Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Mar. 24, 2023 | Jun. 30, 2022 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2022 | ||
Document Transition Report | false | ||
Entity File Number | 1-4324 | ||
Entity Registrant Name | ANDREA ELECTRONICS CORPORATION | ||
Entity Incorporation, State or Country Code | NY | ||
Entity Tax Identification Number | 11-0482020 | ||
Entity Address, Address Line One | 620 Johnson Avenue Suite 1B | ||
Entity Address, City or Town | Bohemia | ||
Entity Address, State or Province | NY | ||
Entity Address, Postal Zip Code | 11716 | ||
City Area Code | 631 | ||
Local Phone Number | 719-1800 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Emerging Growth Company | false | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 2,347,897 | ||
Entity Common Stock, Shares Outstanding (in shares) | 68,104,957 | ||
Auditor Firm ID | 688 | ||
Auditor Name | Marcum LLP | ||
Auditor Location | Melville, NY | ||
Entity Central Index Key | 0000006494 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2022 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash | $ 55,622 | $ 148,349 |
Accounts receivable, net of allowance for doubtful accounts of $4,789 | 165,712 | 236,338 |
Inventories, net | 284,159 | 259,007 |
Prepaid expenses and other current assets | 56,736 | 99,163 |
Total current assets | 562,229 | 742,857 |
Property and equipment, net | 36,537 | 39,511 |
Intangible assets, net | 158,809 | 194,200 |
Other assets, net | 120,306 | 161,876 |
Total assets | 877,881 | 1,138,444 |
Current liabilities: | ||
Trade accounts payable and other current liabilities | 524,653 | 704,363 |
Current portion of long-term debt | 8,772 | 4,386 |
Accrued Series C Preferred Stock Dividends | 19,168 | 19,168 |
Total current liabilities | 552,593 | 727,917 |
Operating lease liabilities payable | 81,184 | 119,886 |
Long-term debt | 2,692,899 | 2,451,257 |
Total liabilities | 3,326,676 | 3,299,060 |
Commitments and Contingencies | ||
Shareholders’ deficit: | ||
Preferred stock, $.01 par value; authorized: 2,497,500 shares; none issued and outstanding | 0 | 0 |
Common stock, $.01 par value; authorized: 200,000,000 shares; 68,104,957 issued and outstanding | 681,050 | 681,050 |
Additional paid-in capital | 78,086,910 | 78,086,910 |
Accumulated deficit | (81,225,827) | (80,937,648) |
Total shareholders’ deficit | (2,448,795) | (2,160,616) |
Total liabilities and shareholders’ deficit | 877,881 | 1,138,444 |
Series C Preferred Stock [Member] | ||
Shareholders’ deficit: | ||
Preferred stock, $.01 par value; authorized: 2,497,500 shares; none issued and outstanding | 0 | 0 |
Series D Preferred Stock [Member] | ||
Shareholders’ deficit: | ||
Preferred stock, $.01 par value; authorized: 2,497,500 shares; none issued and outstanding | $ 9,072 | $ 9,072 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Allowance for doubtful accounts | $ 4,789 | $ 4,789 |
Preferred Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred Stock, Shares Authorized (in shares) | 2,497,500 | 2,497,500 |
Preferred Stock, Shares Issued (in shares) | 0 | 0 |
Preferred Stock, Shares Outstanding, Ending Balance (in shares) | 0 | 0 |
Preferred Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.01 | $ 0.01 |
Common Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 200,000,000 | 200,000,000 |
Common Stock, Shares, Issued (in shares) | 68,104,957 | 68,104,957 |
Common stock, shares outstanding (in shares) | 68,104,957 | 68,104,957 |
Series C Preferred Stock [Member] | ||
Preferred Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred Stock, Shares Authorized (in shares) | 1,500 | 1,500 |
Preferred Stock, Shares Issued (in shares) | 11.47 | 11.47 |
Preferred Stock, Shares Outstanding, Ending Balance (in shares) | 11.469249 | 11.47 |
Preferred Stock, Liquidation Preference, Value | $ 114,692 | $ 114,692 |
Preferred Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred Stock, Liquidation Preference, Value | $ 114,692 | $ 114,692 |
Series D Preferred Stock [Member] | ||
Preferred Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred Stock, Shares Authorized (in shares) | 2,500,000 | 2,500,000 |
Preferred Stock, Shares Issued (in shares) | 907,144 | 907,144 |
Preferred Stock, Shares Outstanding, Ending Balance (in shares) | 907,144 | 907,144 |
Preferred Stock, Liquidation Preference, Value | $ 907,144 | $ 907,144 |
Preferred Stock, Par or Stated Value Per Share (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred Stock, Liquidation Preference, Value | $ 907,144 | $ 907,144 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Revenues | ||
Net product revenues | $ 1,961,796 | $ 1,663,497 |
Cost of revenues | 578,174 | 433,022 |
Gross margin | 1,383,622 | 1,230,475 |
Patent Monetization Expenses | 156,016 | 163,439 |
Research and development expenses | 460,318 | 587,499 |
General, administrative and selling expenses | 1,090,405 | 1,074,589 |
Operating loss | (323,117) | (595,052) |
Gain from forgiveness of Paycheck Protection Program Loans and related interest | 0 | 295,346 |
Income from Employee Retention Tax Credits | 140,137 | 0 |
Interest expense, net | (103,931) | (73,505) |
Loss from operations before provision for income taxes | (286,911) | (373,211) |
Provision for income taxes | 1,268 | 585 |
Net loss | $ (288,179) | $ (373,796) |
Basic and diluted weighted average shares (in shares) | 68,104,957 | 68,104,957 |
Basic and diluted net loss per share (in dollars per share) | $ 0 | $ (0.01) |
Product [Member] | ||
Revenues | ||
Net product revenues | $ 1,952,176 | $ 1,621,327 |
License and Service [Member] | ||
Revenues | ||
Net product revenues | $ 9,620 | $ 42,170 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Deficit - USD ($) | Series C Preferred Stock [Member] Preferred Stock [Member] | Series D Preferred Stock [Member] Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Total |
Balance (in shares) at Dec. 31, 2020 | 11.469249 | 907,144 | 68,104,957 | |||
Balance at Dec. 31, 2020 | $ 9,072 | $ 681,050 | $ 78,086,910 | $ (80,563,852) | $ (1,786,820) | |
Net loss | (373,796) | (373,796) | ||||
Balance (in shares) at Dec. 31, 2021 | 11.469249 | 907,144 | 68,104,957 | |||
Balance at Dec. 31, 2021 | $ 9,072 | $ 681,050 | 78,086,910 | (80,937,648) | (2,160,616) | |
Net loss | (288,179) | (288,179) | ||||
Balance (in shares) at Dec. 31, 2022 | 11.469249 | 907,144 | 68,104,957 | |||
Balance at Dec. 31, 2022 | $ 9,072 | $ 681,050 | $ 78,086,910 | $ (81,225,827) | $ (2,448,795) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Net loss | $ (288,179) | $ (373,796) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 49,905 | 38,082 |
Forgiveness of Paycheck Protection Program Loans and related interest | 0 | (295,346) |
Inventory net realizable adjustment | (9,139) | 9,820 |
Provision for income taxes | 1,268 | 585 |
Amortization of right-of-use assets | 41,570 | 47,455 |
Deferred interest on Paycheck Protection Program Loans and SBA Loan, net | 2,686 | 2,816 |
PIK interest, net | 98,342 | 67,225 |
Change in: | ||
Accounts receivable | 69,358 | (54,052) |
Inventories | (16,013) | (154,434) |
Prepaid expenses, other current assets and other assets | 42,427 | 11,072 |
Trade accounts payable and other current liabilities and operating lease liabilities payable | (218,412) | 244,864 |
Net cash used in operating activities | (226,187) | (455,709) |
Cash flows from investing activities: | ||
Purchases of property and equipment | (10,864) | (29,508) |
Purchases of patents and trademarks | (676) | (11,941) |
Net cash used in investing activities | (11,540) | (41,449) |
Cash flows from financing activities: | ||
Proceeds from long-term notes | 145,000 | 140,000 |
Net cash provided by financing activities | 145,000 | 282,777 |
Net decrease in cash | (92,727) | (214,381) |
Cash, beginning of year | 148,349 | 362,730 |
Cash, end of year | 55,622 | 148,349 |
Supplemental disclosures of cash flow information: | ||
Income Taxes | 1,919 | 639 |
Interest | 2,924 | 3,655 |
Long-term Debt Excluding PPP Loan [Member] | ||
Cash flows from financing activities: | ||
Proceeds from Paycheck Protection Program Loans | $ 0 | $ 142,777 |
Note 1 - Basis of Presentation
Note 1 - Basis of Presentation | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | 1. ORGANIZATION AND BUSINESS Andrea Electronics Corporation, incorporated in the State of New York in 1934, (together with its subsidiaries, “Andrea” or the “Company”) has been engaged in the electronic communications industry since its inception. Since the early 1990s, Andrea has been primarily focused on developing and manufacturing state-of-the-art microphone technologies and products for enhancing speech-based applications software and communications, primarily in the computer and business enterprise markets that require high quality, clear voice signals. Andrea’s technologies eliminate unwanted background noise to enable the optimum performance of various speech-based and audio applications. Andrea DSP Microphone and Audio Software Products have been designed for applications that are controlled by or depend on speech across a broad range of hardware and software platforms. These products incorporate Digital Signal Processing, Noise Cancellation, Active Noise Cancellation and Active Noise Reduction microphone technologies, and are designed to cancel background noise in a wide range of noisy environments, such as homes, offices, factories and automobiles. Andrea also manufactures a line of accessories for these products for the consumer and commercial markets in the United States as well as in Europe and Asia. Andrea’s products and technologies are developed in part using its proprietary intellectual property. Andrea intends to vigorously defend and monetize its intellectual property through licensing arrangements and, where necessary, enforcement actions against those entities using our patented solutions in their products. |
Note 2 - Summary of Significant
Note 2 - Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Liquidity Uncertainty ASC 205-40, “Presentation of Financial statements-Going Concern,” requires management to evaluate whether there are relevant conditions and events that, in the aggregate, raise substantial doubt about the entity’s ability to continue as a going concern and to meet its obligations as they become due within one year after the date that the financial statements are issued. Based upon the evaluation, management believes the Company has the ability to meet its obligations as they become due within the next twelve months from the date of the financial statement issuance. The global economy, including the impact from the COVID-19 global pandemic (and new variants of COVID-19), continues to evolve. The Company continues to monitor the global economy and its impact on operations, financial position, cash flows, inventory (including supply chain related impacts), purchasing trends, customer payments, and the industry in general, in addition to the impact on its employees. Due to the fluidity of this situation, the magnitude and duration of such impacts on the Company's operations and liquidity is uncertain and cannot be determined as of the date of this report. In 2022 and 2021, the Company saw an increase in component costs due to supply chain issues related to COVID-19 as well as general economic conditions and global, which may continue into the future with additional ramifications to our business. The Company’s loss before income taxes was approximately $286,911 for the year ended December 31, 2022, of which approximately $50,000 represents non-cash depreciation and amortization expenses. As part of its evaluation, management considered the Company’s cash balance of $55,622 and working capital of $9,636 as of December 31, 2022 as well as the Company’s projected revenues and expenses for the next twelve months. These projections included decreased research and development expenses relating to Andrea DSP Microphone and Audio Software Technology as such upgrades were completed in 2022 and decreased general and administrative expenses as a result of becoming a non-filing entity. If the Company is not successful in achieving its projected revenues and expenses, it may need to seek other sources of revenue, areas of further expense reduction or additional funding from other sources such as debt or equity raising. However, there is no assurance that the Company would be successful in seeking other sources of revenue, finding further expense reductions and/or completing a debt or equity raise which would have a material adverse effect on the Company’s and its financial statements. Principles of Consolidation The consolidated financial statements include the accounts of Andrea and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Reclassifications Certain prior period balances have been reclassified in order to conform to the current year presentation. These reclassifications have no effect on previously reported results of operation or loss per share. Loss Per Share Basic loss per share is computed by dividing the net loss by the weighted average number of common shares outstanding during the period. Diluted loss adjusts basic loss per share for the effect of convertible securities, stock options and other potentially dilutive financial instruments, only in the periods in which such effect is dilutive. Diluted loss per share is based on the assumption that all dilutive convertible shares and stock options were converted or exercised. Dilution is computed by applying the treasury stock method for the outstanding options, and the if-converted method for the outstanding convertible instruments. Under the treasury stock method, options are assumed to be exercised at the beginning of the period (or at the time of issuance, if later) and as if funds obtained thereby were used to purchase common stock at the average market price during the period. Under the if-converted method, outstanding convertible instruments are assumed to be converted into common stock at the beginning of the period (or at the time of issuance, if later). Securities that could potentially dilute basic earnings per share (“EPS”) in the future that were not included in the computation of the diluted EPS because to do so would have been anti-dilutive for the periods presented, consist of the following: December 31, 2022 2021 Total potentially dilutive common shares as of: Stock options to purchase common stock (Note 13) 6,301,500 6,301,500 Series C Convertible Preferred Stock and related accrued dividends (Note 9) 524,736 524,736 Series D Convertible Preferred Stock (Note 10) 3,628,576 3,628,576 Total potentially dilutive common shares 10,454,812 10,454,812 Cash Cash includes cash and highly liquid investments with original maturities of three months or less. At various times during the years ended December 31, 2022 and 2021, the Company had cash deposits in excess of the maximum amounts insured by the Federal Deposit Insurance Corporation insurance limits. At December 31, 2022, the Company’s cash was held at four financial institutions. Concentration of Risk The following customers accounted for 10% or more of Andrea’s consolidated total revenues during at least one of the periods presented below: December 31, 2022 2021 Customer A 21 % 22 % Customer B 14 % 19 % Customer C 14 % 13 % Customer D 15 % 11 % As of December 31, 2022, Customers A, B, and C accounted for approximately 42%, 27%, and 10%, respectively, of accounts receivable. As of December 31, 2021, Customers A, B, C and D accounted for approximately 29%, 22%, 16% and 17%, respectively, of accounts receivable. The following supplier accounted for 10% or more of Andrea’s purchases during the periods presented below: December 31, 2022 2021 Supplier A 53 % 29 % Supplier B 13 % 16 % Supplier C 12 % 19 % Supplier D 11 % * Supplier E * 10 % * Amounts are less than 10% There are no suppliers that accounted for more than 10% of total trade accounts payable and other current liabilities as of December 31, 2022 or December 31, 2021, Accounts Receivable Accounts receivable are carried at their contractual amounts. Management establishes an allowance for doubtful accounts based on its historic loss experience and current economic conditions. Losses are charged to the allowance when management deems further collection efforts will not produce additional recoveries. As of December 31, 2022 and 2021, there was an allowance for doubtful accounts of $4,789. Allowance for Doubtful Accounts The Company performs on-going credit evaluations of its customers and adjusts credit limits based upon payment history and the customer’s current credit worthiness, as determined by the review of their current credit information. Collections and payments from customers are continuously monitored. The Company maintains an allowance for doubtful accounts, which is based upon historical experience, as well as specific customer collection issues that have been identified. While such bad debt expenses have historically been within expectations and allowances established, the Company cannot guarantee that it will continue to experience the same credit loss rates that it has in the past. If the financial condition of customers were to deteriorate, resulting in an impairment of their ability to make payments, additional allowances may be required. Inventories Inventories are stated at the lower of cost (on a first-in, first-out) or net realizable value. The cost of inventory is based on the respective cost of materials. Andrea reviews its inventory reserve for obsolescence on a quarterly basis and establishes reserves on inventories based on the specific identification method. Andrea records charges in inventory reserves as part of cost of revenues. Property and Equipment, net Property and equipment is stated at cost less accumulated depreciation and amortization. Depreciation is provided on a straight-line basis over the estimated useful lives of the assets ranging from 3 to 10 years. Leasehold improvements are amortized on a straight-line basis over the shorter of the lives of the respective leases or the expected useful lives of those improvements. Expenditures for maintenance and repairs that do not materially prolong the normal useful life of an asset are charged to operations as incurred. Improvements that substantially extend the useful lives of the assets are capitalized. Upon sale or other disposition of assets, the cost and related accumulated depreciation and amortization are removed from the accounts and the resulting gain or loss, if any, is reflected in the statement of operations. Other Intangible Assets Andrea amortizes its core technology and patents and trademarks on a straight-line basis over their estimated useful lives that range from 10 to 20 years. Long-Lived Assets Andrea accounts for its long-lived assets in accordance with ASC 360 “Plant, Property and Equipment,” for purposes of determining and measuring impairment of its long-lived assets (primarily intangible assets) other than goodwill. Andrea’s policy is to review the value assigned to its long-lived assets to determine if they have been permanently impaired by adverse conditions which may affect Andrea whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. If Andrea identifies a permanent impairment such that the carrying amount of Andrea’s long-lived assets is not recoverable using the sum of an undiscounted cash flow projection (gross margin dollars from product sales), the impaired asset is adjusted to its estimated fair value, based on an estimate of future discounted cash flows which becomes the new cost basis for the impaired asset. Considerable management judgment is necessary to estimate undiscounted future operating cash flows and fair values and, accordingly, actual results could vary significantly from such estimates. At December 31, 2022 and 2021, as a result of operating losses, Andrea compared the sum of undiscounted cash flow projections (gross margin dollars from product sales) to the carrying value and Andrea concluded that there were no long lived assets were impaired. Revenue Recognition In accordance with ASC Topic 606 "Revenue from Contracts with Customers" the Company recognizes revenue using the following five-step approach: 1. Identify the contract with a customer. 2. Identify the performance obligations in the contract. 3. Determine the transaction price of the contract. 4. Allocate the transaction price to the performance obligations in the contract. 5. Recognize revenue when the performance obligations are met or delivered. This approach includes the evaluation of sales terms, performance obligations, variable consideration, and costs to obtain and fulfill contracts. The Company disaggregates its revenues into three contract types: (1) product revenues, (2) service related revenues and (3) license revenues and then further disaggregates its revenues by operating segment. Generally, product revenue is comprised of microphones and microphone connectivity product revenues. Product revenue is recognized when the Company satisfies its performance obligation by transferring promised goods to a customer. Product revenue is measured at the transaction price, which is based on the amount of consideration that the Company expects to receive in exchange for transferring the promised goods to the customer. Contracts with customers are comprised of customer purchase orders, invoices and written contracts. Customer product orders are fulfilled at a point in time and not over a period of time. The Company does not have arrangements for returns from customers and does not have any future obligations directly or indirectly related to product resale by customers. The Company has no sales incentive programs. Service related and licensing revenues are recognized based on the terms and conditions of individual contracts using the five step approach listed above, which identifies performance obligations and transaction price. Typically, Andrea receives licensing reports from its licensees approximately one quarter in arrears due to the fact that its agreements require customers to report revenues between 30 to 60 days after the end of the quarter. Under this accounting policy, the licensing revenues reported are not based upon estimates. In addition, service related revenues, which are short-term in nature, are generally performed on a time-and-material basis under separate service arrangements and the corresponding revenue is generally recognized as the services are performed. At December 31, 2022, the Company had $19,769 of deferred revenue, which are advance payments from customers that are expected to be recognized as revenue within one year and are included in trade accounts payable and other current liabilities in the Company’s consolidated balance sheets. See Note 14 for additional description of the Company’s reportable business segments and the revenue reported in each segment. Income Taxes Andrea accounts for income taxes in accordance with ASC 740, “Income Taxes” (“ASC 740”). ASC 740 requires an asset and liability approach for financial accounting and reporting for income taxes and establishes for all entities a minimum threshold for financial statement recognition of the benefit of tax positions, and requires certain expanded disclosures. The provision for income taxes is based upon income or loss after adjustment for those permanent items that are not considered in the determination of taxable income. Deferred income taxes represent the tax effects of differences between the financial reporting and tax bases of the Company’s assets and liabilities at the enacted tax rates in effect for the years in which the differences are expected to reverse. The Company evaluates the recoverability of deferred tax assets and establishes a valuation allowance when it is more likely than not that some portion or all of the deferred tax assets will not be realized. As of December 31, 2022, the Company has recorded a full valuation allowance. Management makes judgments as to the interpretation of the tax laws that might be challenged upon an audit and cause changes to previous estimates of tax liability. In management’s opinion, adequate provisions for income taxes have been made for all years. If actual taxable income by tax jurisdiction varies from estimates, additional allowances or reversals of reserves may be necessary. Income tax expense consists of taxes payable for the period, withholding of income tax as mandated by the foreign jurisdiction in which the revenues are earned and the change during the period in deferred tax assets and liabilities. The Company has identified its federal tax return and its state tax return in New York as "major" tax jurisdictions. Based on the Company's evaluation, it has concluded that there are no significant uncertain tax positions requiring recognition in the Company's consolidated financial statements. The Company's evaluation was performed for tax years ended 2019 through 2022. The Company believes that its income tax positions and deductions will be sustained on audit and does not anticipate any adjustments that will result in a material change to its financial position. Research and Development Andrea expenses all research and development costs as incurred. Advertising Expenses All media costs of newspaper and magazine advertisements as well as trade show costs are expensed as incurred. Total advertising and marketing expenses for each of the years ended December 31, 2022 and 2021 was approximately $7,000 and $6,000, respectively, and is included in general, administrative and selling expenses. Fair Value of Financial Instruments ASC 820 “Fair Value Measurement and Disclosures: (“ASC 820”) defines fair value, establishes a framework for measuring fair value in accordance with generally accepted accounting principles in the United States of America (“GAAP”), and expands disclosures about payments to transfer a liability in an orderly transaction between market participants at the measurement date. ASC 820 applies to all assets and liabilities that are measured and reported on a fair value basis. The Company will apply the provisions of ASC 820 to nonfinancial assets and liabilities. Andrea calculates the fair value of financial instruments and includes this additional information in the notes to consolidated financial statements when the fair value is different than the book value of those financial instruments. When the book value approximates fair value, no additional disclosure is made. Andrea uses quoted market prices whenever available to calculate these fair values. When quoted market prices are not available, Andrea uses standard pricing models for various types of financial instruments which take into account the present value of estimated future cash flows. As of December 31, 2022 and 2021, the carrying value of all financial instruments approximated fair value. Use of Estimates The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities and disclosures of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Management bases its estimates on historical experience and on various assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying value of assets and liabilities that are not readily apparent from other sources. The most significant estimates, among other things, are used in accounting for inventory valuation and obsolescence, deferred income taxes valuation allowance, expected realizable values for assets (primarily intangible assets), contingencies, and liquidity. Estimates and assumptions are periodically reviewed and the effects of any material revisions are reflected in the consolidated financial statements in the period that they are determined to be necessary. Actual results could differ from those estimates and assumptions. Subsequent Events The Company evaluates events that occurred after the balance sheet date but before the financial statements are issued. Based upon the evaluation, other than what is disclosed, the Company did not identify any recognized or non-recognized subsequent events that would have required adjustment or disclosure in the consolidated financial statements. |
Note 3 - Intangible Assets
Note 3 - Intangible Assets | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Goodwill and Intangible Assets Disclosure [Text Block] | 3. INTANGIBLE ASSETS Intangible assets, net, consisted of the following: December 31, 2022 2021 Core Technology $ 8,567,448 $ 8,567,448 Patents and trademarks 995,627 994,951 9,563,075 9,562,399 Less: accumulated amortization (9,404,266 ) (9,368,199 ) $ 158,809 $ 194,200 The changes in the carrying amount of intangible assets during the years ended December 31, 2022 and 2021 were as follows: Balance as of January 1, 2021 $ 212,619 Additions during the period 11,941 Amortization (30,360 ) Balance as of December 31, 2021 194,200 Additions during the period 676 Amortization (36,067 ) Balance as of December 31, 2022 $ 158,809 Andrea accounts for its intangible assets in accordance with ASC 360 “Property, Plant and Equipment” for purposes of determining and measuring impairment. Andrea’s policy is to periodically review the value assigned to its intangible assets to determine if they have been permanently impaired by adverse conditions which may affect Andrea. If Andrea identifies a permanent impairment such that the carrying amount of Andrea’s intangible assets are not recoverable using the sum of an undiscounted cash flow projection (gross margin dollars from product revenues), a new cost basis for the impaired asset will be established. If required, an impairment charge is recorded based on an estimate of future discounted cash flows. This new cost basis will be net of any recorded impairment. At December 31, 2022 and 2021, as a result of operating losses, Andrea compared the sum of undiscounted cash flow projections (gross margin dollars from product sales) to the carrying value and Andrea concluded that there were no intangible assets that were impaired. The weighted average remaining amortization period at December 31, 2022 is 5.8 years. Amortization expense was $36,067 and $30,360 for the years ended December 31, 2022 and 2021, respectively. Patents and trademarks, once issued are amortized on a straight-line basis over periods ranging from 10 to 20 years. Assuming no changes in the Company's intangible assets, estimated amortization expense for each of the five succeeding fiscal years ending December 31 is expected to be approximately $31,000, $31,000, $22,000, $22,000 and $22,000, respectively. |
Note 4 - Inventories
Note 4 - Inventories | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Inventory Disclosure [Text Block] | 4. INVENTORIES, NET Inventories, net consisted of the following: December 31, 2022 2021 Raw materials $ 133,732 $ 102,444 Finished goods 150,427 156,563 $ 284,159 $ 259,007 |
Note 5 - Property and Equipment
Note 5 - Property and Equipment, Net | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | 5. PROPERTY AND EQUIPMENT, NET Property and equipment, net, consisted of the following: December 31, 2022 2021 Information Technology Equipment $ 302,213 $ 299,443 Furniture and fixtures 87,958 87,958 Tools, molds and testing equipment 214,829 206,735 605,000 594,136 Less: accumulated depreciation and amortization (568,463 ) (554,625 ) $ 36,537 $ 39,511 Depreciation and amortization of property and equipment was $13,838 and $7,722 for the years ended December 31, 2022 and 2021, respectively. |
Note 6 - Revenue Sharing, Note
Note 6 - Revenue Sharing, Note Purchase Agreement | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Revenue Sharing Note Purchase Agreement [Text Block] | 6. REVENUE SHARING, NOTE PURCHASE AGREEMENT On December 24, 2014, the Company entered into an Amended and Restated Revenue Sharing and Note Purchase Agreement (the “Revenue Sharing Agreement”) with AND34 Funding LLC (“AND34”) (acting as the “Revenue Participants,” the “Note Purchasers,” and the “Collateral Agent”), which was retroactively effective as of February 14, 2014. Under the Revenue Sharing Agreement, the Company granted AND34 a perpetual predetermined share in the rights of the Company’s specified future revenues from patents (“Monetization Revenues”) owned by the Company (the “Patents”) in exchange for $3,500,000, which was fully repaid as of September 30, 2016 and issued certain notes containing the features described in the Revenue Sharing Agreement (the “Notes”), which were repaid in 2016. In 2016, 2017, 2019, 2021, 2022 and 2023, the parties executed and amended a rider to the Revenue Sharing Agreement (the “Rider”) pursuant to which Andrea agreed to issue and sell to AND34 additional Notes up to an aggregate amount of $11,500,000 (the “Additional Notes”), or such greater amount as AND34 may agree to in its sole discretion. The Additional Notes and related payment -–in-kind (“PIK”) Interest have a maturity date of January 20, 2026. The proceeds of the Additional Notes will be used to pay certain expenses related to the Revenue Sharing Agreement and expenses of the Company incurred in pursuing patent monetization. The Patents are collateral to the Additional Notes. As of December 31, 2021, there was $2,024,422 of Additional Notes principal and $276,770 PIK interest outstanding. As of December 31, 2022, there was $2,169,422 of Additional Notes principal and $375,112 PIK interest outstanding. Any Monetization Revenues will first be applied 100% to the payment of accrued and unpaid interest on, and then to repay outstanding principal of, the Additional Notes. After the Additional Notes are paid in full, the Monetization Revenues will be allocated amongst the Revenue Participants and the Company in accordance with certain predetermined percentages (based on aggregate amounts received by the Revenue Participants) ranging from 50% to ultimately 20% to the Revenue Participants. Monetization Revenues is defined in the Revenue Sharing Agreement to include, but is not limited to, amounts that the Company receives from third parties with respect to the Patents, which may include new license revenues, certain product revenue, payments and judgments. Monetization Revenues and associated expenses are included in the Company’s Patent Monetization Segment (See Note 14). The Revenue Sharing Agreement contains many stipulations between the parties regarding the handling of various matters related to the monetization of the Patents including tax treatment. Following an Event of Default under the Revenue Sharing Agreement, the Note Purchasers and Revenue Participants may proceed to protect and enforce their rights by suit or other appropriate proceeding, either for specific performance or the exercise of any power granted under the Revenue Sharing Agreement or ancillary documents including the Additional Notes. |
Note 7- Long Term Debt
Note 7- Long Term Debt | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Long-Term Debt [Text Block] | 7. LONG TERM DEBT The unpaid principal amount of the Additional Notes (including any PIK Interest) has an interest rate equal to LIBOR (as defined in the Revenue Sharing Agreement) plus 2% per annum, (totaling 5.67% at December 31, 2022 and 3.00% at December 31, 2021); provided that upon and during the continuance of an Event of Default (as set forth in the Revenue Sharing Agreement), the interest rate will increase an additional 2% per annum. Interest may be paid in cash at the option of the Company and otherwise shall be paid by increasing the principal amount of the Additional Notes by the amount of such interest (“PIK Interest”). The Company may prepay the Additional Notes from time to time in whole or in part, without penalty or premium. During the years ended December 31, 2022 and 2021, $145,000 and $140,000, respectively, of Additional Notes were issued to AND34. As of December 31, 2022, the remaining amount of Additional Notes that can be issued is $3,415,000. On February 27, 2023, $50,000 of Additional Notes were issued to AND34. On May 8, 2020, the Company entered into a certain SBA Note and Loan Agreement with HSBC Bank USA, N.A. pursuant to which the Company received loan proceeds of $142,775 (the “PPP Loan First Draw”). While applying for the PPP Loan First Draw, the SBA advanced $8,000 of loan proceeds to the Company on April 30, 2020. The PPP Loan First Draw was made under, and is subject to the terms and conditions of, the Paycheck Protection Program (“PPP”) which was established under the CARES Act and is administered by the SBA. The term of the PPP Loan First Draw was two years with a maturity date of May 8, 2022 and contained a favorable fixed annual interest rate of 1.00%. Under the terms of the CARES Act, recipients could apply for and receive forgiveness for all or a portion of loans granted under the PPP. Such forgiveness is determined, subject to limitations, based on the use of loan proceeds for certain permissible purposes as set forth in the PPP, including, but not limited to, payroll costs (as defined under the PPP) and mortgage interest, rent or utility costs (collectively, “Qualifying Expenses”), and on the maintenance of employee and compensation levels during the eight-week period following the funding of the PPP Loan First Draw. The Company used the proceeds of the PPP Loan First Draw for Qualifying Expenses. In January 2021, $142,775 and $866 of accrued interest from the PPP Loan First Draw were forgiven. In April 2021, the initial advance of $8,000 and $87 of accrued interest was also forgiven. On July 13, 2020, the Company entered into the SBA Loan pursuant to which the Company received loan proceeds of $150,000. The SBA Loan was made under, and is subject to, the terms and conditions of, the Economic Injury Disaster Loan Program, which was a program expanded for COVID-19 relief under the CARES Act and is administered by the SBA. The term of the SBA Loan is thirty (30) years with a maturity date of July 13, 2050 and the annual interest rate of the SBA Loan is a fixed rate of 3.75%. Under the terms of the CARES Act, the use of loan proceeds for the SBA Loan is limited to alleviating economic injury caused by the COVID-19 pandemic. The Company has used the proceeds of the SBA Loan for such purpose. On February 5, 2021, the Company entered into a certain SBA Note and Loan Agreement with HSBC Bank USA, N.A. pursuant to which the Company received loan proceeds of $142,777 (the “PPP Loan Second Draw”). The PPP Loan Second Draw was made under, and is subject to the terms and conditions of, the PPP. The Company used the proceeds of the PPP Loan Second Draw for Qualifying Expenses. In September 2021, $142,777 and accrued interest of $841 were forgiven. Long-term debt Amounts reported as current maturities of long-term debt reflect amounts expected to be paid in the next twelve months. December 31, 2022 2021 Additional Notes $ 2,169,422 $ 2,024,422 PIK interest 375,112 276,770 SBA Loan with accrued interest 157,137 154,451 Total long-term debt 2,701,671 2,455,643 Less: current maturities of long-term debt (8,772 ) (4,386 ) Long-term debt, net of current maturities $ 2,692,899 $ 2,451,257 |
Note 8 - Trade Accounts Payable
Note 8 - Trade Accounts Payable and Other Current Liabilities | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Accounts Payable, Accrued Liabilities, and Other Liabilities Disclosure, Current [Text Block] | 8. TRADE ACCOUNTS PAYABLE AND OTHER CURRENT LIABILITIES Trade accounts payable and other current liabilities consisted of the following: December 31, 2022 2021 Trade accounts payable $ 111,876 $ 162,829 Payroll and related expenses 43,696 42,472 Patent monetization expenses 157,605 162,990 Current operating lease liabilities payable 38,702 39,909 Deferred revenue 19,769 123,451 Professional and other service fees 153,005 172,712 Total trade accounts payable and other current liabilities $ 524,653 $ 704,363 |
Note 9 - Series C Convertible P
Note 9 - Series C Convertible Preferred Stock | 12 Months Ended |
Dec. 31, 2022 | |
Series C Preferred Stock [Member] | |
Notes to Financial Statements | |
Preferred Stock [Text Block] | 9. SERIES C CONVERTIBLE PREFERRED STOCK On October 10, 2000, Andrea issued and sold in a private placement $7,500,000 of Series C Redeemable Convertible Preferred Stock (the “Series C Preferred Stock”). Each of these shares of Series C Preferred Stock had a stated value of $10,000 plus a $1,671 increase in the stated value, which sum is convertible into Common Stock at a conversion price of $0.2551. On February 17, 2004, Andrea announced that it had entered into an Exchange and Termination Agreement and an Acknowledgment and Waiver Agreement, which eliminated any right of holders of the Series C Preferred Stock to require a redemption of the Series C Preferred Stock, with two limited exceptions which are within Andrea’s control, and eliminated the dividend of 5% per annum on the stated value. The additional amount of $1,671 represents the 5% per annum from October 10, 2000 through February 17, 2004. The shares of Series C Preferred Stock are subject to antidilution provisions, which are triggered in the event of certain stock splits, recapitalizations, or other dilutive transactions. In addition, issuances of common stock at a price below the conversion price then in effect (currently $0.2551), or the issuance of warrants, options, rights, or convertible securities which have an exercise price or conversion price less than that conversion price, other than for certain previously outstanding securities and certain “excluded securities” (as defined in the certificate of amendment), require the adjustment of the conversion price to that lower price at which shares of common stock have been issued or may be acquired. In the event that Andrea issues securities in the future which have a conversion price or exercise price which varies with the market price and the terms of such variable price are more favorable than the conversion price in the Series C Preferred Stock, the purchasers may elect to substitute the more favorable variable price when making conversions of the Series C Preferred Stock. As of December 31, 2022, there were 11.469249 shares of Series C Preferred Stock outstanding, which were convertible into 524,736 shares of Common Stock and had remaining accrued dividends of $19,168. |
Note 10 - Series D Convertible
Note 10 - Series D Convertible Preferred Stock | 12 Months Ended |
Dec. 31, 2022 | |
Series D Preferred Stock [Member] | |
Notes to Financial Statements | |
Preferred Stock [Text Block] | 10. SERIES D CONVERTIBLE PREFERRED STOCK On February 17, 2004, Andrea entered into a Securities Purchase Agreement (including a Registration Rights Agreement) with certain holders of the Series C Preferred Stock and other investors (collectively, the “Buyers”) pursuant to which the Buyers agreed to invest a total of $2,500,000. In connection with this agreement, on February 23, 2004, the Buyers purchased, for a purchase price of $1,250,000, an aggregate of 1,250,000 shares of a new class of preferred stock, the Series D Preferred Stock, convertible into 5,000,000 shares of Common Stock (an effective conversion price of $0.25 per share) and Common Stock warrants exercisable for an aggregate of 2,500,000 shares of Common Stock. These warrants were exercisable at any time after August 17, 2004, at an exercise price of $0.38 per share. On February 23, 2009, these warrants expired without being exercised. In addition, on June 4, 2004, the Buyers purchased for an additional $1,250,000, an additional 1,250,000 shares of Series D Preferred Stock convertible into 5,000,000 shares of Common Stock (an effective conversion price of $0.25 per share) and Common Stock warrants exercisable for an aggregate of 2,500,000 shares of Common Stock. The warrants were exercisable at any time after December 4, 2004 and before June 4, 2009 at an exercise price of $0.17 per share. On June 4, 2009, these warrants expired without being exercised. The shares of Series D Preferred Stock are also subject to antidilution provisions, which are triggered in the event of certain stock splits, recapitalizations, or other dilutive transactions. In addition, issuances of common stock at a price below the conversion price then in effect (an effective conversion price of $0.25 per share), or the issuance of warrants, options, rights, or convertible securities which have an exercise price or conversion price less than that conversion price, other than for certain previously outstanding securities and certain “excluded securities” (as defined in the certificate of amendment), require the adjustment of the conversion price to that lower price at which shares of common stock have been issued or may be acquired. In the event that Andrea issues securities in the future which have a conversion price or exercise price which varies with the market price and the terms of such variable price are more favorable than the conversion price in the Series D Preferred Stock, the purchasers may elect to substitute the more favorable variable price when making conversions of the Series D Preferred Stock. In addition, the Company is required to use its best efforts to secure the inclusion for quotation on the Over-the-Counter Bulletin Board for the common stock issuable under the Series D Preferred Stock and to arrange for at least two market makers to register with the Financial Industry Regulatory Authority. In the event that the holder of the Series D Preferred Stock is unable to convert these securities into Andrea Common Stock, the Company shall pay to each such holder a Registration Delay Payment. This payment is to be paid in cash and is equal to the product of (i) the stated value of such Preferred Shares multiplied by (ii) the product of (1) .0005 multiplied by (2) the number of days that sales cannot be made pursuant to the Registration Statement (excluding any days during that period that may be considered grace periods as defined by the Registration Rights Agreement). As of December 31, 2022, there were 907,144 shares of Series D Preferred Stock outstanding which were convertible into 3,628,576 shares of Common Stock. |
Note 11 - Income Taxes
Note 11 - Income Taxes | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 11. INCOME TAXES The Company accounts for income taxes in accordance with ASC 740 which prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. ASC 740 also provides guidance on de-recognition, classification, interest and penalties, accounting in interim period, disclosure and transition. There were no The Company has identified its federal tax return and its state tax return in New York as “major” tax jurisdictions, as defined in ASC 740. Based on the Company's evaluation, it has concluded that there are no significant uncertain tax positions requiring recognition in the Company's consolidated financial statements. The Company's evaluation was performed for tax years ended 2019 through 2022. The Company believes that its income tax positions and deductions will be sustained on audit and does not anticipate any adjustments that will result in a material change to its consolidated financial position. In August 2022, the Inflation Reduction Act (“IRA”) and CHIPS and Science Act (“CHIPS Act”) were both enacted. This new legislation includes the implementation of a new corporate alternative minimum tax, an excise tax on stock buybacks, and tax incentives for energy and climate initiatives, among other provisions. The income tax provisions of the IRA or the CHIPS Act had limited applicability to the Company and did not have a material impact on the Company’s consolidated and combined financial statements. As part of the Tax Cuts and Jobs Act of 2017, beginning with the 2022 tax year, the Company is required to capitalize research and development expenses, as defined under Internal Revenue Code section 174. For expenses that are incurred for research and development in the U.S., the amounts will be amortized over 5 years. The Company expects that this provision will result in a decrease to its 2022 tax loss, but will not result in an actual tax liability for 2022. The Company's policy for recording interest and penalties associated with audits is to record such items as a component of income tax expense. There were no amounts accrued for penalties or interest as of or during the year ended December 31, 2022. For the year ended December 31, 2022, the Company determined that, more likely than not, its deferred tax assets would not be realized and, accordingly, maintained the valuation allowance. The change in the valuation allowance is included in the income tax provision in the accompanying consolidated statement of operations for the year ended December 31, 2022. Management is currently unaware of any issues under review that could result in significant payments, accruals or material deviations from its position. Income (loss) before income taxes is comprised of the following: For the Years Ended December 31, 2022 2021 Domestic $ (293,253 ) $ (376,136 ) Foreign 6,342 2,925 Net loss before income taxes $ (286,911 ) $ (373,211 ) The provision for income tax consisted of the following: For the Years Ended December 31, 2022 2021 Current: Federal $ - $ - Foreign 1,268 585 State and Local - - Total Current 1,268 585 Deferred Federal 713,000 1,566,000 Foreign - - State and Local 1,000 (10,000 ) Adjustment to valuation allowance related to net deferred tax assets (714,000 ) (1,556,000 ) Total Deferred - - Provision for income taxes $ 1,268 $ 585 A reconciliation between the effective rate for income taxes and the amount computed by applying the statutory Federal income tax rate to loss before provision for income taxes is as follows: For the Years Ended December 31, 2022 2021 Tax provision at statutory rate 21 % 21 % State and local taxes 2 % 3 % Gain from forgiveness of Paycheck Protection Program Loans and related interest - 19 % General business credit 9 % 8 % Expiration of loss carryforwards and credits (280 )% (467 )% Other (1 )% (1 )% Change in valuation allowance for net deferred tax assets 249 % 417 % - % - % The components of temporary differences that give rise to significant portions of the deferred tax asset, net, are as follows: For the Years Ended December 31, 2022 2021 Deferred tax assets: Accrued expenses $ 22,000 $ 16,000 Allowance for doubtful accounts 1,000 1,000 Deferred revenue 5,000 27,000 Reserve for obsolescence 20,000 23,000 Expense associated with non-qualified stock options 37,000 37,000 Capitalized Research and Development Expense 90,000 - Revenue Sharing Agreement 160,000 190,000 General business credit 823,000 922,000 NOL carryforward 3,603,000 4,259,000 4,761,000 5,475,000 Less: valuation allowance (4,761,000 ) (5,475,000 ) Deferred tax asset, net $ - $ - The change in the valuation allowance for deferred tax assets are summarized as follows: For the Years Ended December 31, 2022 2021 Beginning Balance $ 5,475,000 $ 7,031,000 Change in Allowance (714,000 ) (1,556,000 ) Ending Balance $ 4,761,000 $ 5,475,000 As of December 31, 2022, Andrea had federal net operating loss carryforwards of approximately $16,800,000. $3,100,000 of these federal net operating loss carryforwards are carried forward indefinitely, the remaining $13,700,000 expire in varying amounts beginning in 2023 through 2037. Andrea has state net operating loss carryforwards of approximately $3,400,000 expiring in varying amounts beginning in 2035. Andrea has general business credits of approximately $800,000 expiring in varying amounts beginning in 2023 through 2040. |
Note 12 - Commitment and Contin
Note 12 - Commitment and Contingenc | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 12. COMMITMENTS AND CONTINGENCIES Leases Arrangements that explicitly or implicitly relate to property, plant and equipment are assessed at inception to determine if the arrangement is or contains a lease. Generally, we enter into operating leases as the lessee and recognize right-of-use assets (“ROU”) and operating lease liabilities based on the present value of future lease payments over the lease term. Our operating lease portfolio includes corporate offices, information technology (IT) equipment, and automobiles with remaining lease terms of 1 year to 4 years. Operating lease ROU assets are presented within other assets. The current portion of operating lease liabilities are presented within trade accounts payable and other current liabilities, and the non-current portion of operating lease liabilities are presented separately on the accompanying consolidated balance sheet. Supplemental balance sheet information related to leases was as follows: Operating Leases December 31, December 31, 2022 2021 ROU Assets $ 115,056 $ 156,626 Trade accounts payable and other current liabilities $ 38,702 $ 39,909 Operating lease liabilities payable non-current 81,184 119,886 Total operating lease liabilities payable $ 119,886 $ 159,795 Weighted-average remaining lease term (in months) 36 47 Weighted-average discount rate 3.8 % 3.8 % As of December 31, 2022, maturities of operating lease liabilities payable were as follows: 2023 $ 42,389 2024 43,743 2025 40,344 Total $ 126,476 Less: interest (6,590 ) Total operating lease liabilities payable payments $ 119,886 Employment Agreements In August 2014, the Company entered into an employment agreement with Mr. Andrea, which was subsequently amended several times, most recently on January 31, 2023. The effective date of the original employment agreement was August 1, 2014 and it currently expires on July 31, 2023, subject to renewal as approved by the Compensation Committee of the Board of Directors. Pursuant to his amended employment agreement, Mr. Andrea will receive an annual base salary of $202,000. The employment agreement provides for quarterly bonuses equal to 5% of the Company’s pre-bonus net after tax quarterly earnings for a total quarterly bonus amount not to exceed $12,500; and annual bonuses equal to 9% of the Company’s annual pre-bonus net after tax earnings in excess of $300,000 up to $3,000,000, and 3% of the Company’s annual pre-bonus adjusted net after tax earnings in excess of $3,000,000. Adjustments to net after tax earnings shall be made to remove the impact of change in recognition of accumulated deferred tax asset value and any income recognized from forgiveness of debt or tax credits received relating to the CARES Act. All bonuses shall be payable as soon as the Company’s cash flow permits. All bonus determinations or any additional bonus in excess of the above will be made in the sole discretion of the Compensation Committee. Under certain circumstances, Mr. Andrea is entitled to a change in control payment equal to two years of Mr. Andrea’s most recent base salary plus a pro-rated portion of Mr. Andrea's most recent annual and four quarterly bonuses paid immediately preceding the change of control, continuation of health and medical benefits for twelve months and immediate vesting of all stock options in the event of a change in control during the term of his agreement and subsequent termination of his employment within twelve months following the change of control. In the event of his termination without cause or resignation with the Company’s consent, Mr. Andrea is entitled to a severance payment equal to two months of his base salary, plus the two months pro-rated portion of his most recent annual and quarterly bonuses, payment of $12,500 (the unpaid bonus for the quarter ended September 30, 2017) and a continuation of health insurance coverage for Mr. Andrea and his dependents for 6 months. At December 31, 2022, the future minimum cash commitments under this agreement aggregate $119,000. On November 11, 2008, the Company entered into an amended and restated change in control agreement with Corisa L. Guiffre, Vice President, Chief Financial Officer and Assistant Corporate Secretary of the Company. The change in control agreement provides Ms. Guiffre with a severance benefit upon termination in connection with a change in control (as defined in the agreement). If Ms. Guiffre is terminated following a change in control, the Company will pay Ms. Guiffre a sum equal to three times Ms. Guiffre’s average annual compensation for the five preceding taxable years. All restrictions on any restricted stock will lapse immediately and incentive stock options and stock appreciation rights, if any, will become immediately exercisable in the event of a change in control of the Company. Upon the occurrence of a change in control followed by Ms. Guiffre’s termination of employment, the Company will continue life, medical, dental and disability coverage for 36 full calendar months following the date of termination. Legal Proceedings In September 2016, the Company filed a complaint with the United States District Court for the Eastern District of New York, alleging patent infringement against Apple Inc. (“Apple”) and requesting monetary and injunctive relief (the “New York Litigation”). The New York Litigation was stayed pending final disposition of a parallel case that the Company filed against Apple with the United States International Trade Commission (“ITC”). The ITC’s final decision finding that Apple did not violate the ITC’s statute was issued on March 22, 2018. Apple informed the New York judge of this final decision on May 30, 2018. The ITC’s final decision does not affect Andrea’s right to continue prosecuting the New York Litigation. In January 2017, Apple filed four (4) petitions for inter partes review (“IPR”) of the Company’s patents asserted in the New York Litigation with the United States Patent and Trademark Office (“PTO”). The Company filed its Patent Owner’s Preliminary Response in two of these IPR proceedings on May 1, 2017. The PTO instituted the four IPR proceedings requested by Apple on July 24, 2017. The Company filed its Patent Owner’s Response in two of these IPR proceedings on November 7, 2017. Oral argument in these two IPR proceedings occurred on April 25, 2018. On July 12, 2018, the PTO issued its final written decisions in those two IPR proceedings, ruling that claims 6-9 of the Company’s U.S. Patent No. 6,363,345 remain valid and enforceable after the PTO’s review. On September 13, 2018, Apple filed its Notice of Appeal of that ruling to the United States Court of Appeals for the Federal Circuit (the “Federal Circuit”). Apple filed its Appeal Brief with the Federal Circuit on January 31, 2019. The Company filed its Response to Apple’s Appeal Brief on March 12, 2019. The Federal Circuit held an oral argument on October 1, 2019. On February 7, 2020, the Federal Circuit issued its decisions on Apple’s appeals. The Federal Circuit affirmed the PTO’s findings in one of the ongoing IPRs. In the other ongoing IPR, the Federal Circuit partly affirmed the PTO’s findings, but also partly vacated the PTO’s findings, and remanded the case back to the PTO for further proceedings. On remand of the ongoing IPR, on October 28, 2020, the PTO found that claims 6-9 of the Company’s U.S. Patent No. 6,363,345 are invalid. The Company has appealed this decision to the Federal Circuit. The Company filed its Appeal Brief with the Federal Circuit on February 26, 2021. Apple filed its Response to the Company’s Appeal Brief on May 7, 2021. The Company filed its Reply to Apple’s Response to the Company’s Appeal Brief on September 11, 2021. Oral argument before the Federal Circuit occurred on December 8, 2021. On April 22, 2022, the Federal Circuit issued its decision on the Company’s appeal, which partially affirmed the PTO’s findings, but also partially vacated the PTO’s findings, and remanded the case back to the PTO for further proceedings. On November 29, 2022, the PTO issued its remand decision, finding claims 6-9 of the Company’s U.S. Patent No. 6,363,345 invalid. On January 12, 2023, the Company filed a notice of appeal with the Federal Circuit. The Federal Circuit served its certified list on March 14, 2023 and the Company’s opening appeal brief is due May 15, 2023. The New York Litigation is stayed based on Apple’s IPR proceedings against the Company’s U.S. Patent No. 6,363,345. Andrea intends to vigorously prosecute the New York Litigation and the ongoing IPR proceedings. |
Note 13 - Stock Plans and Stock
Note 13 - Stock Plans and Stock Based Compensation | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Share-Based Payment Arrangement [Text Block] | 13. STOCK PLANS AND STOCK-BASED COMPENSATION In August 2019, the Board adopted the Andrea Electronics Corporation 2019 Equity Compensation Plan (“2019 Plan”), which was subsequently approved by the shareholders on October 24, 2019. The 2019 Plan authorizes the granting of awards, the exercise of which would allow up to an aggregate of 10,000,000 shares of Andrea’s common stock to be acquired by the holders of those awards. Awards can be granted to key employees, officers, directors and consultants. No awards have been granted under the 2019 Plan. In October 2006, the Board adopted the Andrea Electronics Corporation 2006 Equity Compensation Plan (“2006 Plan”), which was subsequently approved by the shareholders. The 2006 Plan, as amended, authorized the granting of awards, the exercise of which would allow up to an aggregate of 18,000,000 shares of Andrea’s Common Stock to be acquired by the holders of those awards. Awards could be granted to key employees, officers, directors and consultants. As the 2006 Plan has expired, no further awards will be granted under the 2006 Plan. The stock option awards granted under the 2006 Plan have been granted with an exercise price equal to the market price of the Company’s stock at the date of grant with vesting periods of up to four No Option activity during 2022 is summarized as follows: Options Outstanding Options Exercisable Options Weighted Price Weighted Value Weighted Life Options Weighted Price Weighted Value Weighted Life At January 1, 2022 6,301,500 $ 0.06 $ 0.06 3.98 6,301,500 $ 0.06 $ 0.06 3.98 At December 31, 2022 6,301,500 $ 0.06 $ 0.06 2.98 6,301,500 $ 0.06 $ 0.06 2.98 During the year ended December 31, 2022, no There was no no |
Note 14 - Segment Information
Note 14 - Segment Information | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | 14. SEGMENT INFORMATION Andrea follows the provisions of ASC 280 “Segment Reporting” (“ASC 280”). Reportable operating segments are determined based on Andrea’s management approach. The management approach, as defined by ASC 280, is based on the way that the chief operating decision-maker organizes the segments within an enterprise for making operating decisions and assessing performance. While Andrea’s results of operations are primarily reviewed on a consolidated basis, the chief operating decision-maker manages the enterprise in two segments: (i) Patent Monetization; and (ii) Andrea DSP Microphone and Audio Software Products. Patent Monetization includes Monetization Revenues (as defined in our Revenue Sharing Agreement). Andrea DSP Microphone and Audio Software Products primarily include products based on the use of some, or all, of the following technologies: Andrea Digital Super Directional Array microphone technology (“DSDA”), Andrea Direction Finding and Tracking Array microphone technology (“DFTA”), Andrea PureAudio noise filtering technology, and Andrea EchoStop, an advanced acoustic echo cancellation technology. The following represents selected consolidated financial information for Andrea’s segments for the years ended December 31, 2022 and 2021: 2022 Twelve Month Segment Data Patent Monetization Andrea DSP Total 2022 Net product revenues $ - $ 1,952,176 $ 1,952,176 License revenues 183 9,437 9,620 Loss from operations (278,640 ) (44,477 ) (323,117 ) Depreciation and amortization 18,037 31,868 49,905 Purchases of property and equipment - 10,864 10,864 Purchases of patents and trademarks 338 338 676 Assets 127,798 750,083 877,881 Total long lived assets 79,401 236,251 315,652 2021 Twelve Month Segment Data Patent Monetization Andrea DSP Total 2021 Net product revenues $ - $ 1,621,327 $ 1,621,327 Service related revenues - 3,840 3,840 License revenues 329 38,001 38,330 Loss from operations (343,802 ) (251,250 ) (595,052 ) Depreciation and amortization 15,168 22,914 38,082 Purchases of property and equipment - 29,508 29,508 Purchases of patents and trademarks 5,972 5,969 11,941 Assets 188,717 949,727 1,138,444 Total long lived assets 97,100 298,487 395,587 Management of Andrea assesses assets and non-operating income statement data on a consolidated basis only. International revenues are based on the country in which the end-user is located. For the years ended December 31, 2022 and 2021, and as of each respective year-end, total revenues and accounts receivable by geographic area were as follows: Geographic Data 2022 2021 Total Revenues: United States $ 1,486,987 $ 1,193,295 Foreign (1) 474,809 470,202 $ 1,961,796 $ 1,663,497 Accounts receivable: United States $ 106,826 $ 134,695 Foreign 58,886 101,643 $ 165,712 $ 236,338 (1) Net revenues to any one foreign country did not exceed 10% for the year ended December 31, 2022. Net revenues to India represented 12% of total net revenues for the year ended December 31, 2021. |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Liquidity [Policy Text Block] | Liquidity Uncertainty |
Consolidation, Policy [Policy Text Block] | Principles of Consolidation |
Reclassification, Comparability Adjustment [Policy Text Block] | Reclassifications |
Earnings Per Share, Policy [Policy Text Block] | Loss Per Share December 31, 2022 2021 Total potentially dilutive common shares as of: Stock options to purchase common stock (Note 13) 6,301,500 6,301,500 Series C Convertible Preferred Stock and related accrued dividends (Note 9) 524,736 524,736 Series D Convertible Preferred Stock (Note 10) 3,628,576 3,628,576 Total potentially dilutive common shares 10,454,812 10,454,812 |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash |
Concentration Risk, Credit Risk, Policy [Policy Text Block] | Concentration of Risk December 31, 2022 2021 Customer A 21 % 22 % Customer B 14 % 19 % Customer C 14 % 13 % Customer D 15 % 11 % December 31, 2022 2021 Supplier A 53 % 29 % Supplier B 13 % 16 % Supplier C 12 % 19 % Supplier D 11 % * Supplier E * 10 % |
Receivable [Policy Text Block] | Accounts Receivable |
Receivables, Trade and Other Accounts Receivable, Allowance for Doubtful Accounts, Policy [Policy Text Block] | Allowance for Doubtful Accounts |
Inventory, Policy [Policy Text Block] | Inventories |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and Equipment, net |
Intangible Assets, Finite-Lived, Policy [Policy Text Block] | Other Intangible Assets |
Property, Plant and Equipment, Impairment [Policy Text Block] | Long-Lived Assets |
Revenue [Policy Text Block] | Revenue Recognition 1. Identify the contract with a customer. 2. Identify the performance obligations in the contract. 3. Determine the transaction price of the contract. 4. Allocate the transaction price to the performance obligations in the contract. 5. Recognize revenue when the performance obligations are met or delivered. |
Income Tax, Policy [Policy Text Block] | Income Taxes |
Research and Development Expense, Policy [Policy Text Block] | Research and Development |
Advertising Cost [Policy Text Block] | Advertising Expenses |
Fair Value of Financial Instruments, Policy [Policy Text Block] | Fair Value of Financial Instruments |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates |
Subsequent Events, Policy [Policy Text Block] | Subsequent Events |
Note 2 - Summary of Significa_2
Note 2 - Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | December 31, 2022 2021 Total potentially dilutive common shares as of: Stock options to purchase common stock (Note 13) 6,301,500 6,301,500 Series C Convertible Preferred Stock and related accrued dividends (Note 9) 524,736 524,736 Series D Convertible Preferred Stock (Note 10) 3,628,576 3,628,576 Total potentially dilutive common shares 10,454,812 10,454,812 |
Schedules of Concentration of Risk, by Risk Factor [Table Text Block] | December 31, 2022 2021 Customer A 21 % 22 % Customer B 14 % 19 % Customer C 14 % 13 % Customer D 15 % 11 % December 31, 2022 2021 Supplier A 53 % 29 % Supplier B 13 % 16 % Supplier C 12 % 19 % Supplier D 11 % * Supplier E * 10 % |
Note 3 - Intangible Assets (Tab
Note 3 - Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Intangible Assets and Goodwill [Table Text Block] | December 31, 2022 2021 Core Technology $ 8,567,448 $ 8,567,448 Patents and trademarks 995,627 994,951 9,563,075 9,562,399 Less: accumulated amortization (9,404,266 ) (9,368,199 ) $ 158,809 $ 194,200 |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | Balance as of January 1, 2021 $ 212,619 Additions during the period 11,941 Amortization (30,360 ) Balance as of December 31, 2021 194,200 Additions during the period 676 Amortization (36,067 ) Balance as of December 31, 2022 $ 158,809 |
Note 4 - Inventories (Tables)
Note 4 - Inventories (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | December 31, 2022 2021 Raw materials $ 133,732 $ 102,444 Finished goods 150,427 156,563 $ 284,159 $ 259,007 |
Note 5 - Property and Equipme_2
Note 5 - Property and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | December 31, 2022 2021 Information Technology Equipment $ 302,213 $ 299,443 Furniture and fixtures 87,958 87,958 Tools, molds and testing equipment 214,829 206,735 605,000 594,136 Less: accumulated depreciation and amortization (568,463 ) (554,625 ) $ 36,537 $ 39,511 |
Note 7- Long Term Debt (Tables)
Note 7- Long Term Debt (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Long-Term Debt Instruments [Table Text Block] | December 31, 2022 2021 Additional Notes $ 2,169,422 $ 2,024,422 PIK interest 375,112 276,770 SBA Loan with accrued interest 157,137 154,451 Total long-term debt 2,701,671 2,455,643 Less: current maturities of long-term debt (8,772 ) (4,386 ) Long-term debt, net of current maturities $ 2,692,899 $ 2,451,257 |
Note 8 - Trade Accounts Payab_2
Note 8 - Trade Accounts Payable and Other Current Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Accrued Liabilities [Table Text Block] | December 31, 2022 2021 Trade accounts payable $ 111,876 $ 162,829 Payroll and related expenses 43,696 42,472 Patent monetization expenses 157,605 162,990 Current operating lease liabilities payable 38,702 39,909 Deferred revenue 19,769 123,451 Professional and other service fees 153,005 172,712 Total trade accounts payable and other current liabilities $ 524,653 $ 704,363 |
Note 11 - Income Taxes (Tables)
Note 11 - Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block] | For the Years Ended December 31, 2022 2021 Domestic $ (293,253 ) $ (376,136 ) Foreign 6,342 2,925 Net loss before income taxes $ (286,911 ) $ (373,211 ) |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | For the Years Ended December 31, 2022 2021 Current: Federal $ - $ - Foreign 1,268 585 State and Local - - Total Current 1,268 585 Deferred Federal 713,000 1,566,000 Foreign - - State and Local 1,000 (10,000 ) Adjustment to valuation allowance related to net deferred tax assets (714,000 ) (1,556,000 ) Total Deferred - - Provision for income taxes $ 1,268 $ 585 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | For the Years Ended December 31, 2022 2021 Tax provision at statutory rate 21 % 21 % State and local taxes 2 % 3 % Gain from forgiveness of Paycheck Protection Program Loans and related interest - 19 % General business credit 9 % 8 % Expiration of loss carryforwards and credits (280 )% (467 )% Other (1 )% (1 )% Change in valuation allowance for net deferred tax assets 249 % 417 % - % - % |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | For the Years Ended December 31, 2022 2021 Deferred tax assets: Accrued expenses $ 22,000 $ 16,000 Allowance for doubtful accounts 1,000 1,000 Deferred revenue 5,000 27,000 Reserve for obsolescence 20,000 23,000 Expense associated with non-qualified stock options 37,000 37,000 Capitalized Research and Development Expense 90,000 - Revenue Sharing Agreement 160,000 190,000 General business credit 823,000 922,000 NOL carryforward 3,603,000 4,259,000 4,761,000 5,475,000 Less: valuation allowance (4,761,000 ) (5,475,000 ) Deferred tax asset, net $ - $ - |
Summary of Valuation Allowance [Table Text Block] | For the Years Ended December 31, 2022 2021 Beginning Balance $ 5,475,000 $ 7,031,000 Change in Allowance (714,000 ) (1,556,000 ) Ending Balance $ 4,761,000 $ 5,475,000 |
Note 12 - Commitment and Cont_2
Note 12 - Commitment and Contingenc (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Assets and Liabilities, Lessee [Table Text Block] | December 31, December 31, 2022 2021 ROU Assets $ 115,056 $ 156,626 Trade accounts payable and other current liabilities $ 38,702 $ 39,909 Operating lease liabilities payable non-current 81,184 119,886 Total operating lease liabilities payable $ 119,886 $ 159,795 Weighted-average remaining lease term (in months) 36 47 Weighted-average discount rate 3.8 % 3.8 % |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | 2023 $ 42,389 2024 43,743 2025 40,344 Total $ 126,476 Less: interest (6,590 ) Total operating lease liabilities payable payments $ 119,886 |
Note 13 - Stock Plans and Sto_2
Note 13 - Stock Plans and Stock Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Share-Based Payment Arrangement, Option, Activity [Table Text Block] | Options Outstanding Options Exercisable Options Weighted Price Weighted Value Weighted Life Options Weighted Price Weighted Value Weighted Life At January 1, 2022 6,301,500 $ 0.06 $ 0.06 3.98 6,301,500 $ 0.06 $ 0.06 3.98 At December 31, 2022 6,301,500 $ 0.06 $ 0.06 2.98 6,301,500 $ 0.06 $ 0.06 2.98 |
Note 14 - Segment Information (
Note 14 - Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | 2022 Twelve Month Segment Data Patent Monetization Andrea DSP Total 2022 Net product revenues $ - $ 1,952,176 $ 1,952,176 License revenues 183 9,437 9,620 Loss from operations (278,640 ) (44,477 ) (323,117 ) Depreciation and amortization 18,037 31,868 49,905 Purchases of property and equipment - 10,864 10,864 Purchases of patents and trademarks 338 338 676 Assets 127,798 750,083 877,881 Total long lived assets 79,401 236,251 315,652 2021 Twelve Month Segment Data Patent Monetization Andrea DSP Total 2021 Net product revenues $ - $ 1,621,327 $ 1,621,327 Service related revenues - 3,840 3,840 License revenues 329 38,001 38,330 Loss from operations (343,802 ) (251,250 ) (595,052 ) Depreciation and amortization 15,168 22,914 38,082 Purchases of property and equipment - 29,508 29,508 Purchases of patents and trademarks 5,972 5,969 11,941 Assets 188,717 949,727 1,138,444 Total long lived assets 97,100 298,487 395,587 |
Revenue from External Customers by Geographic Areas [Table Text Block] | Geographic Data 2022 2021 Total Revenues: United States $ 1,486,987 $ 1,193,295 Foreign (1) 474,809 470,202 $ 1,961,796 $ 1,663,497 Accounts receivable: United States $ 106,826 $ 134,695 Foreign 58,886 101,643 $ 165,712 $ 236,338 |
Note 2 - Summary of Significa_3
Note 2 - Summary of Significant Accounting Policies (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | $ (286,911) | $ (373,211) |
Depreciation, Depletion and Amortization, Nonproduction, Total | 50,000 | |
Cash and Cash Equivalents, at Carrying Value, Total | 55,622 | 148,349 |
Positive Working Capital | 9,636 | |
Accounts Receivable, Allowance for Credit Loss, Current | 4,789 | 4,789 |
Contract with Customer, Liability, Current | 19,769 | 123,451 |
Marketing and Advertising Expense, Total | $ 7,000 | $ 6,000 |
Minimum [Member] | ||
Property, Plant and Equipment, Useful Life | 3 years | |
Finite-Lived Intangible Asset, Useful Life | 10 years | |
Maximum [Member] | ||
Property, Plant and Equipment, Useful Life | 10 years | |
Finite-Lived Intangible Asset, Useful Life | 20 years | |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer A [Member] | ||
Concentration Risk, Percentage | 42% | 29% |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer B [Member] | ||
Concentration Risk, Percentage | 27% | 22% |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer C [Member] | ||
Concentration Risk, Percentage | 10% | 16% |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer D [Member] | ||
Concentration Risk, Percentage | 17% |
Note 2 - Summary of Significa_4
Note 2 - Summary of Significant Accounting Policies - Potentially Dilutive Common Shares (Details) - shares | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Stock options to purchase common stock (Note 13) (in shares) | 6,301,500 | 6,301,500 |
Total potentially dilutive common shares (in shares) | 10,454,812 | 10,454,812 |
Series C Preferred Stock [Member] | ||
Series C Convertible Preferred Stock and related accrued dividends (Note 9) (in shares) | 524,736 | 524,736 |
Series D Preferred Stock [Member] | ||
Series C Convertible Preferred Stock and related accrued dividends (Note 9) (in shares) | 3,628,576 | 3,628,576 |
Note 2 - Summary of Significa_5
Note 2 - Summary of Significant Accounting Policies - Schedule of Concentration of Credit Risk (Details) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Customer A [Member] | ||
Customer A | 21% | 22% |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Customer B [Member] | ||
Customer A | 14% | 19% |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Customer C [Member] | ||
Customer A | 14% | 13% |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Customer D [Member] | ||
Customer A | 15% | 11% |
Supplier Concentration Risk [Member] | Purchases [Member] | Supplier A [Member] | ||
Customer A | 53% | 29% |
Supplier Concentration Risk [Member] | Purchases [Member] | Supplier B [Member] | ||
Customer A | 13% | 16% |
Supplier Concentration Risk [Member] | Purchases [Member] | Supplier C [Member] | ||
Customer A | 12% | 19% |
Supplier Concentration Risk [Member] | Purchases [Member] | Supplier D [Member] | ||
Customer A | 11% | |
Supplier Concentration Risk [Member] | Purchases [Member] | Supplier E [Member] | ||
Customer A | 10% |
Note 3 - Intangible Assets (Det
Note 3 - Intangible Assets (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Finite-Lived Intangible Assets, Remaining Amortization Period (Year) | 5 years 9 months 18 days | |
Amortization of Intangible Assets | $ 36,067 | $ 30,360 |
Finite-Lived Intangible Asset, Expected Amortization, Year One | 31,000 | |
Finite-Lived Intangible Asset, Expected Amortization, Year Two | 31,000 | |
Finite-Lived Intangible Asset, Expected Amortization, Year Three | 22,000 | |
Finite-Lived Intangible Asset, Expected Amortization, Year Four | 22,000 | |
Finite-Lived Intangible Asset, Expected Amortization, Year Five | $ 22,000 | |
Minimum [Member] | ||
Finite-Lived Intangible Asset, Useful Life | 10 years | |
Minimum [Member] | Trademarks And Patents [Member] | ||
Finite-Lived Intangible Asset, Useful Life | 10 years | |
Maximum [Member] | ||
Finite-Lived Intangible Asset, Useful Life | 20 years | |
Maximum [Member] | Trademarks And Patents [Member] | ||
Finite-Lived Intangible Asset, Useful Life | 20 years |
Note 3 - Intangible Assets - Sc
Note 3 - Intangible Assets - Schedule of Intangible Assets (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Intangible assets, Gross | $ 9,563,075 | $ 9,562,399 | |
Less: accumulated amortization | (9,404,266) | (9,368,199) | |
Intangible assets, net | 158,809 | 194,200 | $ 212,619 |
Core Technology [Member] | |||
Intangible assets, Gross | 8,567,448 | 8,567,448 | |
Trademarks And Patents [Member] | |||
Intangible assets, Gross | $ 995,627 | $ 994,951 |
Note 3 - Intangible Assets - _2
Note 3 - Intangible Assets - Schedule of Intangible assets (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Balance | $ 194,200 | $ 212,619 |
Additions during the period | 676 | 11,941 |
Amortization | (36,067) | (30,360) |
Balance | $ 158,809 | $ 194,200 |
Note 4 - Inventory - Inventory
Note 4 - Inventory - Inventory (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Raw materials | $ 133,732 | $ 102,444 |
Finished goods | 150,427 | 156,563 |
Inventory, Gross, Total | $ 284,159 | $ 259,007 |
Note 5 - Property and Equipme_3
Note 5 - Property and Equipment, Net (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Depreciation, Depletion and Amortization, Nonproduction, Total | $ 50,000 | |
Property, Plant and Equipment [Member] | ||
Depreciation, Depletion and Amortization, Nonproduction, Total | $ 13,838 | $ 7,722 |
Note 5 - Property And Equipme_4
Note 5 - Property And Equipment, Net (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Property and equipment, net, gross | $ 605,000 | $ 594,136 |
Less: accumulated depreciation and amortization | (568,463) | (554,625) |
Property and equipment, net | 36,537 | 39,511 |
Technology Equipment [Member] | ||
Property and equipment, net, gross | 302,213 | 299,443 |
Furniture and Fixtures [Member] | ||
Property and equipment, net, gross | 87,958 | 87,958 |
Tools, Dies and Molds [Member] | ||
Property and equipment, net, gross | $ 214,829 | $ 206,735 |
Note 6 - Revenue Sharing, Not_2
Note 6 - Revenue Sharing, Note Purchase Agreement (Details Textual) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2016 | |
Advances From Agreement | $ 3,500,000 | ||
Additional Notes Aggregate Amount | $ 11,500,000 | ||
Additional Notes Payable Outstanding | 2,169,422 | $ 2,024,422 | |
Interest Payable | $ 375,112 | $ 276,770 | |
Percentage of Revenue Applied For Payment of Interest | 100% | ||
Maximum [Member] | |||
Percentage of Revenue Applied For Payment of Interest | 50% | ||
Minimum [Member] | |||
Percentage of Revenue Applied For Payment of Interest | 20% |
Note 7- Long Term Debt (Details
Note 7- Long Term Debt (Details Textual) - USD ($) | 1 Months Ended | 12 Months Ended | ||||||||
Feb. 27, 2023 | Feb. 05, 2021 | Jul. 13, 2020 | May 08, 2020 | Apr. 30, 2020 | Sep. 30, 2021 | Apr. 30, 2021 | Jan. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenue Sharing Agreement [Member] | ||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 2% | |||||||||
Debt Instrument, Interest Rate, Increase (Decrease) | 2% | |||||||||
Notes Issued | $ 145,000 | $ 140,000 | ||||||||
Line of Credit Facility, Remaining Borrowing Capacity | $ 3,415,000 | |||||||||
Revenue Sharing Agreement [Member] | Subsequent Event [Member] | ||||||||||
Notes Issued | $ 50,000 | |||||||||
Revenue Sharing Agreement [Member] | London Interbank Offered Rate (LIBOR) Swap Rate [Member] | ||||||||||
Debt Instrument, Basis Spread on Variable Rate | 5.67% | 3% | ||||||||
P P P Loan [Member] | ||||||||||
Proceeds from Issuance of Long-Term Debt, Total | $ 142,775 | |||||||||
U S Small Business Administration Loan [Member] | ||||||||||
Proceeds from Issuance of Long-Term Debt, Total | $ 142,777 | $ 8,000 | ||||||||
Debt Instrument, Decrease, Forgiveness | $ 8,000 | |||||||||
P P P Loan First Draw One [Member] | ||||||||||
Debt Instrument, Decrease, Forgiveness | $ 142,775 | |||||||||
P P P Loan First Draw Two [Member] | ||||||||||
Debt Instrument, Decrease, Forgiveness | $ 866 | |||||||||
U S Small Business Administration Loan Two [Member] | ||||||||||
Debt Instrument, Decrease, Forgiveness | $ 87 | |||||||||
Paycheck Protection Program CARES Act [Member] | ||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 3.75% | |||||||||
Proceeds from Issuance of Unsecured Debt | $ 150,000 | |||||||||
P P P Loan Second Draw One [Member] | ||||||||||
Debt Instrument, Decrease, Forgiveness | $ 142,777 | |||||||||
Paycheck Protection Program CARES Act 1 [Member] | ||||||||||
Debt Instrument, Decrease, Forgiveness | $ 142,777 | |||||||||
Paycheck Protection Program CARES Act 2 [Member] | ||||||||||
Debt Instrument, Decrease, Forgiveness | $ 841 |
Note 7- Long Term Debt - Schedu
Note 7- Long Term Debt - Schedule of Long Term Debt (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Long term debt | $ 2,701,671 | $ 2,455,643 |
Less: current maturities of long-term debt | (8,772) | (4,386) |
Long-term debt | 2,692,899 | 2,451,257 |
Additional Notes [Member] | ||
Long term debt | 2,169,422 | 2,024,422 |
PIK Interest [Member] | ||
Long term debt | 375,112 | 276,770 |
PPP Loan First Draw with Accrued Interest [Member] | ||
Long term debt | $ 157,137 | $ 154,451 |
Note 8 - Trade Accounts Payab_3
Note 8 - Trade Accounts Payable and Other Current Liabilities - Other Current Liabiiliteis (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Trade accounts payable | $ 111,876 | $ 162,829 |
Payroll and related expenses | 43,696 | 42,472 |
Patent monetization expenses | 157,605 | 162,990 |
Current operating lease liabilities payable | 38,702 | 39,909 |
Deferred revenue | 19,769 | 123,451 |
Professional and other service fees | 153,005 | 172,712 |
Total trade accounts payable and other current liabilities | $ 524,653 | $ 704,363 |
Note 9 - Series C Convertible_2
Note 9 - Series C Convertible Preferred Stock (Details Textual) - USD ($) | 12 Months Ended | |||
Feb. 17, 2004 | Oct. 10, 2000 | Dec. 31, 2022 | Dec. 31, 2021 | |
Preferred Stock, Value, Issued | $ 0 | $ 0 | ||
Preferred Stock, Convertible, Conversion Price | $ 0.2551 | |||
Preferred Stock, Shares Outstanding, Ending Balance | 0 | 0 | ||
Series C Preferred Stock [Member] | ||||
Proceeds from Issuance of Private Placement | $ 7,500,000 | |||
Preferred Stock, Value, Issued | 10,000 | $ 0 | $ 0 | |
Increase in Stated Value of Preferred Stock | $ 1,671 | $ 1,671 | ||
Preferred Stock Dividends and Other Adjustments, Total | $ 5 | |||
Additional Increase Per Annum Value Of Preferred Stock | 5% | |||
Preferred Stock, Shares Outstanding, Ending Balance | 11.469249 | 11.47 | ||
Conversion of Stock, Shares Issued | 524,736 | |||
Dividends Payable | $ 19,168 |
Note 10 - Series D Convertibl_2
Note 10 - Series D Convertible Preferred Stock (Details Textual) | 12 Months Ended | ||||
Jun. 04, 2004 $ / shares shares | Feb. 23, 2004 USD ($) $ / shares shares | Dec. 31, 2022 shares | Dec. 31, 2021 shares | Feb. 17, 2004 USD ($) $ / shares | |
Class of Warrant or Right, Warrants Exercisable During Period | 2,500,000 | 2,500,000 | |||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 0.17 | $ 0.38 | |||
Preferred Stock, Convertible, Conversion Price | $ / shares | $ 0.2551 | ||||
Preferred Stock, Shares Outstanding, Ending Balance | 0 | 0 | |||
Series D Preferred Stock [Member] | |||||
Investment Owned, Face Amount | $ | $ 2,500,000 | ||||
Shares Purchased Under Agreement Amount | $ | $ 1,250,000 | ||||
Shares Purchased Under Agreement Shares | 1,250,000 | 1,250,000 | |||
Conversion of Stock, Shares Converted | 5,000,000 | 5,000,000 | |||
Debt Instrument, Convertible, Conversion Price | $ / shares | $ 0.25 | ||||
Preferred Stock, Convertible, Conversion Price | $ / shares | $ 0.25 | ||||
Registration Delay Payment, Number Used to be Multiplied by the Number of Days | 5 | ||||
Preferred Stock, Shares Outstanding, Ending Balance | 907,144 | 907,144 | |||
Conversion of Stock, Shares Issued | 3,628,576 |
Note 11 - Income Taxes (Details
Note 11 - Income Taxes (Details Textual) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Unrecognized Tax Benefits, Ending Balance | $ 0 | $ 0 |
Operating Loss Carryforwards Not Subject to Expiration | 13,700,000 | |
General Business Tax Credit Carryforward [Member] | ||
Tax Credit Carryforward, Amount | 800,000 | |
Domestic Tax Authority [Member] | ||
Operating Loss Carryforwards Subject to Expiration | 16,800,000 | |
Foreign Tax Authority [Member] | ||
Operating Loss Carryforwards Subject to Expiration | 3,100,000 | |
State and Local Jurisdiction [Member] | ||
Operating Loss Carryforwards Subject to Expiration | $ 3,400,000 |
Note 11 - Income Taxes - Schedu
Note 11 - Income Taxes - Schedule of Loss Before Income Taxes (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Domestic | $ (293,253) | $ (376,136) |
Foreign | 6,342 | 2,925 |
Loss from operations before provision for income taxes | $ (286,911) | $ (373,211) |
Note 11 - Income Taxes - Sche_2
Note 11 - Income Taxes - Schedule of Provision for Income Tax (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Federal | $ 0 | $ 0 |
Foreign | 1,268 | 585 |
State and Local | 0 | 0 |
Total Current | 1,268 | 585 |
Federal | 713,000 | 1,566,000 |
Foreign | 0 | 0 |
State and Local | 1,000 | (10,000) |
Adjustment to valuation allowance related to net deferred tax assets | (714,000) | (1,556,000) |
Total Deferred | 0 | 0 |
Provision for income taxes | $ 1,268 | $ 585 |
Note 11- Income Taxes - Schedul
Note 11- Income Taxes - Schedule of Provision for Income Tax (Details) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Tax provision at statutory rate | 21% | 21% |
State and local taxes | 2% | 3% |
Gain from forgiveness of Paycheck Protection Program Loans and related interest | 0% | 19% |
General business credit | 9% | 8% |
Expiration of loss carryforwards and credits | (280.00%) | (467.00%) |
Other | (1.00%) | (1.00%) |
Change in valuation allowance for net deferred tax assets | 249% | 417% |
Effective Income Tax Rate Reconciliation, Percent, Total | 0% | 0% |
Note 11 - Income Taxes - Sche_3
Note 11 - Income Taxes - Schedule of Components of Deferred Tax Asset, Net (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Accrued expenses | $ 22,000 | $ 16,000 | |
Allowance for doubtful accounts | 1,000 | 1,000 | |
Deferred revenue | 5,000 | 27,000 | |
Reserve for obsolescence | 20,000 | 23,000 | |
Expense associated with non-qualified stock options | 37,000 | 37,000 | |
Capitalized Research and Development Expense | 90,000 | 0 | |
Revenue Sharing Agreement | 160,000 | 190,000 | |
General business credit | 823,000 | 922,000 | |
NOL carryforward | 3,603,000 | 4,259,000 | |
Deferred Tax Assets, Gross, Total | 4,761,000 | 5,475,000 | |
Less: valuation allowance | (4,761,000) | (5,475,000) | $ (7,031,000) |
Deferred tax asset, net | $ 0 | $ 0 |
Note 11- Income Taxes - Sched_2
Note 11- Income Taxes - Schedule of Valuation Allowance for Deferred Tax Assets (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Beginning Balance | $ 5,475,000 | $ 7,031,000 |
Adjustment to valuation allowance related to net deferred tax assets | (714,000) | (1,556,000) |
Ending Balance | $ 4,761,000 | $ 5,475,000 |
Note 12 - Commitment and Cont_3
Note 12 - Commitment and Contingenc (Details Textual) - USD ($) | 1 Months Ended | 3 Months Ended | 85 Months Ended | |
Aug. 31, 2014 | Sep. 30, 2017 | Aug. 31, 2021 | Dec. 31, 2022 | |
Chief Executive Officer [Member] | ||||
Salary and Wage, Officer, Excluding Cost of Good and Service Sold | $ 202,000 | |||
Percentage of Quarterly Bonus. | 5% | |||
Percentage of Annual Bonus | 9% | |||
Rate Of Annual Pre Bonus Net After Tax Earnings Minimum | $ 300,000 | |||
Rate Of Annual Pre Bonus Net After Tax Earnings Maximum | $ 3,000,000 | |||
Percentage Of Adjusted Annual Bonus | 3% | |||
Annual Prebonus Adjusted Net After Tax Earnings Maximum | $ 3,000,000 | |||
Maximum Quarterly Bonus | $ 12,500 | |||
Other Commitment, to be Paid, Year One | $ 119,000 | |||
Minimum [Member] | ||||
Lessee, Operating Lease, Remaining Lease Term (Year) | 1 year | |||
Maximum [Member] | ||||
Lessee, Operating Lease, Remaining Lease Term (Year) | 4 years |
Note 12 - Commitments and Conti
Note 12 - Commitments and Contingencies - Schedule of Operating Lease (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Current operating lease liabilities payable | $ 38,702 | $ 39,909 |
Operating lease liabilities payable | 81,184 | 119,886 |
Total operating lease liabilities payable | $ 119,886 | $ 159,795 |
Weighted-average remaining lease term (in months) (Month) | 36 months | 47 months |
Weighted-average discount rate | 3.80% | 3.80% |
Other Assets [Member] | ||
ROU Assets | $ 115,056 | $ 156,626 |
Accounts Payable and Accrued Liabilities [Member] | ||
Current operating lease liabilities payable | $ 38,702 | $ 39,909 |
Note 12 - Commitments and Con_2
Note 12 - Commitments and Contingencies - Maturities of Operating Lease Liabilities (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Lessee, Operating Lease, Liability, to be Paid, Year One | $ 42,389 | |
Lessee, Operating Lease, Liability, to be Paid, Year Two | 43,743 | |
Lessee, Operating Lease, Liability, to be Paid, Year Three | 40,344 | |
Total | 126,476 | |
Less: interest | (6,590) | |
Total operating lease liabilities payable payments | $ 119,886 | $ 159,795 |
Note 13 - Stock Plans and Sto_3
Note 13 - Stock Plans and Stock Based Compensation (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | |
Aug. 31, 2019 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Net of Forfeitures, Total (in shares) | 0 | 0 | |
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Forfeitures and Expirations in Period, Total (in shares) | 0 | ||
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Vested, Number of Shares (in shares) | 0 | ||
Share Price | $ 0.03 | ||
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding, Number, Ending Balance (in shares) | 6,301,500 | 6,301,500 | |
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Exercisable, Number (in shares) | 6,301,500 | 6,301,500 | |
Share-Based Payment Arrangement, Expense | $ 0 | $ 0 | |
Share-Based Payment Arrangement, Nonvested Award, Option, Cost Not yet Recognized, Amount | $ 0 | ||
The 2019 Plan [Member] | |||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Authorized | 10,000,000 | ||
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Net of Forfeitures, Total (in shares) | 0 | ||
The 2006 Plan [Member] | |||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Authorized | 18,000,000 | ||
The 2006 Plan [Member] | Share-Based Payment Arrangement, Option [Member] | |||
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year) | 4 years | ||
Share-Based Compensation Arrangement by Share-Based Payment Award, Expiration Period (Year) | 10 years |
Note 13 - Stock Plans and Sto_4
Note 13 - Stock Plans and Stock-based Compensation -Schedule of Stock Option Activity (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Options outstanding, shares (in shares) | 6,301,500 | 6,301,500 |
Options outstanding, weighted average exercise price (in dollars per share) | $ 0.06 | $ 0.06 |
Options outstanding, weighted average fair value (in dollars per share) | $ 0.06 | $ 0.06 |
Options outstanding, weighted average remaining contractual life (Year) | 2 years 11 months 23 days | 3 years 11 months 23 days |
Options exerciseable, shares (in shares) | 6,301,500 | 6,301,500 |
Options exercisable, weighted average exercise price (in dollars per share) | $ 0.06 | $ 0.06 |
Options exercisable, weighted average fair value (in dollars per share) | $ 0.06 | $ 0.06 |
Options exercisable, weighted average remaining contractual life (Year) | 2 years 11 months 23 days | 3 years 11 months 23 days |
Note 14 - Segment Information_2
Note 14 - Segment Information (Details Textual) | 12 Months Ended |
Dec. 31, 2021 | |
INDIA | |
Percentage Of Net Revenues | 12% |
Note 14 - Segment Information -
Note 14 - Segment Information - Condensed Financial Information by Segment (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Net product revenues | $ 1,961,796 | $ 1,663,497 |
Loss from operations | (323,117) | (595,052) |
Depreciation and amortization | 49,905 | 38,082 |
Purchases of property and equipment | 10,864 | 29,508 |
Purchases of patents and trademarks | 676 | 11,941 |
Assets | 877,881 | 1,138,444 |
Total long lived assets | 315,652 | 395,587 |
Product [Member] | ||
Net product revenues | 1,952,176 | 1,621,327 |
Service [Member] | ||
Net product revenues | 3,840 | |
License [Member] | ||
Net product revenues | 9,620 | 38,330 |
Patent Monetization [Member] | ||
Loss from operations | (278,640) | (343,802) |
Depreciation and amortization | 18,037 | 15,168 |
Purchases of property and equipment | 0 | 0 |
Purchases of patents and trademarks | 338 | 5,972 |
Assets | 127,798 | 188,717 |
Total long lived assets | 79,401 | 97,100 |
Patent Monetization [Member] | Product [Member] | ||
Net product revenues | 0 | 0 |
Patent Monetization [Member] | Service [Member] | ||
Net product revenues | 0 | |
Patent Monetization [Member] | License [Member] | ||
Net product revenues | 183 | 329 |
DSP Microphone and Audio Software Products [Member] | ||
Loss from operations | (44,477) | (251,250) |
Depreciation and amortization | 31,868 | 22,914 |
Purchases of property and equipment | 10,864 | 29,508 |
Purchases of patents and trademarks | 338 | 5,969 |
Assets | 750,083 | 949,727 |
Total long lived assets | 236,251 | 298,487 |
DSP Microphone and Audio Software Products [Member] | Product [Member] | ||
Net product revenues | 1,952,176 | 1,621,327 |
DSP Microphone and Audio Software Products [Member] | Service [Member] | ||
Net product revenues | 3,840 | |
DSP Microphone and Audio Software Products [Member] | License [Member] | ||
Net product revenues | $ 9,437 | $ 38,001 |
Note - 14 Segment Information -
Note - 14 Segment Information - Revenues by Geographic Area (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Total revenue | $ 1,961,796 | $ 1,663,497 |
Accounts receivable | 165,712 | 236,338 |
UNITED STATES | ||
Total revenue | 1,486,987 | 1,193,295 |
Accounts receivable | 106,826 | 134,695 |
Non-US [Member] | ||
Total revenue | 474,809 | 470,202 |
Accounts receivable | $ 58,886 | $ 101,643 |