v3.20.4
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
6 Months Ended
Nov. 30, 2020
Nov. 30, 2019
CASH FLOWS FROM OPERATING ACTIVITIES    
Net income (loss) $ (1,994,412) $ (2,658,474)
Adjustments to reconcile net loss to net cash used in operating activities:    
Gain on contingent liabilities 0 (275,000)
Fair value of shares issued to consultants (25,750) 0
Amortization of debt discounts 790,140 853,983
Fair value of shares vested by officers 53,876 93,902
Depreciation and amortization expense 342,331 171,497
Fair value of shares issued in settlement 0 30,000
Bad debt expense 5,992 0
Changes in assets and liabilities:    
Accounts receivable (126,410) (110,217)
Prepaid expenses and other current assets (63,228) (41,394)
Inventory (813,158) 145,877
Interest receivable 3,322 (163,446)
Right of use asset 175,727 1,124,112
Accounts payable and accrued expenses 257,882 (225,318)
Accrued interest 258,113 838,662
Operating lease liability (207,409) (992,296)
Net cash used in operating activities (1,342,984) (1,208,112)
CASH FLOWS FROM INVESTING ACTIVITIES    
Payments to purchase property, plant and equipment (163,019) (1,566,882)
Loan made to borrower under note receivable 0 (175,000)
Proceeds from collection of note receivable 1,385,951 0
Net cash used in investing activities 1,222,932 (1,741,882)
CASH FLOWS FROM FINANCING ACTIVITIES    
Principal payments on notes payable 0 (2,638,784)
Net cash provided by financing activities 0 (2,638,784)
Net increase in cash and cash equivalents (120,052) (5,588,778)
Cash and cash equivalents at beginning of period 2,925,568 10,525,791
Cash and cash equivalents at end of period 2,805,516 4,937,013
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:    
Interest paid 541,412 242
Income taxes paid 0 0
NONCASH INVESTING AND FINANCING ACTIVITIES:    
Charge to paid-in capital for par value of shares issued in cashless exercise of warrants 14,970 0
Adoption of lease standard ASU 2016-02 0 1,781,446
Capitalized interest on convertible debentures 212,601 753,977
Reclassification of deposit to fixed assets 0 136,190
Non-Related Party Debt [Member]    
NONCASH INVESTING AND FINANCING ACTIVITIES:    
Common stock issued for conversion of convertible notes payable $ 0 $ 25,857

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