3. Licenses Receivable
The Company generally recognizes revenue upon receipt of the license proceeds from the licensee at which time all obligations of the Company have been performed under the license agreements. At May 31, 2009, the balance in licenses receivable consists of a license received during May 2009, but deposited to an incorrect bank account and a license agreement signed in April 2009 for which partial payment was made in fiscal 2009 and the remaining payment is due 90 days from the effective date of the license.
During June and July 2009 the license receivable balance of $6,148,750 was received by the Company.
and
During June and July 2009 the license receivable balance of $6,148,750 was received by the Company.
