Cash Flow

v3.8.0.1
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
6 Months Ended
Dec. 31, 2017
Dec. 31, 2016
CASH FLOWS FROM OPERATING ACTIVITIES:    
Net loss $ (3,815,744) $ (3,501,137)
Adjustments to reconcile net loss to net cash used in operating activities:    
Non-cash compensation 75,000 296,567
Loss on debt settlement 48,000
Debt modification expense 40,000
Depreciation expense 4,583 4,583
Inventory reserve 130,000
Amortization 1,248 1,248
Amortization of prepaid financing cost 243,891 412,370
Amortization of prepaid expenses 396,529
Amortization of debt discount 696,996 425,374
Amortization of warrant discount 87,727 141,940
Fair value of options expense 520,133 2,906
Fair value of warrants expense 530 30,626
Change in the fair value of derivative liability (160,770) (62,418)
Non-cash interest expense 217,662
Non-cash interest expenses paid by promissory noteholder on behalf of the Company 87,485
Changes in operating assets and liabilities:    
Inventory (108,345) 1,307,377
Prepaid expenses
Accounts payable and accrued liabilities 609,416 (317,142)
Preferred stock liability 10 (100)
Payroll taxes, interest and penalties 121,076 (30,210)
Accrued interest 336,352 153,111
Unearned revenue (1,362,009)
NET CASH USED IN OPERATING ACTIVITIES (912,750) (2,052,385)
CASH FLOWS FROM INVESTING ACTIVITIES:    
NET CASH USED IN INVESTING ACTIVITIES
CASH FLOWS FROM FINANCING ACTIVITIES:    
Proceeds from convertible notes payable, net of fees 475,000
Payments on debt settlement (16,795)
Payments on promissory notes (5,000)
Proceeds from promissory notes, net of fees 103,495
Proceeds from the sale of common stock, net of fees 160,000
NET CASH PROVIDED (USED) BY FINANCING ACTIVITIES 733,495 (16,795)
NET DECREASE IN CASH AND CASH EQUIVALENTS (179,255) (2,069,180)
CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE PERIOD 310,749 2,175,543
CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD 131,494 106,363
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION    
Interest paid 146,232 288,915
Taxes paid
SCHEDULE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:    
Issuance of shares of common stock for debt and accrued interest conversion 100,000 1,240,470
Fair value of warrant issued for debt discount and deferred financing cost 157,750
Common stock to be issued now issued 26,250 254,166
Derivative liability reclass into additional paid in capital upon notes conversion 75,478 125,710
Payment of promissory note with issuance of promissory note 500,000
Derivative liability reclass into additional paid in capital upon notes repayment 219,672
Initial derivative liability and debt discount at the issuance of notes 435,193
Debt discount on promissory note issuance 50,000
Convertible note reclassified into promissory notes 15,000
Proceeds from promissory notes directly paid to convertible notes, accrued payable and expenses on behalf of the Company 329,020
Proceeds from convertible notes directly paid to accounts payable and expenses on behalf of the Company 56,000
Debt discount on modified convertible note 80,000
Shares issued in conjunction with convertible note issuance accounted as debt discount on shares $ 17,500

Source