balance sheet on a fair value basis. The Company’s balance sheet contains derivative financial instruments that are recorded at fair value on a recurring basis. Fair value measurements and disclosures require that assets and liabilities carried at fair value be classified and disclosed according to the process for determining fair value. There are three levels of determining fair value. Level 1 uses quoted market prices in active markets for identical assets or liabilities. Level 2 uses observable market based inputs or unobservable inputs that are corroborated by market data. Level 3 uses unobservable inputs that are not corroborated by market data. A description of the valuation methodologies used for instruments measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. Derivative financial instruments . Commodity futures and options contracts are reported at fair value utilizing Level 1 inputs. For these contracts, the Company obtains fair value measurements from an independent pricing service. The fair value measurements consider observable data that may include dealer quotes and live trading levels from the CBOT and NYMEX markets. Over-the-counter commodity options contracts are reported at fair value utilizing Level 2 inputs. For these contracts, the Company obtains fair value measurements from an independent pricing service. The fair value measurements consider observable data that may include dealer quotes and live trading levels from the over-the-counter markets. Forward purchase contracts are reported at fair value utilizing Level 2 inputs. For these contracts, the Company obtains fair value measurements from local grain terminal bid values. The fair value measurements consider observable data that may include live trading bids from local elevators and processing plants which are based off the CBOT markets. The following table summarizes financial assets and financial liabilities measured at fair value on a recurring basis as of March 31, 2017 and December 31, 2016 segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value: Total Level 1 Level 2 Level 3 March 31, 2017 Assets: Derivative financial instruments, futures contracts $ 201,750 $ 201,750 $ — $ — forward contracts 5,955 — 5,955 — Liabilities: Derivative financial instruments, futures contracts $ (10,237 ) $ (10,237 ) $ — $ — forward contracts $ (389,165 ) $ — $ (389,165 ) $ — December 31, 2016* Assets: Derivative financial instruments, futures contracts $ 246,900 $ 246,900 $ — $ — forward contracts 6,491 — 6,491 — Liabilities: Derivative financial instruments, futures contracts $ (12,575 ) $ (12,575 ) $ — $ — forward contracts $ (827,786 ) $ — $ (827,786 ) $ — *Derived from audited financial statements. During the three months ended March 31, 2017 , the Company did not make any changes between Level 1 and Level 2 assets and liabilities. As of March 31, 2017 and December 31, 2016 , the Company did not have any Level 3 assets or liabilities.

Related Party Transactions

Related Party Transactions	3 Months Ended
	Mar. 31, 2017
Related Party Transactions [Abstract]
Related Party Transactions	RELATED PARTY TRANSACTIONS Dakota Ethanol has a 7% interest in RPMG, and Dakota Ethanol has entered into marketing agreements for the exclusive rights to market, sell and distribute the entire ethanol, dried distiller's grains and corn oil inventories produced by Dakota Ethanol. The marketing fees are included in net revenues. Revenues and marketing fees related to the agreements are as follows: Three Months Ended March 31 2017 2016 Revenues ethanol $ 18,092,590 $ 16,218,169 Revenues distiller's dried grains 1,537,054 1,132,927 Revenues corn oil 794,516 623,910 Marketing fees ethanol 61,260 42,057 Marketing fees distiller's dried grains 12,475 6,755 Marketing fees corn oil 6,221 6,642 March 31, 2017 December 31, 2016* Amounts due included in accounts receivable $ 3,276,576 $ 3,695,561 *Derived from audited financial statements. The Company purchased corn and services from members of its Board of Directors that farm and operate local businesses. The Company also purchased ingredients from RPMG. Purchases during the fiscal quarters ended March 31, 2017 and 2016 totaled approximately $163,000 and $871,000 , respectively. As of March 31, 2017 and December 31, 2016, the amount we owed to related parties was approximately $50,000 and $40,000 , respectively.

Accounting Policies

Accounting Policies	3 Months Ended
	Mar. 31, 2017
Accounting Policies [Abstract]
Principles of Consolidation	Principles of Consolidation The consolidated financial statements of the Company include the accounts of its wholly owned subsidiary, Dakota Ethanol. All significant inter-company transactions and balances have been eliminated in consolidation.
Revenue Recognition	Revenue Recognition Revenue from the production of ethanol and related products is recorded when title transfers to customers. Generally, ethanol and related products are shipped FOB shipping point, based on written contract terms between Dakota Ethanol and its customers. Collectability of revenue is reasonably assured based on historical evidence of collectability between Dakota Ethanol and its customers. Interest income is recognized as earned. Shipping costs incurred by the Company in the sale of ethanol, dried distiller's grains and corn oil are not specifically identifiable and as a result, revenue from the sale of those products is recorded based on the net selling price reported to the Company from the marketer.
Cost of Revenues	Cost of Revenues The primary components of cost of revenues from the production of ethanol and related co-product are corn expense, energy expense (natural gas and electricity), raw materials expense (chemicals and denaturant), and direct labor costs. Shipping costs on modified and wet distiller’s grains are included in cost of revenues.
Inventory Valuation	Inventory Valuation Inventories are generally valued using methods which approximate the lower of cost (first-in, first-out) or net realizable value. In the valuation of inventories and purchase commitments, net realizable value is based on estimated selling prices in the ordinary course of business less reasonably predictable costs of completion, disposal and transportation.
Investment in commodities contracts, derivative instruments and hedging activities	Investment in commodities contracts, derivative instruments and hedging activities The Company is exposed to certain risks related to our ongoing business operations. The primary risks that the Company manages by using forward or derivative instruments are price risk on anticipated purchases of corn and natural gas and the sale of ethanol, distillers grains and distillers corn oil. The Company is subject to market risk with respect to the price and availability of corn, the principal raw material the Company uses to produce ethanol and ethanol by-products. In general, rising corn prices result in lower profit margins and, therefore, represent unfavorable market conditions. This is especially true when market conditions do not allow us to pass along increased corn costs to our customers. The availability and price of corn is subject to wide fluctuations due to unpredictable factors such as weather conditions, farmer planting decisions, governmental policies with respect to agriculture and international trade and global demand and supply. Certain contracts that literally meet the definition of a derivative may be exempted from derivative accounting as normal purchases or normal sales. Normal purchases and normal sales are contracts that provide for the purchase or sale of something other than a financial instrument or derivative instrument that will be delivered in quantities expected to be used or sold over a reasonable period in the normal course of business. Contracts that meet the requirements of normal purchases or sales are documented as normal and exempted from the accounting and reporting requirements of derivative accounting. The Company does not apply the normal purchase and sales exemption for forward corn purchase contracts. As of March 31, 2017 , the Company is committed to purchasing approximately 3.2 million bushels of corn on a forward contract basis with an average price of $3.37 per bushel. The total corn purchase contracts represent 17% of the annual projected plant corn usage. The Company enters into firm-price purchase commitments with natural gas suppliers under which the Company agrees to buy natural gas at a price set in advance of the actual delivery. Under these arrangements, the Company assumes the risk of a price decrease in the market price of natural gas between the time the price is fixed and the time the natural gas is delivered. At March 31, 2017 , the Company does not have any firm-price purchase commitments for natural gas. The Company accounts for these transactions as normal purchases, and accordingly, does not mark these transactions to market. The Company enters into firm-price sales commitments with distillers grains customers under which the Company agrees to sell distillers grains at a price set in advance of the actual delivery. Under these arrangements, the Company assumes the risk of a price increase in the market price of distillers grain between the time the price is fixed and the time the distillers grains are delivered. At March 31, 2017 , the Company is committed to selling approximately 21,000 dry equivalent tons of distillers grains with an average price of $107 per ton. The Company accounts for these transactions as normal sales, and accordingly, does not mark these transactions to market. The distillers grains sales represent approximately 14% of the projected annual plant production. The Company enters into firm-price sales commitments with distillers corn oil customers under which the Company agrees to sell distillers corn oil at a price set in advance of the actual delivery. Under these arrangements, the Company assumes the risk of a price increase in the market price of distillers corn oil between the time the price is fixed and the time the distillers corn oil is delivered. At March 31, 2017 , the Company is committed to selling approximately 672,000 pounds of distillers corn oil with an average price of $0.28 per pound. The Company accounts for these transactions as normal sales, and accordingly, does not mark these transactions to market. The distillers corn oil sales represent approximately 6% of the projected annual plant production. The Company does not have any firm-priced sales commitments for ethanol as of March 31, 2017 . The Company enters into short-term forward, option and futures contracts for ethanol, corn and natural gas as a means of managing exposure to changes in commodity and energy prices. All of the Company's derivatives are designated as non-hedge derivatives, and accordingly are recorded at fair value with changes in fair value recognized in net income. Although the contracts are considered economic hedges of specified risks, they are not designated as and accounted for as hedging instruments. As part of our trading activity, the Company uses futures and option contracts offered through regulated commodity exchanges to reduce risk of loss in the market value of inventories and purchase commitments. To reduce that risk, the Company generally takes positions using forward and futures contracts and options. Derivatives not designated as hedging instruments at March 31, 2017 and December 31, 2016 were as follows: Balance Sheet Classification March 31, 2017 December 31, 2016* Forward contracts in gain position $ 5,955 $ 6,491 Futures contracts in gain position 201,750 246,900 Futures contracts in loss position (10,237 ) (12,575 ) Total forward and futures contracts 197,468 240,816 Cash held by broker 882,688 816,649 Current Assets $ 1,080,156 $ 1,057,465 Forward contracts in loss position (Current Liabilities) $ (389,165 ) $ (827,786 ) *Derived from audited financial statements. Futures contracts and cash held by broker are all with one party and the right of offset exists. Therefore, on the balance sheet, these items are netted in one balance regardless of position. Forward contracts are with multiple parties and the right of offset does not exist. Therefore, these contracts are reported at the gross amounts on the balance sheet. Realized and unrealized gains and losses related to derivative contracts related to corn and natural gas purchases are included as a component of cost of revenues and derivative contracts related to ethanol sales are included as a component of revenues in the accompanying financial statements. Statement of Operations Three Months Ended March 31, Classification 2017 2016 Net realized and unrealized gains (losses) related to purchase contracts: Futures contracts Cost of Revenues $ 23,287 $ 255,352 Forward contracts Cost of Revenues (52,026 ) (513,126 )
Investments	Investments The Company has investment interests in five companies in related industries. All of these interests are at ownership shares less than 20%. These investments are flow-through entities and are being accounted for by the equity method of accounting under which the Company’s share of net income is recognized as income in the Company’s statements of income and added to the investment account. Distributions or dividends received from the investments are treated as a reduction of the investment account. The Company consistently follows the practice of recognizing the net income from investments based on the most recent reliable data.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates include the fair value of derivative financial instruments, lower of cost or net realizable value accounting for inventory and forward purchase contracts and goodwill impairment evaluation

Summary of Significant Accoun15

Summary of Significant Accounting Policies (Tables)	3 Months Ended
	Mar. 31, 2017
Summary of Significant Accounting Policies [Abstract]
Derivatives Not Designated as Hedging Instruments	Derivatives not designated as hedging instruments at March 31, 2017 and December 31, 2016 were as follows: Balance Sheet Classification March 31, 2017 December 31, 2016* Forward contracts in gain position $ 5,955 $ 6,491 Futures contracts in gain position 201,750 246,900 Futures contracts in loss position (10,237 ) (12,575 ) Total forward and futures contracts 197,468 240,816 Cash held by broker 882,688 816,649 Current Assets $ 1,080,156 $ 1,057,465 Forward contracts in loss position (Current Liabilities) $ (389,165 ) $ (827,786 ) *Derived from audited financial statements.
Net realized and unrealized gains (losses) related to purchase contracts	Statement of Operations Three Months Ended March 31, Classification 2017 2016 Net realized and unrealized gains (losses) related to purchase contracts: Futures contracts Cost of Revenues $ 23,287 $ 255,352 Forward contracts Cost of Revenues (52,026 ) (513,126 )

Inventory (Tables)

Inventory (Tables)	3 Months Ended
	Mar. 31, 2017
Inventory [Abstract]
Schedule of Inventory	Inventory consisted of the following as of March 31, 2017 and December 31, 2016 : March 31, 2017 December 31, 2016* Raw materials $ 5,097,905 $ 3,217,822 Finished goods 987,511 1,124,660 Work in process 516,222 593,197 Parts inventory 1,359,484 1,276,940 $ 7,961,122 $ 6,212,619 *Derived from audited financial statements.

Investments Investments (Tables

Investments Investments (Tables)	3 Months Ended
	Mar. 31, 2017
Schedule of Equity Method Investments [Line Items]
Equity Method Investments	Balance Sheet March 31, 2017 December 31, 2016 Current Assets $ 204,759,814 $ 178,539,108 Other Assets 146,694,022 151,378,628 Current Liabilities 157,893,021 140,898,148 Long-term Liabilities 67,706,983 49,924,355 Members' Equity 125,853,832 139,095,233 Three Months Ended Income Statement March 31, 2017 March 31, 2016 Revenue $ 63,425,464 $ 57,942,150 Gross Profit 6,239,674 10,310,354 Net Income 3,841,100 3,722,116 The following table shows the condensed financial information of Guardian Hankinson, which represents greater than 10% of the Company's net income for the three months ended March 31, 2017 : Balance Sheet March 31, 2017 December 31, 2016 Current Assets $ 27,841,499 $ 31,337,860 Other Assets 129,137,379 133,415,881 Current Liabilities 10,005,645 23,822,812 Long-term Liabilities 67,706,983 49,856,355 Members' Equity 79,266,250 91,074,574 Three Months Ended Income Statement March 31, 2017 March 31, 2016 Revenue $ 60,377,748 $ 53,567,773 Gross Profit 4,326,567 7,778,140 Net Income 3,191,675 2,421,022

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2017
Fair Value Disclosures [Abstract]
Fair Value, by Balance Sheet Grouping	Total Level 1 Level 2 Level 3 March 31, 2017 Assets: Derivative financial instruments, futures contracts $ 201,750 $ 201,750 $ — $ — forward contracts 5,955 — 5,955 — Liabilities: Derivative financial instruments, futures contracts $ (10,237 ) $ (10,237 ) $ — $ — forward contracts $ (389,165 ) $ — $ (389,165 ) $ — December 31, 2016* Assets: Derivative financial instruments, futures contracts $ 246,900 $ 246,900 $ — $ — forward contracts 6,491 — 6,491 — Liabilities: Derivative financial instruments, futures contracts $ (12,575 ) $ (12,575 ) $ — $ — forward contracts $ (827,786 ) $ — $ (827,786 ) $ —

Related Party Transactions (Tab

Related Party Transactions (Tables)	3 Months Ended
	Mar. 31, 2017
Related Party Transactions [Abstract]
Schedule of Related Party Transactions	Three Months Ended March 31 2017 2016 Revenues ethanol $ 18,092,590 $ 16,218,169 Revenues distiller's dried grains 1,537,054 1,132,927 Revenues corn oil 794,516 623,910 Marketing fees ethanol 61,260 42,057 Marketing fees distiller's dried grains 12,475 6,755 Marketing fees corn oil 6,221 6,642 March 31, 2017 December 31, 2016* Amounts due included in accounts receivable $ 3,276,576 $ 3,695,561

Nature of Operations (Details)

Nature of Operations (Details) gal in Millions	3 Months Ended
	Mar. 31, 2017gal
Product Information [Line Items]
Equity Method Investments, Number of Entities	5
Ethanol [Member] | Product [Member]
Product Information [Line Items]
Annual production capacity	40

Summary of Significant Accoun21

Summary of Significant Accounting Policies Investments (Details) bu in Millions	3 Months Ended
	Mar. 31, 2017buT$ / T$ / bu
Derivative [Line Items]
Equity Method Investments, Number of Entities	5
Corn [Member]
Derivative [Line Items]
Product usage, percentage	17.00%
Derivative, Number of Instruments Held | bu	3.2
Derivative, Nonmonetary Notional Amount, Average Price Per Unit	3.37
Distillers Grain [Member]
Derivative [Line Items]
Product usage, percentage	14.00%
Derivative, Number of Instruments Held | T	21,000
Derivative, Nonmonetary Notional Amount, Average Price Per Unit | $ / T	107
Corn Oil [Member]
Derivative [Line Items]
Product usage, percentage	6.00%
Derivative, Number of Instruments Held	672,000
Derivative, Nonmonetary Notional Amount, Average Price Per Unit	0.28

Derivative Instruments - Balanc

Derivative Instruments - Balance Sheet (Details) - USD ($)	Mar. 31, 2017	Dec. 31, 2016
Derivatives, Fair Value [Line Items]
Derivative Instruments and Hedges, Liabilities	$ 389,165	$ 827,786
Derivative Instruments and Hedges, Assets	1,080,156	1,057,465
Current Assets [Member]
Derivatives, Fair Value [Line Items]
Cash held by broker	882,688	816,649
Current Assets [Member] | Not Designated as Hedging Instrument [Member]
Derivatives, Fair Value [Line Items]
Derivative Assets, Current	197,468	240,816
Derivative Instruments and Hedges, Assets	1,080,156	1,057,465
Other Current Liabilities [Member] | Not Designated as Hedging Instrument [Member]
Derivatives, Fair Value [Line Items]
Derivative Instruments and Hedges, Liabilities	389,165	827,786
Forward Contracts [Member] | Current Assets [Member] | Not Designated as Hedging Instrument [Member]
Derivatives, Fair Value [Line Items]
Derivative Assets, Current	5,955	6,491
Futures contracts in gain position [Member] | Future [Member] | Current Assets [Member] | Not Designated as Hedging Instrument [Member]
Derivatives, Fair Value [Line Items]
Derivative Assets, Current	201,750	246,900
Futures Contracts held in loss position [Member] | Future [Member] | Other Current Liabilities [Member] | Not Designated as Hedging Instrument [Member]
Derivatives, Fair Value [Line Items]
Derivative Liability, Current	$ 10,237	$ 12,575

Derivative Instruments - Income

Derivative Instruments - Income Statement (Details) - Not Designated as Hedging Instrument [Member] - Cost of Sales [Member] - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Forward Contracts [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative, Gain (Loss) on Derivative, Net	$ (52,026)	$ (513,126)
Future [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative, Gain (Loss) on Derivative, Net	$ 23,287	$ 255,352

Summary of Significant Accoun24

Summary of Significant Accounting Policies Recently Issued Accounting Pronouncements (Details)	3 Months Ended
	Mar. 31, 2017USD ($)
Recently Issued Accounting Pronouncements [Abstract]
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification	$ 1,319,000

Inventory (Details)

Inventory (Details) - USD ($)	Mar. 31, 2017	Dec. 31, 2016
Inventory [Abstract]
Raw Materials	$ 5,097,905	$ 3,217,822
Finished Goods	987,511	1,124,660
Work in Process	516,222	593,197
Parts Inventory	1,359,484	1,276,940
Inventory	$ 7,961,122	$ 6,212,619

Investments (Details)

Investments (Details) - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Schedule of Equity Method Investments [Line Items]
Investments	$ 10,075,757		$ 11,192,032
Equity in net income of investments	383,725	$ 335,601
Equity Method Investment, Summarized Financial Information, Current Assets	204,759,814		178,539,108
Equity Method Investment, Summarized Financial Information, Noncurrent Assets	146,694,022		151,378,628
Equity Method Investment, Summarized Financial Information, Current Liabilities	157,893,021		140,898,148
Equity Method Investment, Summarized Financial Information, Noncurrent Liabilities	67,706,983		49,924,355
Equity Method Investment Summarized Financial Information, Equity	125,853,832		139,095,233
Equity Method Investment, Summarized Financial Information, Revenue	63,425,464	57,942,150
Equity Method Investment, Summarized Financial Information, Gross Profit (Loss)	6,239,674	10,310,354
Equity Method Investment, Summarized Financial Information, Net Income (Loss)	$ 3,841,100	3,722,116
Renewable Products Marketing Group, LLC (RPMG) [Member]
Schedule of Equity Method Investments [Line Items]
Equity Method Investment, Ownership Percentage	7.00%
Investments	$ 1,318,000		1,283,000
Prairie Gold Venture Partnership, LLC (PGVP) [Member]
Schedule of Equity Method Investments [Line Items]
Equity Method Investment, Ownership Percentage	6.00%
Investments	$ 308,000		308,000
Lawrenceville Tanks, LLC [Member]
Schedule of Equity Method Investments [Line Items]
Equity Method Investment, Ownership Percentage	10.00%
Investments	$ 489,000		460,000
Guardian Hankinson, LLC [Member]
Schedule of Equity Method Investments [Line Items]
Equity Method Investment, Ownership Percentage	10.00%
Investments	$ 7,928,000		9,108,000
Equity in net income of investments	319,000	242,000
Equity Method Investment, Summarized Financial Information, Current Assets	27,841,499		31,337,860
Equity Method Investment, Summarized Financial Information, Noncurrent Assets	129,137,379		133,415,881
Equity Method Investment, Summarized Financial Information, Current Liabilities	10,005,645		23,822,812
Equity Method Investment, Summarized Financial Information, Noncurrent Liabilities	67,706,983		49,856,355
Equity Method Investment Summarized Financial Information, Equity	79,266,250		91,074,574
Equity Method Investment, Summarized Financial Information, Revenue	60,377,748	53,567,773
Equity Method Investment, Summarized Financial Information, Gross Profit (Loss)	4,326,567	7,778,140
Equity Method Investment, Summarized Financial Information, Net Income (Loss)	3,191,675	2,421,022
GEM, LT, PGVP, RPMG Combined [Domain]
Schedule of Equity Method Investments [Line Items]
Equity in net income of investments	$ 65,000	$ 94,000
Guardian Energy Management [Member]
Schedule of Equity Method Investments [Line Items]
Equity Method Investment, Ownership Percentage	17.00%
Investments	$ 33,000		$ 33,000

Short Term Note Payable (Detail

Short Term Note Payable (Details) - Farm Credit Services of America [Member] - Line of Credit [Member]	3 Months Ended
	Mar. 31, 2017USD ($)
Line of Credit Facility [Line Items]
Debt Instrument, Basis Spread on Variable Rate	0.80%
Line of Credit Facility, Maximum Borrowing Capacity	$ 10,000,000
Line of Credit Facility, Interest Rate at Period End	3.80%
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage	0.25%
Line of Credit Facility, Amount Outstanding	$ 0
Line of Credit Facility, Remaining Borrowing Capacity	$ 6,459,000

Long Term Note Payable (Details

Long Term Note Payable (Details) - Farm Credit Services of America [Member] - Revolving Credit Facility [Member]	3 Months Ended
	Mar. 31, 2017USD ($)Rate
Debt Instrument [Line Items]
Line of Credit Facility, Current Borrowing Capacity	$ 15,000,000
Periodic decrease in line of credit availability	750,000
Line of Credit Facility, Maximum Borrowing Capacity	$ 7,500,000
Line of Credit Facility, Interest Rate at Period End	4.05%
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | Rate	0.50%
Line of Credit Facility, Amount Outstanding	$ 1,000
Line of Credit Facility, Remaining Borrowing Capacity	$ 11,999,000
Debt Instrument, Basis Spread on Variable Rate	0.80%

Fair Value Measurements (Detail

Fair Value Measurements (Details) - Fair Value, Measurements, Recurring [Member] - USD ($)	Mar. 31, 2017	Dec. 31, 2016
Future [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Derivative Asset	$ 201,750	$ 246,900
Derivative Liability	10,237	12,575
Future [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Derivative Asset	201,750	246,900
Derivative Liability	10,237	12,575
Future [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Derivative Asset	0	0
Derivative Liability	0	0
Future [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Derivative Asset	0	0
Derivative Liability	0	0
Forward Contracts [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Derivative Asset	5,955	6,491
Derivative Liability	389,165	827,786
Forward Contracts [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Derivative Asset	0	0
Derivative Liability	0	0
Forward Contracts [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Derivative Asset	5,955	6,491
Derivative Liability	389,165	827,786
Forward Contracts [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Derivative Asset	0	0
Derivative Liability	$ 0	$ 0

Related Party Transactions (Det

Related Party Transactions (Details) - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Related Party Transaction [Line Items]
Related Party Transaction, Purchases from Related Party	$ 163,000	$ 871,000
Due from Related Parties, Current	3,276,576		$ 3,695,561
Due to Related Parties	$ 50,000		$ 40,000
Renewable Products Marketing Group, LLC (RPMG) [Member]
Related Party Transaction [Line Items]
Equity Method Investment, Ownership Percentage	7.00%
Ethanol [Member] | Renewable Products Marketing Group, LLC (RPMG) [Member]
Related Party Transaction [Line Items]
Revenue from Related Parties	$ 18,092,590	16,218,169
Marketing Expenses from Transactions with Related Party	61,260	42,057
Distillers Grain [Member] | Renewable Products Marketing Group, LLC (RPMG) [Member]
Related Party Transaction [Line Items]
Revenue from Related Parties	1,537,054	1,132,927
Marketing Expenses from Transactions with Related Party	12,475	6,755
Corn Oil [Member] | Renewable Products Marketing Group, LLC (RPMG) [Member]
Related Party Transaction [Line Items]
Revenue from Related Parties	794,516	623,910
Marketing Expenses from Transactions with Related Party	$ 6,221	$ 6,642