Intangible assets other than goodwill |
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Intangible Assets, Net (Excluding Goodwill) [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Intangible assets other than goodwill |
Intangible Assets and Liabilities Other Than Goodwill
The Company capitalized $0 and $120,455 of product certification costs during the years ended December 31, 2019 and 2018, respectively. Also included in intangible assets are the costs incurred by the Company to acquire certain patents. These patents, once in service, are amortized on a straight-line basis over the estimated economic life of the associated product, which range from approximately 7-10 years. The Company capitalized $106,539 and $102,245 of patent-related costs during the years ended December 31, 2019 and 2018, respectively. The Company capitalized $4,144 and $3,212 in trademarks during the years ended December 31, 2019 and 2018, respectively.
Intangible assets and liabilities at December 31, 2019 and 2018 consist of the following:
The aggregate amortization expense related to intangible assets exclusive of contract related intangibles was $92,209 and $112,359 during the years ended December 31, 2019 and 2018, respectively. The net credit to cost of sales related to the amortization of the contract related intangible asset and liability for the years ended December 31, 2019 and 2018 was $502,729 and $860,858, respectively.
Contract Asset and Liability
The favorable contract asset and unfavorable contract liability in the foregoing table represent the fair value of ADGE's customer contracts (both positive for favorable contracts and negative for unfavorable contracts) which were acquired by the Company on May 18, 2017 (see Note 4. "Acquisition of American DG Energy Inc."), reduced by those sold during Q1 2019 (see Note 5."Sale of Energy Producing Assets and Goodwill Impairment").
Amortization of intangibles including contract related amounts is calculated using the straight line method over the remaining useful life or contract term and charged against cost of sales in the accompanying consolidated statement of operations. Aggregate future amortization over the next five years is estimated to be as follows:
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