Note 18 - Lease Commitments
|9 Months Ended|
Sep. 30, 2018
|Note 18 - Lease Commitments||
Note 18 - Lease commitments
Mentor currently rents approximately 2,000 square feet of office space under a one-year lease in Ramona, California in San Diego County, expiring in August 2019. Rent expense for the three months ended September 30, 2018 and 2017 was $8,170 and $7,770, respectively. Rent expense for the nine months ended September 30, 2018 and 2017 was $23,710 and $22,470, respectively.
WCI manages its Arizona and Texas business from its Tempe, Arizona location where it leases approximately 3,000 square feet of office and warehouse space under an operating lease expiring in January 2020. Rent expense for the three months ended September 30, 2018 and 2017 was $6,600 and $6,545, respectively. Rent expense for the nine months ended September 30, 2018 and 2017 was $19,800 and $17,600, respectively.
WCI leases vehicles under a master fleet management agreement with initial terms of 4 years expiring through July 2022. Vehicle lease expense included in cost of sales in the condensed consolidated income statement for the three months ended September 30, 2018 and 2017 was $61,400 and $47,556, respectively. Vehicle lease expense for the nine months ended September 30, 2018 and 2017 was $174,042 and $134,715, respectively.
WCI has two small operating leases on office equipment entered into in 2015 with terms of 5 years expiring in 2020.
The approximate remaining annual minimum lease payments under the non-cancelable operating leases existing as of September 30, 2018 with original or remaining terms over one year were as follows:
Tabular disclosure for lessee's operating leases. Includes, but is not limited to, description of lessee's operating lease, existence and terms of renewal or purchase options and escalation clauses, restrictions imposed by lease, such as those concerning dividends, additional debt, and further leasing, rent holidays, rent concessions, or leasehold improvement incentives and unusual provisions or conditions.
Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef