Rivulet Entertainment (RIVF) 10-Q 13 Nov 15 2015 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	9 Months Ended
	Sep. 30, 2015	Jun. 30, 2015
Document and Entity Information:
Entity Registrant Name	Advanced Voice Recognition Systems, Inc.
Document Type	10-Q
Document Period End Date	Sep. 30, 2015
Amendment Flag	false
Entity Central Index Key	1,342,936
Current Fiscal Year End Date	--12-31
Entity Common Stock, Shares Outstanding		220,095,268
Entity Public Float		$ 1,718,226
Entity Filer Category	Smaller Reporting Company
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q3
Trading Symbol	avoi

Statement of Financial Position

Statement of Financial Position - USD ($)	Sep. 30, 2015		Dec. 31, 2014
Assets, Current
Cash and Cash Equivalents, at Carrying Value	$ 9,200		$ 10,736
Assets, Current	9,200		10,736
Assets, Noncurrent
Computer software and equipment, net	1,032		1,913
Patent, net	83,474		55,800
Deferred costs	1,485		29,435
Assets, Noncurrent	85,991		87,148
Assets	95,191		97,884
Liabilities, Current
Accounts payable, Current	87,072		66,574
Accrued liabilities, Current	162,383		162,383
Notes Payable, Current	19,935
Indebtedness to related parties, Current	600
Liabilities, Current	269,990		228,957
Liabilities	269,990		228,957
StockholdersEquity
Common Stock, Value, Issued	222,695	[1]	219,195	[2]
Additional Paid-in Capital, Common Stock	7,694,648		7,675,148
Retained Earnings (Accumulated Deficit )	(8,092,142)		(8,025,416)
Stockholders Equity	(174,799)		(131,073)
Liabilities and Equity	$ 95,191		$ 97,884
[1]	$.001 547,500,000 shares authorized 222,695,628 shares issued and outstanding in 2015.
[2]	$.001 547,500,000 shares authorized 219,195,268 issued and outstanding in 2014

Statements of Operations

Statements of Operations - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Operating Expenses
Compensation		$ 13,106		$ 41,831
Professional fees	$ 26,292	19,735	$ 44,949	44,651
General and Administrative Expense	6,152	5,560	16,942	17,111
Travel	70		629	1,192
Other General Expense		125		840
Operating Expenses	32,514	38,526	62,520	105,625
Operating Income (Loss)	(32,514)	(38,526)	(62,520)	(105,625)
Interest and Debt Expense
Interest Expense	1,334	679	4,206	1,319
Interest and Debt Expense	1,334	679	4,206	1,319
Income (Loss) from Continuing Operations before Income Taxes, Extraordinary Items, Noncontrolling Interest	(33,848)	(39,205)	(66,726)	(106,944)
Net Income (Loss)	$ (33,848)	$ (39,205)	$ (66,726)	$ (106,944)
Earnings Per Share, Basic	$ 0	$ 0	$ 0	$ 0
Weighted Average Number of Shares Outstanding, Basic	221,027,877	217,272,471	220,073,209	214,993,945

Statement of Cash Flows

Statement of Cash Flows - USD ($)	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Net Cash Provided by (Used in) Operating Activities
Net Income (Loss)	$ (66,726)	$ (106,944)
Adjustments, Noncash Items, to Reconcile Net Income (Loss) to Cash Provided by (Used in) Operating Activities
Amortization	8,275	10,090
Adjustments, Noncash Items, to Reconcile Net Income (Loss) to Cash Provided by (Used in) Operating Activities	(58,451)	(96,854)
Increase (Decrease) in Operating Liabilities
Increase (Decrease) in Accounts Payable and Accrued Liabilities	41,033	28,486
Increase (Decrease) in Operating Liabilities	41,033	28,486
Increase (Decrease) in Operating Capital	41,033	28,486
Net Cash Provided by (Used in) Operating Activities	(17,418)	(68,368)
Net Cash Provided by (Used in) Investing Activities
Payments to Acquire Intangible Assets	(35,068)
Payments for deferred costs	27,950	(8,132)
Net Cash Provided by (Used in) Investing Activities	(7,118)	(8,132)
Net Cash Provided by (Used in) Financing Activities
Proceeds from Issuance of Common Stock	23,000	70,650
Net Cash Provided by (Used in) Financing Activities	23,000	70,650
Cash and Cash Equivalents, Period Increase (Decrease)	(1,536)	(5,850)
Cash and Cash Equivalents, at Carrying Value	10,736	13,995
Cash and Cash Equivalents, at Carrying Value	9,200	8,145
Supplemental Disclosure of Cash Flow Information:
Interest	$ 2,872	$ 1,319

Note 1. Nature of Operations

Note 1. Nature of Operations	9 Months Ended
	Sep. 30, 2015
Notes
Note 1. Nature of Operations	Company Overview The operations of Advanced Voice Recognition Systems, Inc. (“AVRS” or the “Company”),http://www.avrsys.com, commenced in 1994 with a predecessor entity called NCC, Inc. NCC, Inc. was incorporated on March 15, 1994 in the State of Ohio. NCC, Inc. operated as a software and hardware development company that marketed voice recognition and transcription products for commercial applications. In May 2000, WG Investments, LLC acquired the assets of NCC, Inc. and subsequently changed its name to NCC, LLC. NCC, LLC (also a predecessor to AVRS) continued the operations of NCC, Inc. until approximately December 31, 2001, when shifts in the industry’s markets caused NCC, LLC to suspend its operations. AVRS was incorporated in the State of Colorado on July 7, 2005. In September 2005, the members of NCC, LLC transferred all of their membership interests in NCC, LLC to AVRS in exchange for 93,333,333 shares (post-recapitalization) of AVRS common stock. In December 2005, the Board of Directors approved a 1.5-to-1 stock split issuing 46,666,667 common shares (post-recapitalization), which increased the number of common shares outstanding to 140 million shares (post-capitalization). Following the incorporation of AVRS, the Company initiated a new business plan and intends to continue its operations in the voice recognition and transcription industry. AVRS is a software development company specializing in speech recognition technologies. AVRS has successfully obtained patent protection of its proprietary technology (refer to Note 3, Intangible Assets). The Company plans to focus its technologies for the medical profession because of the profession’s present extensive use of dictation and its need for multiple applications of speech recognition technology in the generation of reports, documents and medical bills. Additionally the Company plans to focus on server based dictation and transcription, visual voicemail and the voicemail to text market. The Company decided to early adopt ASU 2014-10 which eliminates the definition of a development stage entity, eliminates the development stage presentation and disclosure requirements under ASC 915, and amends provisions of existing variable interest entity guidance under ASC 810. Stock Exchange Agreement On April 28, 2008, the Company entered into a Stock Exchange Agreement (“the Agreement”) with Samoyed Energy Corp., a Nevada corporation (“Samoyed”), which resulted in a reverse acquisition. The Agreement provided for the reorganization of AVRS with Samoyed. In connection with the Agreement, Samoyed acquired all of the issued and outstanding common shares of AVRS in exchange for 140 million shares of Samoyed’s common stock. On May 19, 2008 at the closing of the Agreement, the former shareholders of AVRS owned approximately 85% of the outstanding common stock of Samoyed, resulting in a change in control. For accounting purposes, this acquisition has been treated as a reverse acquisition and recapitalization of AVRS, with Samoyed the legal surviving entity. Since Samoyed had, prior to the recapitalization, minimal assets and limited operations, the recapitalization has been accounted for as the sale of 24,700,008 shares of AVRS common stock for the net liabilities of Samoyed. Therefore, the historical financial information prior to the date of the recapitalization is the financial information of AVRS. Costs of the transaction have been charged to the period in which they are incurred. In connection with the Agreement, a shareholder of Samoyed holding an aggregate of 3.5 million shares of Samoyed’s common stock made payments totaling $565,651 since 2008 in lieu of tendering shares to the Company. The Company received the final payment of $6,000 on February 15, 2012. Agreement and Plan of Merger On March 25, 2009, the Company entered into an Agreement and Plan of Merger (“Agreement and Plan of Merger”) with its wholly-owned subsidiary, NCC, LLC, a Colorado limited liability company, whereby NCC, LLC merged with and into the Company pursuant to Section 92A.180 of the Nevada Business Corporations Act. Upon consummation of the Agreement and Plan of Merger: (i) NCC, LLC ceased to exist; (ii) the Company’s membership interests in NCC, LLC automatically were canceled or retired and ceased to exist, without any consideration delivered in exchange thereof; (iii) the title to all estate, property rights privileges, powers and franchise assets and/or other rights owned by NCC, LLC became vested in the Company without reversion or impairment; and (iv) all liabilities of any kind of NCC, LLC became vested in the Company. Stock Purchase Agreements During the year ended December 31, 2014, the Company entered into Stock Purchase Agreements for the private sale of an aggregate of 8,101,848 shares of the common stock for aggregate proceeds of $81,950, all of which was received in 2014. During the 9 months ended September 30, 2015, the Company entered into Stock Purchase Agreements for the private sale of an aggregate of 3,500,000 shares of the common stock for aggregate proceeds of $23,000, full payment of which was received in the period. Retention Agreement On March 16, 2015 the Company entered into a letter agreement with Adapt IP Ventures, LLC (Adapt IP) confirming the retention of Adapt IP to assist the Company in identifying companies that might be interested in acquiring and / or licensing the Company’s patents, to attempt to negotiate financial terms and conditions for acquisition and / or licensing and to assist with collection of compensation from such entities. Adapt IP will receive a success fee of 15% of net compensation received from such entities based upon Adapts IP’s efforts. The Company or Adapt IP may terminate the agreement upon 30 days’ notice to the other party. On August 20, 2015, Advanced Voice Recognition Systems, Inc. (AVRS) entered into a letter agreement with Dominion Harbor Group, LLC pursuant to which Dominion will provide strategic advisory services to AVRS to support the common goal of the acquisition, sale, licensing, prosecution, enforcement, and settlement with respect to AVRS’s intellectual property, including patents held by AVRS. The Company or Dominion may terminate the agreement upon 30 days’ notice to the other party. Promissory Note On April 20, 2015 the Company made a Promissory Note to Adapt IP Ventures, LLC (Adapt IP) for $20,000, and Adapt IP agreed to pay to the Company’s patent counsel up to $20,000 for patent work on behalf of the Company. The Note matures one year from the date of the Note. The Company is obligated to repay the funds advanced by Adapt IP plus a premium of 10% of the principal amount and a percentage of proceeds received by the Company from any monetization event involving the patents. If the Company repays the Note within the six months of the date of the Note, the percentage will be 1%, and it will be 2% after six months.

Note 2. Significant Accounting

Note 2. Significant Accounting Policies	9 Months Ended
	Sep. 30, 2015
Notes
Note 2. Significant Accounting Policies	Unaudited Financial Information The accompanying financial information at September 30, 2015 and for the nine months ended September 30, 2015 and 2014 is unaudited. In the opinion of management, all normal and recurring adjustments which are necessary to provide a fair presentation of the Company’s financial position atSeptember 30, 2015and its operating results for the nine months ended September 30, 2015 and 2014 have been made. Certain information and footnote data necessary for a fair presentation of financial position and results of operations in conformity with accounting principles generally accepted in the United States of America have been condensed or omitted. It is therefore suggested that these financial statements be read in conjunction with the summary of significant accounting policies and notes to financial statements included in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission (the “SEC”) for the year ended December 31, 2014. The results of operations for the nine months ended September 30, 2015 are not necessarily an indication of operating results to be expected for the year ending December 31, 2015. Going Concern The accompanying financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The Company may be unable to continue as a going concern for a reasonable period of time. The financial statements do not include any adjustments relating to the recoverability and classification of assets and liabilities that might be necessary should the Company be unable to continue as a going concern. The Company’s continuation as a going concern is dependent upon its ability to generate sufficient cash flow to meet its obligations on a timely basis and ultimately to attain profitability. During the years ended December 31, 2012 and 2011, the Company’s President loaned or advanced the Company funds for working capital on an “as needed” basis. There is no assurance that these loans or advances will continue in the future. During the twelve months ended December 31, 2014 the Company received an aggregate of $81,950 from the sale of shares in private offerings of its common stock.During the ninemonths ended September 30, 2015 the Company received an aggregate of $23,000 from the sale of shares in private offerings of its common stock. Use of Estimates The preparation of financial statements in accordance with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Basis of Consolidation The consolidated financial statements include our accounts and those of NCC, LLC which merged with and into AVRS, Inc. March 25, 2009. Intercompany transactions and balances have been eliminated. The accounts, results of operations and cash flows of acquired companies are included from their respective acquisition dates. Cash and Cash Equivalents The Company considers all highly liquid debt instruments with original maturities of three months or less when acquired to be cash equivalents. The Company had cash at September 30, 2015 of $9,200, and $8,145 cash at September 30, 2014. No amounts resulted from cash equivalents. Financial Instruments The carrying amounts of cash, receivables and current liabilities approximate fair value due to the short-term maturity of the instruments. Fixed Assets Fixed assets are stated at cost. Depreciation is calculated using the straight-line method over the estimated useful lives of the related assets, ranging from three to five years. Expenditures for additions and improvements are capitalized, while repairs and maintenance costs are expensed as incurred. The cost and related accumulated depreciation of property and equipment sold or otherwise disposed of are removed from the accounts and any gain or loss is recorded in the year of disposal. Revenue Recognition Revenue from the sale of inventory is recognized on the date of sale, title and risk of loss have transferred to the purchaser, the fees are fixed or determinable and collection is reasonably assured. Revenue from the performance of services is recognized when services have been completed and collection is probable. There are no multiple element sales and no history of material returns. The revenue recognition policies relate to operations performed prior to the Company’s reverse acquisition. Income Taxes Income taxes are provided for the tax effects of transactions reported in the financial statements and consist of taxes currently due plus deferred taxes related primarily to differences between the recorded book basis and the tax basis of assets and liabilities for financial and income tax reporting. Deferred tax assets and liabilities represent the future tax return consequences of those differences, which will either be taxable or deductible when the assets and liabilities are recovered or settled. Deferred taxes are also recognized for operating losses that are available to offset future taxable income and tax credits that are available to offset future federal income taxes. The Company believes that its income tax filing positions and deductions will be sustained on audit and does not anticipate any adjustments that will result in a material adverse effect on the Company’s financial condition, results of operations, or cash flow. Therefore, no reserves for uncertain income tax positions have been recorded pursuant to ASC 740. The Company did not record a cumulative effect adjustment related to the adoption of ASC 740. Patents, Deferred Costs and Amortization Patents consist of costs incurred to acquire issued patents. Amortization commences once a patent is granted. Costs incurred to acquire patents that have not been issued are reported as deferred costs. If a patent application is denied or expires, the costs incurred are charged to operations in the year the application is denied or expires. The Company amortizes its patents over an estimated useful life of twenty years. Impairment and Disposal of Long-Lived Assets The Company evaluates the carrying value of its long-lived assets under the provisions of Statement of Financial Accounting Standard (“SFAS”) No. 144, “Accounting for the Impairment or Disposal of Long-Lived Assets” now referred to as ASC 360-10 Property, Plant, and Equipment Gain from Early Extinguishment of Debt At December 31, 2013 the Company extinguished twelve year old debt. In addition the law firm which represented the Company in the interference matter closed their files on July 15, 2013 which extinguished that debt. In accordance with ASC 470-50-40-2 the Company recorded the gain of $213,240 on the early extinguishment of debt in other income on the face of the financial documents. Loss per Common Share The Company reports net loss per share using a dual presentation of basic and diluted loss per share. Basic net loss per share excludes the impact of common stock equivalents. Diluted net loss per share utilizes the average market price per share when applying the treasury stock method in determining common stock equivalents. At September 30, 2015 and 2014, there were no variances between the basic and diluted loss per share as there were no potentially dilutive securities outstanding. Fair Value of Financial Instruments The carrying amounts of cash and current liabilities approximate fair value because of the short-term maturity of these items. These fair value estimates are subjective in nature and involve uncertainties and matters of significant judgment, and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect these estimates. We do not hold or issue financial instruments for trading purposes, nor do we utilize derivative instruments. The FASB Accounting Standards Codification (ASC) clarifies that fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. It also requires disclosure about how fair value is determined for assets and liabilities and establishes a hierarchy for which these assets and liabilities must be grouped, based on significant levels of inputs as follows: Level 1: Quoted prices in active markets for identical assets or liabilities. Level 2: Quoted prices in active markets for similar assets and liabilities and inputs that are observable for the asset or liability. Level 3: Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions. The determination of where assets and liabilities fall within this hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Recent Accounting Pronouncements The Financial Accounting Standards Board (“FASB”) periodically issues new accounting standards in a continuing effort to improve standards of financial accounting and reporting. The Company has reviewed the recently issued pronouncements. During this review the Company decided to early adopt ASU 2014-10 which eliminates the definition of a development stage entity, eliminates the development stage presentation and disclosure requirements under ASC 915, and amends provisions of existing variable interest entity guidance under ASC 810.

Note 3. Intangible and Fixed As

Note 3. Intangible and Fixed Assets	9 Months Ended
	Sep. 30, 2015
Notes
Note 3. Intangible and Fixed Assets	Intangible Assets On November 13, 1995 the Company filed a patent application with the U.S. Patent and Trademark Office, which was granted on September 28, 1999 as patent #5,960,447, “Word Tagging and Editing System for Speech Recognition”. In accordance with 35 USC 154, the term for the above referenced patent shall be for a period beginning on the date on which the patent issues and ending 20 years from the date on which the application for the patent was filed in the United States. The above referenced U.S. Patent will expire on November 13, 2015. The Company monitors the anticipated outcome of legal actions, and if it determines that the success of the defense of a patent is probable, and so long as the Company believes that the future economic benefit of the patent will be increased, the Company capitalizes external legal costs incurred in the defense of the patent. Upon successful defense of litigation, the amounts previously capitalized are amortized over the remaining life of the patent. On July 7, 2009, Patent No.: US 7,558,730 titled “Speech Recognition and Transcription Among Users Having Heterogeneous Protocols” was issued by the U.S. Patent and Trademark Office. In accordance with 35 USC 154, the patent shall be for a term beginning on July 7, 2009 and ending 20 years from the application date of November 27, 2001. The patent will expire on November 27, 2021. The deferred fees were capitalized during the quarter ended September 30, 2009 and the Company began amortization. On March 9, 2010 the U.S. Patent and Trademark Office declared interference between the Company as Senior Party and Allvoice Developments, US LLC as Junior Party. Due to the absence of a decision by the end of 2010, in the 4 th On May 24, 2011 Patent No. US 7,949,534 was issued by the U.S. Patent and Trademark Office. In accordance with 35 USC 154, the patent shall be for a term beginning May 24, 2011 and ending 20 years from the application date of the parent application (US Patent No. #7,558,730) of November 27, 2001. The patent will expire on November 27, 2021. The deferred fees were capitalized during the quarter ended June 30, 2011 and the Company began amortization. On March 6, 2012 Patent No. US 8,131,557 was issued by the U.S. Patent and Trademark Office. In accordance with 35 USC 154, the patent shall be for a term beginning March 6, 2012 and ending 20 years from the application date of the parent application (US Patent No. 7,558,730) of November 27, 2001. The patent will expire on November 27, 2021. The deferred fees were capitalized during the quarter ended March 31, 2012 and the Company began amortization. On July 30, 2013 Patent No. US 8,498,871 titled “Dynamic Speech Recognition and Transcription Among Users Having Heterogeneous Protocols” was issued by the U.S. Patent and Trademark Office. In accordance with 35 USC 154, the patent shall be for a term beginning on July 30, 2013 and ending 20 years from the application date of November 27, 2001. The patent will expire on November 27, 2021. The deferred fees were capitalized during the quarter ended September 30, 2013 and the Company began amortization. On June 27, 2013 the Company filed two additional continuation applications 13/928/381 and 13/928,383 with the U.S. Patent and Trademark Office entitled “Speech Recognition and Transcription Among Users Having Heterogeneous Protocols.” On August 31, 2015 Application No 13/928,381 was abandon by the Company. Deferred costs were charged to operations the quarter ended September 30, 2015. On August 10, 2015 the Company filed a continuation application with the U.S. Patent and Trademark Office entitled “Speech Recognition and Transcription Among Users Having Heterogeneous Protocols.” On September 22, 2015 Patent No. US 9,142,217 titled “Dynamic Speech Recognition and Transcription Among Users Having Heterogeneous Protocols” was issued by the U.S. Patent and Trademark Office.In accordance with 35 USC 154, the patent shall be for a term beginning September 22, 2015 and ending 20 years from the application date of the parent application (US Patent No. 7,558,730) of November 27, 2001. The patent will expire on November 27, 2021. The deferred fees were capitalized during the quarter ended September 30, 2015 and the Company began amortization. Amortization at September 30, 2015 is as follows: SCHEDULE OF INTANGIBLE ASSETS September 30, 2015 U.S. Patent # Carrying Value Amortization Balance 5,960,447 $ 63,247 $ 63,247 $ -- 7,558,730 58,277 29,325 28,952 7,949,534 3,365 1,409 1,956 8,131,557 5,092 1,874 3,218 8,498,871 21,114 5,486 15,628 9,142,217 35,068 1,348 33,720 33,720 $ 186,163 $ 102,689 $ 83,474

Note 4. Related Party Transacti

Note 4. Related Party Transactions	9 Months Ended
	Sep. 30, 2015
Notes
Note 4. Related Party Transactions	Contributed Services During the years from 2000 through 2013 the Company’s officers and employees contributed management services and administrative services. The fair value of those services totaling $2,317,982 was recorded in the accompanying financial statements based on the prevailing rates for such services, with a corresponding credit to Additional paid-in capital. AVRS currently pays salaries to its two employees. Indebtedness to Related Parties During the years from 2000 through 2013, certain officers advanced the Company working capital to maintain the Company’s operations. The Company owed the officers $600 and $-0- at September 30, 2015 and December 31, 2014 respectively. The Company also owed the officers aggregate of $162,383 at September 30, 2015 for accrued payroll.

Note 5. Income Taxes

Note 5. Income Taxes	9 Months Ended
	Sep. 30, 2015
Notes
Note 5. Income Taxes	The Company is considered a start-up company for income tax purposes. As of September 30, 2015, the Company had not commenced its trade operations, so all costs were capitalized under Section 195. Accordingly, the Company had no net operating loss carry forwards at September 30, 2015. INCOME TAXES December 31, 2014 2013 U.S. federal statutory graduated rate 34.00% 34.00% State income tax rate, net of federal benefit 0.00% 0.00% Rent &services -10.09% -.45% Costs capitalized under Section 195 -23.91% -33.55% Effective rate 0.00% 0.00%

Note 6. Concentration of Risk

Note 6. Concentration of Risk	9 Months Ended
	Sep. 30, 2015
Notes
Note 6. Concentration of Risk	Beginning March 31, 2010, through September 30, 2015, all noninterest-bearing transaction accounts are fully insured, regardless of the balance of the account, at all FDIC-insured institutions. On September 30, 2015, the Company had cash balances at one FDIC insured financial institution of $9,200 in non-interest bearing accounts that were fully insured by the FDIC.

Note 7. Stockholder Equity _ (d

Note 7. Stockholder Equity / (deficit)	9 Months Ended
	Sep. 30, 2015
Notes
Note 7. Stockholder Equity / (deficit)	The Company has issued shares of its common stock pursuant to certain agreements as described in Note

Note 8. Subsequent Events

Note 8. Subsequent Events	9 Months Ended
	Sep. 30, 2015
Notes
Note 8. Subsequent Events	None

Note 2. Significant Accountin13

Note 2. Significant Accounting Policies: Use of Estimates (Policies)	9 Months Ended
	Sep. 30, 2015
Policies
Use of Estimates	The preparation of financial statements in accordance with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Note 2. Significant Accountin14

Note 2. Significant Accounting Policies: Basis of Consolidation (Policies)	9 Months Ended
	Sep. 30, 2015
Policies
Basis of Consolidation	The consolidated financial statements include our accounts and those of NCC, LLC which merged with and into AVRS, Inc. March 25, 2009. Intercompany transactions and balances have been eliminated. The accounts, results of operations and cash flows of acquired companies are included from their respective acquisition dates.

Note 2. Significant Accountin15

Note 2. Significant Accounting Policies: Cash and Cash Equivalents (Policies)	9 Months Ended
	Sep. 30, 2015
Policies
Cash and Cash Equivalents	The Company considers all highly liquid debt instruments with original maturities of three months or less when acquired to be cash equivalents. The Company had cash at September 30, 2015 of $9,200, and $8,145 cash at September 30, 2014. No amounts resulted from cash equivalents.

Note 2. Significant Accountin16

Note 2. Significant Accounting Policies: Financial Instruments (Policies)	9 Months Ended
	Sep. 30, 2015
Policies
Financial Instruments	The carrying amounts of cash, receivables and current liabilities approximate fair value due to the short-term maturity of the instruments.

Note 2. Significant Accountin17

Note 2. Significant Accounting Policies: Fixed Assets (Policies)	9 Months Ended
	Sep. 30, 2015
Policies
Fixed Assets	Fixed assets are stated at cost. Depreciation is calculated using the straight-line method over the estimated useful lives of the related assets, ranging from three to five years. Expenditures for additions and improvements are capitalized, while repairs and maintenance costs are expensed as incurred. The cost and related accumulated depreciation of property and equipment sold or otherwise disposed of are removed from the accounts and any gain or loss is recorded in the year of disposal.

Note 2. Significant Accountin18

Note 2. Significant Accounting Policies: Revenue Recognition (Policies)	9 Months Ended
	Sep. 30, 2015
Policies
Revenue Recognition	Revenue from the sale of inventory is recognized on the date of sale, title and risk of loss have transferred to the purchaser, the fees are fixed or determinable and collection is reasonably assured. Revenue from the performance of services is recognized when services have been completed and collection is probable. There are no multiple element sales and no history of material returns. The revenue recognition policies relate to operations performed prior to the Company’s reverse acquisition.

Note 2. Significant Accountin19

Note 2. Significant Accounting Policies: Income Taxes (Policies)	9 Months Ended
	Sep. 30, 2015
Policies
Income Taxes	Income taxes are provided for the tax effects of transactions reported in the financial statements and consist of taxes currently due plus deferred taxes related primarily to differences between the recorded book basis and the tax basis of assets and liabilities for financial and income tax reporting. Deferred tax assets and liabilities represent the future tax return consequences of those differences, which will either be taxable or deductible when the assets and liabilities are recovered or settled. Deferred taxes are also recognized for operating losses that are available to offset future taxable income and tax credits that are available to offset future federal income taxes. The Company believes that its income tax filing positions and deductions will be sustained on audit and does not anticipate any adjustments that will result in a material adverse effect on the Company’s financial condition, results of operations, or cash flow. Therefore, no reserves for uncertain income tax positions have been recorded pursuant to ASC 740. The Company did not record a cumulative effect adjustment related to the adoption of ASC 740.

Note 2. Significant Accountin20

Note 2. Significant Accounting Policies: Patents, Deferred Costs and Amortization (Policies)	9 Months Ended
	Sep. 30, 2015
Policies
Patents, Deferred Costs and Amortization	Patents consist of costs incurred to acquire issued patents. Amortization commences once a patent is granted. Costs incurred to acquire patents that have not been issued are reported as deferred costs. If a patent application is denied or expires, the costs incurred are charged to operations in the year the application is denied or expires. The Company amortizes its patents over an estimated useful life of twenty years.

Note 2. Significant Accountin21

Note 2. Significant Accounting Policies: Impairment and Disposal of Long-lived Assets (Policies)	9 Months Ended
	Sep. 30, 2015
Policies
Impairment and Disposal of Long-lived Assets	The Company evaluates the carrying value of its long-lived assets under the provisions of Statement of Financial Accounting Standard (“SFAS”) No. 144, “Accounting for the Impairment or Disposal of Long-Lived Assets” now referred to as ASC 360-10 Property, Plant, and Equipment

Note 2. Significant Accountin22

Note 2. Significant Accounting Policies: Gain From Early Extinguishment of Debt (Policies)	9 Months Ended
	Sep. 30, 2015
Policies
Gain From Early Extinguishment of Debt	At December 31, 2013 the Company extinguished twelve year old debt. In addition the law firm which represented the Company in the interference matter closed their files on July 15, 2013 which extinguished that debt. In accordance with ASC 470-50-40-2 the Company recorded the gain of $213,240 on the early extinguishment of debt in other income on the face of the financial documents.

Note 2. Significant Accountin23

Note 2. Significant Accounting Policies: Loss Per Common Share (Policies)	9 Months Ended
	Sep. 30, 2015
Policies
Loss Per Common Share	The Company reports net loss per share using a dual presentation of basic and diluted loss per share. Basic net loss per share excludes the impact of common stock equivalents. Diluted net loss per share utilizes the average market price per share when applying the treasury stock method in determining common stock equivalents. At September 30, 2015 and 2014, there were no variances between the basic and diluted loss per share as there were no potentially dilutive securities outstanding.

Note 2. Significant Accountin24

Note 2. Significant Accounting Policies: Fair Value of Financial Instruments (Policies)	9 Months Ended
	Sep. 30, 2015
Policies
Fair Value of Financial Instruments	The carrying amounts of cash and current liabilities approximate fair value because of the short-term maturity of these items. These fair value estimates are subjective in nature and involve uncertainties and matters of significant judgment, and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect these estimates. We do not hold or issue financial instruments for trading purposes, nor do we utilize derivative instruments. The FASB Accounting Standards Codification (ASC) clarifies that fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. It also requires disclosure about how fair value is determined for assets and liabilities and establishes a hierarchy for which these assets and liabilities must be grouped, based on significant levels of inputs as follows: Level 1: Quoted prices in active markets for identical assets or liabilities. Level 2: Quoted prices in active markets for similar assets and liabilities and inputs that are observable for the asset or liability. Level 3: Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions. The determination of where assets and liabilities fall within this hierarchy is based upon the lowest level of input that is significant to the fair value measurement.

Note 3. Intangible and Fixed 25

Note 3. Intangible and Fixed Assets: Schedule of Finite-Lived Intangible Assets by Major Class (Tables)	9 Months Ended
	Sep. 30, 2015
Tables/Schedules
Schedule of Finite-Lived Intangible Assets by Major Class	September 30, 2015 U.S. Patent # Carrying Value Amortization Balance 5,960,447 $ 63,247 $ 63,247 $ -- 7,558,730 58,277 29,325 28,952 7,949,534 3,365 1,409 1,956 8,131,557 5,092 1,874 3,218 8,498,871 21,114 5,486 15,628 9,142,217 35,068 1,348 33,720 33,720 $ 186,163 $ 102,689 $ 83,474

Note 3. Intangible and Fixed 26

Note 3. Intangible and Fixed Assets: Schedule of Finite-Lived Intangible Assets, Future Amortization Expense (Tables)	9 Months Ended
	Sep. 30, 2015
Tables/Schedules
Schedule of Finite-Lived Intangible Assets Future Amortization Expense	Ending June 30, 2015 2015 3,362 2016 13,454 2017 13,454 2018 13,454 2019 13,454 Thereafter 26,296 Total $ 83,474

Note 3. Intangible and Fixed 27

Note 3. Intangible and Fixed Assets: Property Plant and Equipment (Tables)	9 Months Ended
	Sep. 30, 2015
Tables/Schedules
Property Plant and Equipment	September 30, 2015 December 31, 2014 Computer equipment $ 6,627 $ 6,627 Computer software 3,640 3,640 10,267 10,267 Less accumulated depreciation (9,235) (8,354) Computer software and equipment, net $ 1,032 $ 1,913

Note 3. Intangible and Fixed 28

Note 3. Intangible and Fixed Assets: Schedule of Finite-Lived Intangible Assets by Major Class (Details) - USD ($)	Dec. 31, 2015	Sep. 30, 2015	Dec. 31, 2014
Carrying Value		$ 186,163
Amortization		102,689
Patent, net	$ 83,474	83,474	$ 55,800
5,960,447
Carrying Value		63,247
Amortization		63,247
7,558,730
Carrying Value		58,277
Amortization		29,325
Patent, net		28,952
7,949,534
Carrying Value		3,365
Amortization		1,409
Patent, net		1,956
8,131,557
Carrying Value		5,092
Amortization		1,874
Patent, net		3,218
8,498,871
Carrying Value		21,114
Amortization		5,486
Patent, net		15,628
9,142,217
Carrying Value		35,068
Amortization		1,348
Patent, net		$ 33,720

Note 3. Intangible and Fixed 29

Note 3. Intangible and Fixed Assets (Details) - USD ($)	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Details
Finite-Lived Intangible Assets Amortization Expense	$ 7,395	$ 9,210
Depreciation Expense	$ 881	$ 880

Note 3. Intangible and Fixed 30

Note 3. Intangible and Fixed Assets: Schedule of Finite-Lived Intangible Assets, Future Amortization Expense (Details) - USD ($)	Dec. 31, 2015	Sep. 30, 2015	Dec. 31, 2014
Details
Future Amortization Expense, Year One	$ 3,362
2,016	13,454
2,017	13,454
2,018	13,454
2,019	13,454
Thereafter	26,296
Total	$ 83,474	$ 83,474	$ 55,800

Note 3. Intangible and Fixed 31

Note 3. Intangible and Fixed Assets: Property Plant and Equipment (Details) - USD ($)	Sep. 30, 2015	Dec. 31, 2014
Details
Computer equipment	$ 6,627	$ 6,627
Computer software	3,640	3,640
Less accumulated depreciation	(9,235)	(8,354)
Computer software and equipment, net	$ 1,032	$ 1,913

Note 6. Income Taxes (Details)

Note 6. Income Taxes (Details)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Details
federal statutory graduated rate	34.00%	34.00%
State income tax rate, net of federal benefit	0.00%	0.00%
Rent & Services	(10.09%)	(0.45%)
Costs capitalized under Section 195	(23.91%)	(33.55%)
Effective rate	0.00%	0.00%