pursuant to the terms of the exchange agreement , paradigm became the wholly-owned subsidiary of pct ltd after the exchange transaction . pct ltd is a holding company , which through paradigm is engaged in the business of marketing new products and technologies through licensing and joint ventures . pct ltd had not recorded revenues for the two fiscal years prior to its acquisition of paradigm and was dependent upon financing to continue basic operations . paradigm has recorded revenue since it initiated operations in 2012 ; however , those revenues have not been sufficient to finance operations , recording annual net losses of $ 2,721,536 and $ 2,249,653 for the years ended december 31 , 2017 and 2016. pct ltd remains dependent upon additional financing to continue operations . the company intends to raise additional financing through private placements of its common stock and note payable issuances . we expect that we would issue such stock pursuant to exemptions to the registration requirements provided by federal and state securities laws . the purchasers and manner of issuance will be determined according to our financial needs , as discussed below , and the available exemptions to the registration requirements of the securities act of 1933. we also note that if we issue more shares of our common stock , then our stockholders may experience dilution in the value per share of their common stock . the expected costs for the next twelve months include : continuation of commercial launch of non-toxic sanitizing , disinfecting and sterilizing products and technologies with a strong emphasis on health care facilities , including hospitals , nursing homes , assisted living facilities , clinics and medical , dental and veterinarian offices ; continued research and development on product generation units including those designed for on-site deployment at customers ' facilities ; accelerated research and development and initial commercialization on applications of the products in the agricultural sector , most specifically with respect to abatement of a specific crop disease crisis caused by a bacterium in the u.s. and elsewhere ; acquiring available complementary technology rights ; payment of short-term debt ; hiring of additional personnel in 2018 ; and general and administrative operating costs . management projects these costs to total approximately $ 2,500,000. to minimize these costs , the company intends to maintain its practice of controlling operating overheads with efficient facilities commitments , generally below market salaries and consulting fees , and rigorous prioritization of expenditure requirements . based on its understanding of the commercial readiness of its products and technologies , the capabilities of its personnel ( current and being hired ) , established business relationships and the general market conditions , management believes that the company expects to be at or close to profitability by the end of the third quarter of 2018 . 18 story_separator_special_tag which with a hiring bonus ) , opening a larger production and office location , revenue costs , research and development , and increased stock-based compensation . general and administrative expenses increased to $ 1,745,792 for the 2017 year compared to $ 774,476 for the 2016 year . general and administrative expense increases for 2017 were due to an increase in operations from a result of increased revenue , hiring new employees , and opening a larger production , office location and increased stock-based compensation . research and development expenses increased to $ 315,385 for the 2017 year compared to $ 147,917 for the 2016 year . research and development expenses increased for 2017 due to testing of the application of the hydrolyte® technology in the oil and gas industry ; as a biocide in institutional facilities , such as , hospitals , jails and medical facilities ; and in agriculture and food processing . depreciation and amortization expenses increased to $ 291,590 for the 2017 year compared to $ 37,996 for the 2016 year . depreciation and amortization expenses increased in 2017 due to placing equipment into service during the year and amortization of new intangible assets . total other expenses decreased to $ 452,634 for the 2017 year compared to $ 1,303,988 for the 2016 year . the overall decrease was from not having any loss from settlements of debt in 2017 compared to a loss on settlement of debt of $ 1,255,928 in 2016. interest expense and other expense increased in 2017 as there was an increase in notes payable outstanding accruing interest during 2017. as a result of the changes described above , the net loss increased to $ 2,721,536 for the 2017 year compared to $ 2,249,653 for the 2016 year . 20 off-balance sheet arrangements we have not entered into any off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition , changes in financial condition , revenues or expenses , results of operations , liquidity , capital expenditures or capital resources and would be considered material to investors . critical accounting policies our financial statements and accompanying notes have been prepared in accordance with united states generally accepted accounting principles applied on a consistent basis . the preparation of financial statements in conformity with u.s. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities , the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods . we regularly evaluate the accounting policies and estimates that we use to prepare our financial statements . a complete summary of these policies is included in the notes to our financial statements . in general , management 's estimates are based on historical experience , on information from third party professionals , and on various other assumptions that are believed to be reasonable under the facts and circumstances . actual results could differ from those estimates made by management . story_separator_special_tag pursuant to the terms of the exchange agreement , paradigm became the wholly-owned subsidiary of pct ltd after the exchange transaction . pct ltd is a holding company , which through paradigm is engaged in the business of marketing new products and technologies through licensing and joint ventures . pct ltd had not recorded revenues for the two fiscal years prior to its acquisition of paradigm and was dependent upon financing to continue basic operations . paradigm has recorded revenue since it initiated operations in 2012 ; however , those revenues have not been sufficient to finance operations , recording annual net losses of $ 2,721,536 and $ 2,249,653 for the years ended december 31 , 2017 and 2016. pct ltd remains dependent upon additional financing to continue operations . the company intends to raise additional financing through private placements of its common stock and note payable issuances . we expect that we would issue such stock pursuant to exemptions to the registration requirements provided by federal and state securities laws . the purchasers and manner of issuance will be determined according to our financial needs , as discussed below , and the available exemptions to the registration requirements of the securities act of 1933. we also note that if we issue more shares of our common stock , then our stockholders may experience dilution in the value per share of their common stock . the expected costs for the next twelve months include : continuation of commercial launch of non-toxic sanitizing , disinfecting and sterilizing products and technologies with a strong emphasis on health care facilities , including hospitals , nursing homes , assisted living facilities , clinics and medical , dental and veterinarian offices ; continued research and development on product generation units including those designed for on-site deployment at customers ' facilities ; accelerated research and development and initial commercialization on applications of the products in the agricultural sector , most specifically with respect to abatement of a specific crop disease crisis caused by a bacterium in the u.s. and elsewhere ; acquiring available complementary technology rights ; payment of short-term debt ; hiring of additional personnel in 2018 ; and general and administrative operating costs . management projects these costs to total approximately $ 2,500,000. to minimize these costs , the company intends to maintain its practice of controlling operating overheads with efficient facilities commitments , generally below market salaries and consulting fees , and rigorous prioritization of expenditure requirements . based on its understanding of the commercial readiness of its products and technologies , the capabilities of its personnel ( current and being hired ) , established business relationships and the general market conditions , management believes that the company expects to be at or close to profitability by the end of the third quarter of 2018 . 18 story_separator_special_tag which with a hiring bonus ) , opening a larger production and office location , revenue costs , research and development , and increased stock-based compensation . general and administrative expenses increased to $ 1,745,792 for the 2017 year compared to $ 774,476 for the 2016 year . general and administrative expense increases for 2017 were due to an increase in operations from a result of increased revenue , hiring new employees , and opening a larger production , office location and increased stock-based compensation . research and development expenses increased to $ 315,385 for the 2017 year compared to $ 147,917 for the 2016 year . research and development expenses increased for 2017 due to testing of the application of the hydrolyte® technology in the oil and gas industry ; as a biocide in institutional facilities , such as , hospitals , jails and medical facilities ; and in agriculture and food processing . depreciation and amortization expenses increased to $ 291,590 for the 2017 year compared to $ 37,996 for the 2016 year . depreciation and amortization expenses increased in 2017 due to placing equipment into service during the year and amortization of new intangible assets . total other expenses decreased to $ 452,634 for the 2017 year compared to $ 1,303,988 for the 2016 year . the overall decrease was from not having any loss from settlements of debt in 2017 compared to a loss on settlement of debt of $ 1,255,928 in 2016. interest expense and other expense increased in 2017 as there was an increase in notes payable outstanding accruing interest during 2017. as a result of the changes described above , the net loss increased to $ 2,721,536 for the 2017 year compared to $ 2,249,653 for the 2016 year . 20 off-balance sheet arrangements we have not entered into any off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition , changes in financial condition , revenues or expenses , results of operations , liquidity , capital expenditures or capital resources and would be considered material to investors . critical accounting policies our financial statements and accompanying notes have been prepared in accordance with united states generally accepted accounting principles applied on a consistent basis . the preparation of financial statements in conformity with u.s. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities , the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods . we regularly evaluate the accounting policies and estimates that we use to prepare our financial statements . a complete summary of these policies is included in the notes to our financial statements . in general , management 's estimates are based on historical experience , on information from third party professionals , and on various other assumptions that are believed to be reasonable under the facts and circumstances . actual results could differ from those estimates made by management .

liquidity and capital resources replace_table_token_2_th the company recorded a net loss of $ 2,721,536 and had a working deficit of $ 1,415,877 for the year ended december 31 , 2017. we have recorded a relatively small amount of revenues from operations since inception and we have not established an ongoing source of revenue sufficient to cover our operating costs . during 2017 and 2016 the company has relied on raising equity capital and borrowing from stockholders and third parties to fund its ongoing day-to-day operations and its corporate overhead . as december 31 , 2017 we had $ 7,838 in cash compared to $ 21,078 in cash at december 31 , 2016. we had total liabilities of $ 1,456,198 at december 31 , 2017 compared to $ 555,838 at december 31 , 2016. total assets increased by $ 4,475,327 at december 31 , 2017 compared to december 31 , 2016. this increase is primarily from new intangible assets of approximately $ 4,282,250 ( net of amortization ) and property and equipment of approximately $ 305,004 ( net of depreciation ) acquired during the year ended december 31 , 2017. total liabilities increased by $ 900,360 at december 31 , 2017 compared to december 31 , 2016. this increase is primarily additions to related party notes payable of approximately $ 474,198 , notes payable ( net of discount ) of approximately $ 171,766 and to accounts payable and accrued liabilities of approximately $ 254,396 related to administrative and professional services during the year ended december 31 , 2017. our current cash flowis not sufficient to meet our monthly expenses of approximately $ 210,000 and to fund future research and development .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```liquidity and capital resources replace_table_token_2_th the company recorded a net loss of $ 2,721,536 and had a working deficit of $ 1,415,877 for the year ended december 31 , 2017. we have recorded a relatively small amount of revenues from operations since inception and we have not established an ongoing source of revenue sufficient to cover our operating costs . during 2017 and 2016 the company has relied on raising equity capital and borrowing from stockholders and third parties to fund its ongoing day-to-day operations and its corporate overhead . as december 31 , 2017 we had $ 7,838 in cash compared to $ 21,078 in cash at december 31 , 2016. we had total liabilities of $ 1,456,198 at december 31 , 2017 compared to $ 555,838 at december 31 , 2016. total assets increased by $ 4,475,327 at december 31 , 2017 compared to december 31 , 2016. this increase is primarily from new intangible assets of approximately $ 4,282,250 ( net of amortization ) and property and equipment of approximately $ 305,004 ( net of depreciation ) acquired during the year ended december 31 , 2017. total liabilities increased by $ 900,360 at december 31 , 2017 compared to december 31 , 2016. this increase is primarily additions to related party notes payable of approximately $ 474,198 , notes payable ( net of discount ) of approximately $ 171,766 and to accounts payable and accrued liabilities of approximately $ 254,396 related to administrative and professional services during the year ended december 31 , 2017. our current cash flowis not sufficient to meet our monthly expenses of approximately $ 210,000 and to fund future research and development .
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 Suspicious Activity Report : pursuant to the terms of the exchange agreement , paradigm became the wholly-owned subsidiary of pct ltd after the exchange transaction . pct ltd is a holding company , which through paradigm is engaged in the business of marketing new products and technologies through licensing and joint ventures . pct ltd had not recorded revenues for the two fiscal years prior to its acquisition of paradigm and was dependent upon financing to continue basic operations . paradigm has recorded revenue since it initiated operations in 2012 ; however , those revenues have not been sufficient to finance operations , recording annual net losses of $ 2,721,536 and $ 2,249,653 for the years ended december 31 , 2017 and 2016. pct ltd remains dependent upon additional financing to continue operations . the company intends to raise additional financing through private placements of its common stock and note payable issuances . we expect that we would issue such stock pursuant to exemptions to the registration requirements provided by federal and state securities laws . the purchasers and manner of issuance will be determined according to our financial needs , as discussed below , and the available exemptions to the registration requirements of the securities act of 1933. we also note that if we issue more shares of our common stock , then our stockholders may experience dilution in the value per share of their common stock . the expected costs for the next twelve months include : continuation of commercial launch of non-toxic sanitizing , disinfecting and sterilizing products and technologies with a strong emphasis on health care facilities , including hospitals , nursing homes , assisted living facilities , clinics and medical , dental and veterinarian offices ; continued research and development on product generation units including those designed for on-site deployment at customers ' facilities ; accelerated research and development and initial commercialization on applications of the products in the agricultural sector , most specifically with respect to abatement of a specific crop disease crisis caused by a bacterium in the u.s. and elsewhere ; acquiring available complementary technology rights ; payment of short-term debt ; hiring of additional personnel in 2018 ; and general and administrative operating costs . management projects these costs to total approximately $ 2,500,000. to minimize these costs , the company intends to maintain its practice of controlling operating overheads with efficient facilities commitments , generally below market salaries and consulting fees , and rigorous prioritization of expenditure requirements . based on its understanding of the commercial readiness of its products and technologies , the capabilities of its personnel ( current and being hired ) , established business relationships and the general market conditions , management believes that the company expects to be at or close to profitability by the end of the third quarter of 2018 . 18 story_separator_special_tag which with a hiring bonus ) , opening a larger production and office location , revenue costs , research and development , and increased stock-based compensation . general and administrative expenses increased to $ 1,745,792 for the 2017 year compared to $ 774,476 for the 2016 year . general and administrative expense increases for 2017 were due to an increase in operations from a result of increased revenue , hiring new employees , and opening a larger production , office location and increased stock-based compensation . research and development expenses increased to $ 315,385 for the 2017 year compared to $ 147,917 for the 2016 year . research and development expenses increased for 2017 due to testing of the application of the hydrolyte® technology in the oil and gas industry ; as a biocide in institutional facilities , such as , hospitals , jails and medical facilities ; and in agriculture and food processing . depreciation and amortization expenses increased to $ 291,590 for the 2017 year compared to $ 37,996 for the 2016 year . depreciation and amortization expenses increased in 2017 due to placing equipment into service during the year and amortization of new intangible assets . total other expenses decreased to $ 452,634 for the 2017 year compared to $ 1,303,988 for the 2016 year . the overall decrease was from not having any loss from settlements of debt in 2017 compared to a loss on settlement of debt of $ 1,255,928 in 2016. interest expense and other expense increased in 2017 as there was an increase in notes payable outstanding accruing interest during 2017. as a result of the changes described above , the net loss increased to $ 2,721,536 for the 2017 year compared to $ 2,249,653 for the 2016 year . 20 off-balance sheet arrangements we have not entered into any off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition , changes in financial condition , revenues or expenses , results of operations , liquidity , capital expenditures or capital resources and would be considered material to investors . critical accounting policies our financial statements and accompanying notes have been prepared in accordance with united states generally accepted accounting principles applied on a consistent basis . the preparation of financial statements in conformity with u.s. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities , the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods . we regularly evaluate the accounting policies and estimates that we use to prepare our financial statements . a complete summary of these policies is included in the notes to our financial statements . in general , management 's estimates are based on historical experience , on information from third party professionals , and on various other assumptions that are believed to be reasonable under the facts and circumstances . actual results could differ from those estimates made by management . story_separator_special_tag pursuant to the terms of the exchange agreement , paradigm became the wholly-owned subsidiary of pct ltd after the exchange transaction . pct ltd is a holding company , which through paradigm is engaged in the business of marketing new products and technologies through licensing and joint ventures . pct ltd had not recorded revenues for the two fiscal years prior to its acquisition of paradigm and was dependent upon financing to continue basic operations . paradigm has recorded revenue since it initiated operations in 2012 ; however , those revenues have not been sufficient to finance operations , recording annual net losses of $ 2,721,536 and $ 2,249,653 for the years ended december 31 , 2017 and 2016. pct ltd remains dependent upon additional financing to continue operations . the company intends to raise additional financing through private placements of its common stock and note payable issuances . we expect that we would issue such stock pursuant to exemptions to the registration requirements provided by federal and state securities laws . the purchasers and manner of issuance will be determined according to our financial needs , as discussed below , and the available exemptions to the registration requirements of the securities act of 1933. we also note that if we issue more shares of our common stock , then our stockholders may experience dilution in the value per share of their common stock . the expected costs for the next twelve months include : continuation of commercial launch of non-toxic sanitizing , disinfecting and sterilizing products and technologies with a strong emphasis on health care facilities , including hospitals , nursing homes , assisted living facilities , clinics and medical , dental and veterinarian offices ; continued research and development on product generation units including those designed for on-site deployment at customers ' facilities ; accelerated research and development and initial commercialization on applications of the products in the agricultural sector , most specifically with respect to abatement of a specific crop disease crisis caused by a bacterium in the u.s. and elsewhere ; acquiring available complementary technology rights ; payment of short-term debt ; hiring of additional personnel in 2018 ; and general and administrative operating costs . management projects these costs to total approximately $ 2,500,000. to minimize these costs , the company intends to maintain its practice of controlling operating overheads with efficient facilities commitments , generally below market salaries and consulting fees , and rigorous prioritization of expenditure requirements . based on its understanding of the commercial readiness of its products and technologies , the capabilities of its personnel ( current and being hired ) , established business relationships and the general market conditions , management believes that the company expects to be at or close to profitability by the end of the third quarter of 2018 . 18 story_separator_special_tag which with a hiring bonus ) , opening a larger production and office location , revenue costs , research and development , and increased stock-based compensation . general and administrative expenses increased to $ 1,745,792 for the 2017 year compared to $ 774,476 for the 2016 year . general and administrative expense increases for 2017 were due to an increase in operations from a result of increased revenue , hiring new employees , and opening a larger production , office location and increased stock-based compensation . research and development expenses increased to $ 315,385 for the 2017 year compared to $ 147,917 for the 2016 year . research and development expenses increased for 2017 due to testing of the application of the hydrolyte® technology in the oil and gas industry ; as a biocide in institutional facilities , such as , hospitals , jails and medical facilities ; and in agriculture and food processing . depreciation and amortization expenses increased to $ 291,590 for the 2017 year compared to $ 37,996 for the 2016 year . depreciation and amortization expenses increased in 2017 due to placing equipment into service during the year and amortization of new intangible assets . total other expenses decreased to $ 452,634 for the 2017 year compared to $ 1,303,988 for the 2016 year . the overall decrease was from not having any loss from settlements of debt in 2017 compared to a loss on settlement of debt of $ 1,255,928 in 2016. interest expense and other expense increased in 2017 as there was an increase in notes payable outstanding accruing interest during 2017. as a result of the changes described above , the net loss increased to $ 2,721,536 for the 2017 year compared to $ 2,249,653 for the 2016 year . 20 off-balance sheet arrangements we have not entered into any off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition , changes in financial condition , revenues or expenses , results of operations , liquidity , capital expenditures or capital resources and would be considered material to investors . critical accounting policies our financial statements and accompanying notes have been prepared in accordance with united states generally accepted accounting principles applied on a consistent basis . the preparation of financial statements in conformity with u.s. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities , the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods . we regularly evaluate the accounting policies and estimates that we use to prepare our financial statements . a complete summary of these policies is included in the notes to our financial statements . in general , management 's estimates are based on historical experience , on information from third party professionals , and on various other assumptions that are believed to be reasonable under the facts and circumstances . actual results could differ from those estimates made by management .

