Get Started for Free Contexxia identifies hard-to-find pieces of information in SEC filings. No more highlighters, no more redlining, no more poring over huge documents. NATIONAL QUALITY CARE INC (872544) 10-Q published on May 21, 2012 at 2:34 pm
The carrying amounts of cash, money market funds, funds on deposit with law firms, receivable from sale of technology rights, prepaid expenses and other current assets, accounts payable and accrued expenses, and income taxes payable approximate their respective fair values due to the short-term nature of these items.
General and administrative expenses were $139,642 for the three months ended March 31, 2011, as compared to $131,350 for the three months ended March 31, 2010, an increase of $8,292 or 6%. Included in such costs was stock-based compensation of $5,205 and $5,943 in 2011 and 2010, respectively.
The Company had cash and money market funds of $54,158 at March 31, 2011, as compared to $1,522,374 at December 31, 2010, a decrease of $1,468,216. The Company had funds on deposit with law firms of $967,663 at March 31, 2011. The Company had no funds on deposit with law firms at March 31, 2010. The Company had a working capital deficiency of $54,976 at March 31, 2011, as compared to a working capital surplus of $79,180 at December 31, 2010.
During the three months ended March 31, 2011, the Company used cash of $1,468,216 in continuing operating activities, as compared to generating cash of $1,573,117 from continuing operating activities during the three months ended March 31, 2010, a net decrease of $3,041,333. Cash used in continuing operations during the three months ended March 31, 2011 was primarily the result of amounts placed on deposit with legal and other professionals. Cash provided by continuing operations during the three months ended March 31, 2010 was due primarily to the proceeds received from the legal settlement, net of income taxes.
During the three months ended March 31, 2011, the Company generated $1,378,219 in cash from investing activities, consisting of amounts transferred from the Company’s money market funds. During the three months ended March 31, 2010, the Company utilized $97,268 of cash in investing activities, consisting of the proceeds received from the sale of assets of $78,570, offset by $175,838 transferred to the Company’s money market funds.