Cash Flow

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
Dec. 31, 2023	Dec. 31, 2022
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$ 1,886,807	$ (5,156,478)
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Depreciation and amortization expense	88,859	89,219
Amortization of debt discount to interest expense	96,258	1,059,752
Interest expense for put premium on convertible notes	29,212	90,731
Default penalty included in interest expense		206,250
Non-cash interest expense from fees on debt conversion	2,250
Stock-based compensation	42,183	1,039,943
Stock-based professional fees	121,950	298,571
Bad debt expense	21,296	7,716
Gain on sale of property and equipment	(9,000)	(5,500)
Non-cash (gain) loss on debt extinguishment and inducement expense	(481,832)	343,895
Gain from sale of Nanoshield product line	(4,051,709)
Lease costs	(72)	1,080
Change in operating assets and liabilities:
Accounts receivable	(175,945)	(100,160)
Inventory	(113,712)	5,485
Prepaid expenses and other assets	3,376	(746)
Contract assets	(2,121)	82,526
Accounts payable	(69,543)	(49,709)
Accrued expenses	183,647	299,660
Accrued interest - related party	(10,027)	10,027
Accrued compensation	357,822	180,609
Contract liabilities	478,083	12,211
NET CASH USED IN OPERATING ACTIVITIES	(1,602,218)	(1,584,918)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of property and equipment	(114,770)
Proceeds from the sale of property and equipment	9,000	5,500
Proceeds from the sale of Nanoshield product line	4,042,631
NET CASH PROVIDED BY INVESTING ACTIVITIES	3,936,861	5,500
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from sale of common stock	275,000
Proceeds from note payable - related party		250,000
Repayment of note payable - related party	(250,000)
Proceeds from notes payable	291,621	903,760
Repayment of notes payable	(1,824,144)	(157,149)
Proceeds from convertible notes payable	50,000	160,000
Repayment of convertible notes payable	(237,750)
NET CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES	(1,695,273)	1,156,611
NET INCREASE (DECREASE) IN CASH	639,370	(422,807)
CASH, beginning of year	97,091	519,898
CASH, end of year	736,461	97,091
Cash paid for:
Interest	319,085	479,509
Income taxes
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:
Common stock issued as prepaid for services	83,950	217,250
Common stock issued for accrued compensation	78,000
Series B preferred stock issued for accrued compensation	144,000	278,654
Preferred stock dividend accrued	54,195	55,655
Reclassfication of accrued interest payable to convertible note payable	81,841
Increase in debt discount and paid-in capital for shares issued with convertible debt		110,631
Increase in debt discount and paid-in capital for warrants and beneficial conversion features		680,000
Common stock issued for accounts payable		2,174
Conversion of series C preferred stock to common stock	214,000	139,000
Conversion of notes payable and accrued interest to common stock	198,139
Increase in right of use and lease liability		$ 184,375

Consolidated Statements of Cash Flows - USD ($)

12 Months Ended

Dec. 31, 2023

Dec. 31, 2022

CASH FLOWS FROM OPERATING ACTIVITIES:

Net income (loss)

$ 1,886,807

$ (5,156,478)

Adjustments to reconcile net income (loss) to net cash used in operating activities:

Depreciation and amortization expense

88,859

89,219