Nu-Med Plus (NUMD) 10-Q 9 Nov 16 2016 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2016	Nov. 09, 2016
Document and Entity Information:
Entity Registrant Name	Nu-Med Plus, Inc.
Document Type	10-Q
Document Period End Date	Sep. 30, 2016
Amendment Flag	false
Entity Central Index Key	1,543,637
Current Fiscal Year End Date	--12-31
Entity Common Stock, Shares Outstanding		37,241,744
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	2,016
Document Fiscal Period Focus	Q3
Trading Symbol	numd

Nu-Med Plus, Inc. Balance Sheet

Nu-Med Plus, Inc. Balance Sheets (unaudited) - USD ($)	Sep. 30, 2016	Dec. 31, 2015
Current assets
Cash	$ 1,383	$ 30,903
Prepaid expenses, current	226,629	26,270
Total current assets	228,012	57,173
Long-term assets
Property and equipment, net	24,870	30,230
Total long-term assets	24,870	30,230
Total assets	252,882	87,403
Current liabilities
Accounts payable	9,081	6,405
Accrued expense	62,081	52,637
Convertible promissory notes, due on demand, net of discount	255,309	234,683
Derivative liability	63,019	196,893
Total current liabilities	389,490	490,618
Stockholders' equity (deficit)
Preferred stock; $0.001 par value per share; 10,000,000 authorized; no shares issued and outstanding, respectively.	0	0
Common stock; $0.001 par value per share; 90,000,000 authorized; 37,241,744 and 36,474,244 shares issued and outstanding, as of September 30, 2016 and December 31, 2015 respectively.	37,242	36,474
Additional paid-in capital	3,567,847	2,461,615
Stock subscription payable	2,500	0
Retained deficit	(3,744,197)	(2,901,304)
Total stockholders' equity (deficit)	(136,608)	(403,215)
Total liabilities and stockholders' equity (deficit)	$ 252,882	$ 87,403

Nu-Med Plus, Inc. Balance Shee3

Nu-Med Plus, Inc. Balance Sheet (Parenthetical) - $ / shares	Sep. 30, 2016	Dec. 31, 2015
Statement of Financial Position
Preferred stock authorized	10,000,000	10,000,000
Preferred stock par value	$ 0.001	$ 0.001
Preferred stock issued	0	0
Preferred stock outstanding	0	0
Common stock authorized	90,000,000	90,000,000
Common stock par value	$ 0.001	$ 0.001
Common stock issued	37,241,744	36,474,244
Common stock outstanding	37,241,744	36,474,244

Nu-Med Plus, Inc. Statements of

Nu-Med Plus, Inc. Statements of Operations (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Income Statement
Revenue	$ 0	$ 0	$ 0	$ 0
Operating expenses
General and administrative expense	4,625	8,664	20,447	29,489
Payroll expense	11,486	11,465	32,078	34,910
Rent expense	5,166	3,388	13,494	11,716
Professional/Consulting Fees	672,751	277,997	868,072	729,792
Depreciation expense	1,787	1,855	5,361	5,429
Total operating expenses	695,815	303,368	939,452	811,336
Operating Loss	(695,815)	(303,368)	(939,452)	(811,336)
Other income/expense
Interest income	2	0	7	5
Interest expense	(12,436)	(4,010)	(37,222)	(11,897)
Gain (loss) on derivative	(8,558)	0	133,874	0
Total other income/expense	(20,992)	(4,010)	96,659	(11,892)
Income tax expense	0	0	100	0
Net loss	$ (716,807)	$ (307,378)	$ (842,893)	$ (823,228)
Basic and diluted loss per share	$ (0.02)	$ (0.01)	$ (0.02)	$ (0.02)
Weighted average common shares outstanding - basic and diluted	38,029,013	35,819,237	37,115,307	35,096,863

Nu-Med Plus, Inc. Statements o5

Nu-Med Plus, Inc. Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Cash flows from operating activities:
Net loss	$ (842,893)	$ (823,228)
Adjustment to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	25,986	5,429
Stock for services	780,142	532,500
Services rendered for subscription receivable	0	3,750
Services contributed by officers	0	409
(Gain) on derivative liability	(133,874)	0
Decrease (increase) in prepaid expenses	19,499	133,852
(decrease) Increase in accounts payable	2,676	0
Increase in accrued expense	9,444	11,899
Net cash used in operating activities	(139,020)	(135,389)
Cash flows from investing activities:
Net cash used in investing activities	0	0
Cash flows from financing activities
Proceeds from the sale of common stock and stock payable	109,500	79,329
Net cash provided by financing activities	109,500	79,329
Net increase/(decrease) in cash	(29,520)	(56,060)
Cash at beginning of period	30,903	56,271
Cash at end of period	1,383	211
Supplemental schedule of cash flow information
Cash paid for interest	0	0
Cash paid for income taxes	0	0
Supplemental schedule of non-cash financing activities
Common Stock reserved for prepaid services	$ 219,858	$ 45,000

Organization and Description of

Organization and Description of Business	9 Months Ended
	Sep. 30, 2016
Notes
Organization and Description of Business	NOTE 1 - ORGANIZATION AND DESCRIPTION OF BUSINESS Nu-Med Plus, Inc. is an emerging growth early stage medical device company principally engaged in the design, innovation, development, enhancement and commercialization of beginning, early, and selective later-stage quality medical devices. The Company's immediate focus is on a nitric oxide powder formulation that is 99% pure-with a one year shelf life, a "hospital" generator device with controls, plus built-in safety monitors, that delivers inhaled nitric oxide to replace expensive pressurized canisters, a compact mobile rechargeable device to deliver inhaled nitric oxide gas and a nitric oxide clinical unit, along with research into the application of nitric oxide in wound healing. The Company is incorporated in Utah. NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES a. Basis of Interim Financial Statement Presentation The accompanying unaudited financial statements have been prepared by the Company pursuant to accounting principles generally accepted in the United States of America. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted in accordance with rules and regulations of the Securities and Exchange Commission. The information furnished in the interim financial statements includes normal recurring adjustments and reflects all adjustments which, in the opinion of management, are necessary for a fair presentation of such financial statements. Although management believes the disclosures and information presented are adequate to make the information not misleading, it is suggested that these interim financial statements be read in conjunction with the Company’s most recent audited financial statements and notes thereto included in its December 31, 2015 financial statements. Operating results for the three and nine months ended September 30, 2016 are not necessarily indicative of the results that may be expected for the year ending December 31, 2016. b. Revenue Recognition The Company is currently developing its products. It is anticipated that revenue will be recognized on product sales once the product has been shipped to the customers, persuasive evidence of an agreement exists, the price is fixed or determinable, and collectability is reasonably assured. c. 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 amounts of assets and liabilities and 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. d. Derivative Financial Instruments In the 4 th Derivatives and Hedging e. Fair Value All cash, accounts receivable, accounts payable and accrued liabilities are carried at cost, which approximates fair value due to the short-term nature of these financial instruments. Additionally, we measure certain financial instruments at fair value on a recurring basis. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. FASB Accounting Standards Codification (“ASC”) Topic 820 establishes a three-tier fair value hierarchy that prioritizes the inputs used in measuring fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements). These tiers include: Level 1 - Quoted market prices in active markets for identical assets or liabilities; Level 2 - Inputs other than level one inputs that are either directly or indirectly observable; and Level 3 - Unobservable inputs developed using estimates and assumptions, which are developed by the reporting entity and reflect those assumptions that a market participant would use. Financial assets are considered Level 3 when their fair values are determined using pricing models, discounted cash flow methodologies or similar techniques and at least one significant model assumption or input is observable. In applying the Black-Scholes option model at September 30, 2016, the Company again revalued the conversion features using the following assumptions: stock price of $0.40, annualized volatility of 170%, and interest rate of 0.59% and determined that, during the three and nine month periods ended September 30, 2016, the Company’s derivative liability increased by $8,558 and decreased by $133,874, respectively to $63,019. The Company recognized a corresponding gain on derivative liability in conjunction with this revaluation during the three and nine month periods ended September 30, 2016. Liabilities measured at fair value on a recurring basis are as follows at September 30, 2016 and 2015: Level 3 Carrying Value at September 30, 2016 September 30, 2015 Derivative liabilities: Derivative Liability $ 63,019 $ Total Liabilities Measured at Fair Value $ 63,019 $ The following table shows the classifications of the Company’s liability at September 30, 2016 that are subject to fair value measurement and the roll-forward of these liabilities from December 31, 2015: For the Nine Months Ended September 30, 2016 For the Nine Months Ended 30, 2015 Balance at beginning of year $ 196,893 $ Derivative liability added $ 0 $ 0 Net change in fair value included in net income (loss) $ (133,874) $ 0 Total Liabilities Measured at Fair Value $ 63,019 $ f. Cash and Cash Equivalents The Company considers all deposit accounts and investment accounts with an original maturity of 90 days or less to be cash equivalents. g. Fixed Assets Fixed assets are stated at cost. Expenditure for minor repairs, maintenance, and replacement parts which do not increase the useful lives of the assets are charged to expense as incurred. Expenditures exceeding $500 for new assets, or that increase the useful life of existing assets, are capitalized. Depreciation is computed using the straight-line method. The lives over which the fixed assets are depreciated are five to seven years. h. Earnings per Share The computation of earnings per share of common stock is based on the weighted average number of shares outstanding during the period of the financial statement as follows: For the Three Months Ended September 30, 2016 For the Three Months Ended September 30, 2015 For the Nine Months Ended September 30, 2016 For the Nine Months Ended September 30, 2015 Net income (loss) (numerator) (716,807) (307,378) (842,893) (823,228) Shares (denominator) 38,029,013 35,819,237 37,115,307 35,096,863 Net income (loss) per share (0.02) (0.01) (0.02) (0.02) Diluted earnings per share is computed using the weighted average number of common shares plus dilutive common share equivalents outstanding during the period. During the periods ended September 30, 2016 and September 30, 2015 there were no outstanding common stock equivalents. Furthermore, due to the net loss for the three and nine months ended September 30, 2016 and 2015, common stock equivalents would not be included in the calculation of the net loss per common share, as their inclusion would be anti-dilutive. i. Income Taxes Deferred taxes are provided on an asset and liability approach whereby deferred tax assets are recognized for deductible temporary differences and operating loss and tax credit carryforwards and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax basis. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. j. Equity Instruments Issued for Non-Cash Items In accordance with ASC Topic 718, the Company records equity instruments issued for non-cash items at the grant-date fair value of the equity instruments issued. NOTE 3 - GOING CONCERN The Company acknowledges that the funds on hand as of September 30, 2016, will not be sufficient and funding through the sale of equity capital and short term related party and other shareholder loans in order to meet the planned expenditures for development, operations, and administrative cost over the next 12 months will be required. Planned expenditures are approximately $1,160,000 for the next twelve months. The Company is currently funded through November 30, 2016. The Company is actively working to secure the funding needed to execute its business plan. Until such funding is secured, management will adjust any salaries and expenditures based on the need for successful continuous operations. If plans to obtain further financing prove to be insufficient to fund operations, continued viability could be at risk. These factors raise substantial doubt about the Company's ability to continue as a going concern. No adjustments have been made in the financial statements that might result from this uncertainty.

Fixed Assets

Fixed Assets	9 Months Ended
	Sep. 30, 2016
Notes
Fixed Assets	NOTE 4 - FIXED ASSETS Fixed assets and related accumulated depreciation consisted of the following at September 30, 2016, and December 31, 2015: September 30, 2016 December 31, 2015 Equipment $ 49,373 $ 49,373 Accumulated depreciation (24,503) (19,143) Total Fixed Assets $ 24,870 $ 30,230 Depreciation expense for the three months ended September 30, 2016 and 2015 was $1,787 and $1,855, respectively. Depreciation expense for the nine months ended September 30, 2016 and 2015 was $5,361 and $5,429, respectively.

Preferred and Common Stock

Preferred and Common Stock	9 Months Ended
	Sep. 30, 2016
Notes
Preferred and Common Stock	NOTE 5 - PREFERRED STOCK On October 19, 2011, the Company filed Articles of Incorporation with the State of Utah so as to authorize 10,000,000 shares of preferred stock having a par value of $0.001 per share. No preferred shares are issued or outstanding at September 30, 2016. NOTE 6 - COMMON STOCK In February 2016, the Company entered into a stock subscription agreement with an investor for them to purchase up to 17,500 shares of common stock at a price of $0.40 per share. In February 2016, the Company received $7,000 for the Stock Subscription Payable. In March 2016, the Company entered into a stock subscription agreement with an investor for them to purchase up to 100,000 of common stock at a price of $0.40 per share. In March 2016, the Company received $100,000 for the Stock Subscription Payable. On April 21, 2016, the Company issued 267,500 shares of its restricted common stock in full satisfaction of all obligations under the stock subscription agreements then outstanding. On June 13, 2016, the directors of the Company entered into an amended consulting agreement and authorized the issuance of 2,500,000 shares of its restricted common stock in payment of those services. The agreement covers services to be provided through October 2016. The stock issued has a valuation, based on the closing price of the date of authorization, of $1,000,000. Of that amount, $773,371 was expensed in recognition of services received and the balance of $226,629 is recorded as a prepaid expense and will be amortized as the future services are rendered. On July 18, 2016 the Company entered into a stock subscription agreement with an investor for them to purchase up to 157,500 shares of restricted common stock at $0.40 per share. The agreement has an expiration date of August 1, 2017. On July 18 and July 27, 2016 the Company received $1,000 and $1,500, respectively, under this agreement. On August 5, 2016, Dr. Craig Morrison returned to the Company 2,000,000 shares of restricted common stock which is part of the 4,000,000 shares which had been issued to him for his services as a director and medical advisor. The 2,000,000 shares of stock were retired at their par value of $2,000, reducing the number of shares issued and outstanding.

Derivative Liability

Derivative Liability	9 Months Ended
	Sep. 30, 2016
Notes
Derivative Liability	NOTE 7 – DERIVATIVE LIABILITY The Company adopted ASC 815 which defines determining whether an instrument (or embedded feature) is solely indexed to an entity’s own stock. The exercise price of the newly issued and outstanding warrants are subject to “reset” provisions in the event the Company subsequently issues common stock, stock warrants, stock options or convertible debt with a stock price, exercise price or conversion price lower than exercise price of these warrants. If these provisions are triggered, the exercise price of the warrant will be reduced. As a result, the Company has determined that the exercise feature is not considered to be solely indexed to the Company’s own stock and is therefore not afforded equity treatment. In accordance with ASC 815, the Company has bifurcated the exercise feature of the warrants and recorded a derivative liability. ASC 815 requires Company management to assess the fair market value of certain derivatives at each reporting period and recognize any change in the fair market value as another income or expense item. The Company’s only asset or liability measured at fair value on a recurring basis is its derivative liability associated with warrants. At origination, the Company valued the conversion features using the following assumptions: stock price of $0.50 and annualized volatility of 232%. The Company determined that at origination the liability related to the debt issued was $102,327, which was $47,327 greater than the transaction value and was expensed at the time of origination. At December 31, 2015, the Company revalued the conversion features using the following assumptions: stock price of $0.94 and annualized volatility of 240%, and determined that, during the year ended December 31, 2015, the Company’s derivative liability increased by $94,566 to $196,893. The Company recognized a corresponding loss on derivative liability in conjunction with this revaluation during the year ended December 31, 2015. The Company revalued the conversion features at September 30, 2016 using the following assumptions: stock price of $0.40 and annualized volatility of 170%, and determined that, during the three and nine-month period ended September 30, 2016, the Company’s derivative liability increased by $8,558 for the three months and decreased by $133,874 for the nine month period to $63,019. The company recognized a corresponding loss of $8,558 on derivative liability in conjunction with this revaluation during the three-month period ended September 30, 2016. During the nine-month period ended September 30, 2016 and the year ended December 31, 2015 we had the following activity in the accounts related to our convertible notes payable: Derivative Liability Debt Discount Gain (Loss) on Derivative Liability Derivative liability at inception of new convertible debt $102,327 $(55,000) $(47,327) Loss on derivative liability 94,566 0 (94,566) Amortization of debt discount to interest expense 0 4,583 0 Balance at December 31, 2015 $196,893 $(50,417) $(141,893) Gain on derivative liability (133,874) 0 133,874 Amortization of debt discount to interest expense 0 20,625 0 Balance at September 30, 2016 $63,019 $(29,792) $(8,019)

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2016
Notes
Commitments and Contingencies	NOTE 8 - COMMITMENTS AND CONTINGENCIES Operating Lease Obligations The Company leases office space for which it incurred lease payments, on a month-to-month basis, beginning in February of 2012 for $1,000 per month. The Company also had a one-year lease on lab space beginning April 1, 2012 and ending March 31, 2013, with a monthly lease payment of $388. Pursuant to the lease agreement, at the end of one year, the term is month-to-month at the same rate of $388 per month.

Recent Accounting Pronouncement

Recent Accounting Pronouncements	9 Months Ended
	Sep. 30, 2016
Notes
Recent Accounting Pronouncements	NOTE 9 – RECENT ACCOUNTING PRONOUNCEMENTS In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update ("ASU") 2016-02, “L eases.” In March 2016, the FASB issued ASU 2016-09, “ Improvements to Employee Share-Based Payment Accounting The Company has reviewed all other recently issued, but not yet adopted, accounting standards in order to determine their effects, if any, on its consolidated results of operation, financial position and cash flows. Based on that review, the Company believes that none of these pronouncements will have a significant effect on its current or future earnings or operations.

Related Party Transactions

Related Party Transactions	9 Months Ended
	Sep. 30, 2016
Notes
Related Party Transactions	NOTE 10 - RELATED PARTY TRANSACTIONS Contributed Services During the three and nine months ended September 30, 2016 and 2015, the Company officers contributed services to the Company in the amount of $0 and $409, respectively. The Company officers received no compensation and have no expectation of compensation for these services, either now or in the future, and waive their rights to any such compensation. Compensation of Officers In 2012 the Company agreed to compensate its Chief Executive Officer $3,600 per month. Beginning in January 2013 the Company agreed to compensate its CEO $3,550 per month. In February 2015, the Company began compensating the Vice President of Technology and the Vice President of Scientific Development $2,000 per month for services provided to the Company.

Loan Payable

Loan Payable	9 Months Ended
	Sep. 30, 2016
Notes
Loan Payable	NOTE 11 - LOAN PAYABLE The Company received, during the year ended December 31, 2013, proceeds from a loan in the amount of $91,600. The Lender agreed to loan the Company up to $10,000 per month effective September 2012, for up to one year. This loan was memorialized in writing on September 30, 2013. The loan is considered to be a demand note, with a maturity 30 days from the receipt of demand and the holder may not make demand for payment until six months from the date thereof. On June 30, 2014, the Company accrued additional interest on this note, at a rate of 8.0% in the amount of $5,161 for six months. The total loan balance and accrued interest is $130,100 and $13,842 respectively. The note contains a conversion option. The conversion price is one share for each $0.01 of principal and accrued but unpaid interest of the note subject to a beneficial ownership limitation. That limitation prevents the holder from owning more than 4.9% of the number of shares of the common stock outstanding after conversion. If the holder's ownership has not previously been reduced to less than 4.9% of the number of shares outstanding, then the limitation shall be 9.9%. On November 18, 2015, the Company received $55,000 for which it issued a note payable. As the note carries no rate of interest, in December 2015, 33,800 shares of restricted common stock were issued in consideration.

Subsequent Events

Subsequent Events	9 Months Ended
	Sep. 30, 2016
Notes
Subsequent Events	NOTE 12 - SUBSEQUENT EVENTS The Company has evaluated subsequent events pursuant to ASC Topic 855 and has determined that there are no events that require disclosure as of the date of issuance.

Organization and Description 15

Organization and Description of Business: Accounting Method (Policies)	9 Months Ended
	Sep. 30, 2016
Policies
Accounting Method	a. Basis of Interim Financial Statement Presentation The accompanying unaudited financial statements have been prepared by the Company pursuant to accounting principles generally accepted in the United States of America. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted in accordance with rules and regulations of the Securities and Exchange Commission. The information furnished in the interim financial statements includes normal recurring adjustments and reflects all adjustments which, in the opinion of management, are necessary for a fair presentation of such financial statements. Although management believes the disclosures and information presented are adequate to make the information not misleading, it is suggested that these interim financial statements be read in conjunction with the Company’s most recent audited financial statements and notes thereto included in its December 31, 2015 financial statements. Operating results for the three and nine months ended September 30, 2016 are not necessarily indicative of the results that may be expected for the year ending December 31, 2016.

Organization and Description 16

Organization and Description of Business: Revenue Recognition (Policies)	9 Months Ended
	Sep. 30, 2016
Policies
Revenue Recognition	b. Revenue Recognition The Company is currently developing its products. It is anticipated that revenue will be recognized on product sales once the product has been shipped to the customers, persuasive evidence of an agreement exists, the price is fixed or determinable, and collectability is reasonably assured.

Organization and Description 17

Organization and Description of Business: Estimates (Policies)	9 Months Ended
	Sep. 30, 2016
Policies
Estimates	c. 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 amounts of assets and liabilities and 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.

Organization and Description 18

Organization and Description of Business: Derivative Financial Instruments (Policies)	9 Months Ended
	Sep. 30, 2016
Policies
Derivative Financial Instruments	d. Derivative Financial Instruments In the 4 th Derivatives and Hedging

Organization and Description 19

Organization and Description of Business: Fair Value (Policies)	9 Months Ended
	Sep. 30, 2016
Policies
Fair Value	e. Fair Value All cash, accounts receivable, accounts payable and accrued liabilities are carried at cost, which approximates fair value due to the short-term nature of these financial instruments. Additionally, we measure certain financial instruments at fair value on a recurring basis. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. FASB Accounting Standards Codification (“ASC”) Topic 820 establishes a three-tier fair value hierarchy that prioritizes the inputs used in measuring fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements). These tiers include: Level 1 - Quoted market prices in active markets for identical assets or liabilities; Level 2 - Inputs other than level one inputs that are either directly or indirectly observable; and Level 3 - Unobservable inputs developed using estimates and assumptions, which are developed by the reporting entity and reflect those assumptions that a market participant would use. Financial assets are considered Level 3 when their fair values are determined using pricing models, discounted cash flow methodologies or similar techniques and at least one significant model assumption or input is observable. In applying the Black-Scholes option model at September 30, 2016, the Company again revalued the conversion features using the following assumptions: stock price of $0.40, annualized volatility of 170%, and interest rate of 0.59% and determined that, during the three and nine month periods ended September 30, 2016, the Company’s derivative liability increased by $8,558 and decreased by $133,874, respectively to $63,019. The Company recognized a corresponding gain on derivative liability in conjunction with this revaluation during the three and nine month periods ended September 30, 2016. Liabilities measured at fair value on a recurring basis are as follows at September 30, 2016 and 2015: Level 3 Carrying Value at September 30, 2016 September 30, 2015 Derivative liabilities: Derivative Liability $ 63,019 $ Total Liabilities Measured at Fair Value $ 63,019 $ The following table shows the classifications of the Company’s liability at September 30, 2016 that are subject to fair value measurement and the roll-forward of these liabilities from December 31, 2015: For the Nine Months Ended September 30, 2016 For the Nine Months Ended 30, 2015 Balance at beginning of year $ 196,893 $ Derivative liability added $ 0 $ 0 Net change in fair value included in net income (loss) $ (133,874) $ 0 Total Liabilities Measured at Fair Value $ 63,019 $

Organization and Description 20

Organization and Description of Business: Cash and Cash Equivalents (Policies)	9 Months Ended
	Sep. 30, 2016
Policies
Cash and Cash Equivalents	f. Cash and Cash Equivalents The Company considers all deposit accounts and investment accounts with an original maturity of 90 days or less to be cash equivalents.

Organization and Description 21

Organization and Description of Business: Fixed Assets (Policies)	9 Months Ended
	Sep. 30, 2016
Policies
Fixed Assets	g. Fixed Assets Fixed assets are stated at cost. Expenditure for minor repairs, maintenance, and replacement parts which do not increase the useful lives of the assets are charged to expense as incurred. Expenditures exceeding $500 for new assets, or that increase the useful life of existing assets, are capitalized. Depreciation is computed using the straight-line method. The lives over which the fixed assets are depreciated are five to seven years.

Organization and Description 22

Organization and Description of Business: Earnings Per Share (Policies)	9 Months Ended
	Sep. 30, 2016
Policies
Earnings Per Share	h. Earnings per Share The computation of earnings per share of common stock is based on the weighted average number of shares outstanding during the period of the financial statement as follows: For the Three Months Ended September 30, 2016 For the Three Months Ended September 30, 2015 For the Nine Months Ended September 30, 2016 For the Nine Months Ended September 30, 2015 Net income (loss) (numerator) (716,807) (307,378) (842,893) (823,228) Shares (denominator) 38,029,013 35,819,237 37,115,307 35,096,863 Net income (loss) per share (0.02) (0.01) (0.02) (0.02) Diluted earnings per share is computed using the weighted average number of common shares plus dilutive common share equivalents outstanding during the period. During the periods ended September 30, 2016 and September 30, 2015 there were no outstanding common stock equivalents. Furthermore, due to the net loss for the three and nine months ended September 30, 2016 and 2015, common stock equivalents would not be included in the calculation of the net loss per common share, as their inclusion would be anti-dilutive.

Organization and Description 23

Organization and Description of Business: Income Taxes (Policies)	9 Months Ended
	Sep. 30, 2016
Policies
Income Taxes	i. Income Taxes Deferred taxes are provided on an asset and liability approach whereby deferred tax assets are recognized for deductible temporary differences and operating loss and tax credit carryforwards and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax basis. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment.

Organization and Description 24

Organization and Description of Business: Equity Instruments Issued For Non-cash Items (Policies)	9 Months Ended
	Sep. 30, 2016
Policies
Equity Instruments Issued For Non-cash Items	j. Equity Instruments Issued for Non-Cash Items In accordance with ASC Topic 718, the Company records equity instruments issued for non-cash items at the grant-date fair value of the equity instruments issued.

Organization and Description 25

Organization and Description of Business: Going Concern (Policies)	9 Months Ended
	Sep. 30, 2016
Policies
Going Concern	NOTE 3 - GOING CONCERN The Company acknowledges that the funds on hand as of September 30, 2016, will not be sufficient and funding through the sale of equity capital and short term related party and other shareholder loans in order to meet the planned expenditures for development, operations, and administrative cost over the next 12 months will be required. Planned expenditures are approximately $1,160,000 for the next twelve months. The Company is currently funded through November 30, 2016. The Company is actively working to secure the funding needed to execute its business plan. Until such funding is secured, management will adjust any salaries and expenditures based on the need for successful continuous operations. If plans to obtain further financing prove to be insufficient to fund operations, continued viability could be at risk. These factors raise substantial doubt about the Company's ability to continue as a going concern. No adjustments have been made in the financial statements that might result from this uncertainty.

Organization and Description 26

Organization and Description of Business: Fair Value (Tables)	9 Months Ended
	Sep. 30, 2016
Tables/Schedules
Fair Value, Liabilities Measured on Recurring Basis	Level 3 Carrying Value at September 30, 2016 September 30, 2015 Derivative liabilities: Derivative Liability $ 63,019 $ Total Liabilities Measured at Fair Value $ 63,019 $
Fair Value, Measured on Recurring Basis, Gain (Loss) Included in Earnings	For the Nine Months Ended September 30, 2016 For the Nine Months Ended 30, 2015 Balance at beginning of year $ 196,893 $ Derivative liability added $ 0 $ 0 Net change in fair value included in net income (loss) $ (133,874) $ 0 Total Liabilities Measured at Fair Value $ 63,019 $

Organization and Description 27

Organization and Description of Business: Earnings Per Share (Tables)	9 Months Ended
	Sep. 30, 2016
Tables/Schedules
Schedule of Earnings Per Share, Basic and Diluted	For the Three Months Ended September 30, 2016 For the Three Months Ended September 30, 2015 For the Nine Months Ended September 30, 2016 For the Nine Months Ended September 30, 2015 Net income (loss) (numerator) (716,807) (307,378) (842,893) (823,228) Shares (denominator) 38,029,013 35,819,237 37,115,307 35,096,863 Net income (loss) per share (0.02) (0.01) (0.02) (0.02)

Fixed Assets (Tables)

Fixed Assets (Tables)	9 Months Ended
	Sep. 30, 2016
Tables/Schedules
Property, Plant and Equipment	September 30, 2016 December 31, 2015 Equipment $ 49,373 $ 49,373 Accumulated depreciation (24,503) (19,143) Total Fixed Assets $ 24,870 $ 30,230

Derivative Liability (Tables)

Derivative Liability (Tables)	9 Months Ended
	Sep. 30, 2016
Tables/Schedules
Schedule of Derivatives Instruments Statements of Financial Performance and Financial Position, Location	Derivative Liability Debt Discount Gain (Loss) on Derivative Liability Derivative liability at inception of new convertible debt $102,327 $(55,000) $(47,327) Loss on derivative liability 94,566 0 (94,566) Amortization of debt discount to interest expense 0 4,583 0 Balance at December 31, 2015 $196,893 $(50,417) $(141,893) Gain on derivative liability (133,874) 0 133,874 Amortization of debt discount to interest expense 0 20,625 0 Balance at September 30, 2016 $63,019 $(29,792) $(8,019)

Organization and Description 30

Organization and Description of Business: Fair Value (Details) - USD ($)	1 Months Ended	3 Months Ended	9 Months Ended		12 Months Ended
	Oct. 31, 2015	Sep. 30, 2016	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015	Jun. 30, 2016	Mar. 31, 2016	Jun. 30, 2015	Dec. 31, 2014
Details
Fair Value Assumptions, Exercise Price	$ 0.50	$ 0.40	$ 0.40		$ 0.94
Fair Value Assumptions, Expected Volatility Rate	232.00%		170.00%		240.00%
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Inputs Reconciliation, Period Increase (Decrease)		$ 8,558	$ 133,874		$ 94,566
Derivative liability		63,019	63,019	$ 0	$ 196,893	$ 63,019	$ 63,019	$ 0	$ 0
Liabilities, Fair Value Disclosure, Recurring		$ 63,019	63,019	0
Increase (Decrease) in Derivative Liabilities			0	0
Gain (Loss) on Derivative Instruments, Net, Pretax			$ (133,874)	$ 0

Organization and Description 31

Organization and Description of Business: Earnings Per Share (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Details
Net loss	$ (716,807)	$ (307,378)	$ (842,893)	$ (823,228)
Weighted average common shares outstanding - basic and diluted	38,029,013	35,819,237	37,115,307	35,096,863
Basic and diluted loss per share	$ (0.02)	$ (0.01)	$ (0.02)	$ (0.02)

Organization and Description 32

Organization and Description of Business: Going Concern (Details)	9 Months Ended
	Sep. 30, 2016USD ($)
Details
Planned expenditures	$ 1,160,000

Fixed Assets (Details)

Fixed Assets (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Details
Property, Plant and Equipment, Gross	$ 49,373		$ 49,373		$ 49,373
Accumulated Depreciation	(24,503)		(24,503)		(19,143)
Property and equipment, net	24,870		24,870		$ 30,230
Depreciation expense	$ 1,787	$ 1,855	$ 5,361	$ 5,429

Preferred and Common Stock (Det

Preferred and Common Stock (Details) - USD ($)	1 Months Ended					3 Months Ended	9 Months Ended
	Jul. 31, 2016	Apr. 30, 2016	Mar. 31, 2016	Feb. 29, 2016	Dec. 31, 2015	Sep. 30, 2016	Sep. 30, 2016	Oct. 19, 2011
Details
Preferred stock authorized					10,000,000	10,000,000	10,000,000	10,000,000
Preferred stock par value					$ 0.001	$ 0.001	$ 0.001	$ 0.001
Stock Issued During Period, Shares, Other	157,500			17,500
Sale of Stock, Price Per Share						$ 0.40	$ 0.40
Stock Issued During Period, Value, Other			$ 100,000	$ 7,000
Stock Issued During Period, Value, New Issues			$ 100,000				$ 1,000
Stock Issued During Period, Shares, New Issues		267,500			33,800
Stock Issued During Period, Shares, Share-based Compensation, Net of Forfeitures						4,000,000	2,500,000
Stock Granted, Value, Share-based Compensation, Net of Forfeitures							$ 1,000,000
Consulting Fee Balanced Expense						$ 773,371	773,371
Consulting Prepaid Expense Balance						$ 226,629	226,629
Second Subscription Payment Received							$ 1,500
Stock Repurchased and Retired During Period, Shares							2,000,000
Stock Repurchased During Period, Value							$ 2,000

Derivative Liability (Details)

Derivative Liability (Details) - USD ($)	1 Months Ended	3 Months Ended		6 Months Ended	9 Months Ended		12 Months Ended
	Oct. 31, 2015	Sep. 30, 2016	Sep. 30, 2015	Jun. 30, 2016	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015	Mar. 31, 2016	Jun. 30, 2015	Dec. 31, 2014
Details
Fair Value Assumptions, Exercise Price	$ 0.50	$ 0.40			$ 0.40		$ 0.94
Fair Value Assumptions, Expected Volatility Rate	232.00%				170.00%		240.00%
Derivative Liability At Inception		$ 102,327			$ 102,327
Amortization of Debt Discount (Premium)					47,327
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Inputs Reconciliation, Period Increase (Decrease)		8,558			133,874		$ 94,566
Derivative liability		63,019	$ 0	$ 63,019	63,019	$ 0	196,893	$ 63,019	$ 0	$ 0
Derivative, Gain (Loss) on Derivative, Net					133,874
Proceeds from Notes Payable					(55,000)
Amortization of Debt Discount (Premium)					(47,327)
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Inputs Reconciliation, Period Increase (Decrease)		(8,558)			(133,874)		(94,566)
Interest on Convertible Debt, Net of Tax					20,625		4,583
Repayments of Convertible Debt					(29,792)		(50,417)
Derivative, Loss on Derivative					(8,019)		$ (141,893)
(Gain) on derivative liability		8,558	0	133,874	(133,874)	0
Gain (loss) on derivative		$ (8,558)	$ 0	$ (133,874)	$ 133,874	$ 0

Commitments and Contingencies (

Commitments and Contingencies (Details)	9 Months Ended
	Sep. 30, 2016USD ($)
Details
monthly office lease payment	$ 1,000
monthly lab lease payment	$ 388

Related Party Transactions (Det

Related Party Transactions (Details) - USD ($)	9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2013	Dec. 31, 2012
Details
Services contributed by officers	$ 0	$ 409
Officers' Compensation	$ 2,000		$ 3,550	$ 3,600

Loan Payable (Details)

Loan Payable (Details) - USD ($)	1 Months Ended		9 Months Ended
	Apr. 30, 2016	Dec. 31, 2015	Sep. 30, 2016
Details
Additional Loan Proceeds			$ 91,600
Accounts Payable, Accrued Liabilities, and Other Liabilities Disclosure, Current			The Lender agreed to loan the Company up to $10,000 per month effective September 2012, for up to one year.
Accounts Payable, Interest-bearing, Interest Rate			8.00%
additional loan accrued interest			$ 5,161
Convertible Notes Payable			130,100
convertible note payable accrued interest			$ 13,842
Debt Instrument, Convertible, Terms of Conversion Feature			The conversion price is one share for each $0.01 of principal and accrued but unpaid interest of the note subject to a beneficial ownership limitation. That limitation prevents the holder from owning more than 4.9% of the number of shares of the common stock outstanding after conversion. If the holder's ownership has not previously been reduced to less than 4.9% of the number of shares outstanding, then the limitation shall be 9.9%.
Proceeds from Notes Payable			$ 55,000
Stock Issued During Period, Shares, New Issues	267,500	33,800