Note 6 - Convertible Notes	3 Months Ended
Mar. 31, 2017
Notes
Note 6 - Convertible Notes	6. Convertible Notes In the first quarter of 2017, the Company issued a total of $20,000 in a new class of promissory notes payable. The notes bear interest at 10% per year, computed annually and payable quarterly. The 2017 note matures December 31, 2019. The notes are convertible and have a conversion price of $0.15 per share. In the first quarter of 2016 and for the year ended December 31, 2015, the Company issued a total of $2,500 and $245,000, respectively, in promissory notes payable. The notes bear interest at 10% per year, compounded annually and payable quarterly. The 2016 note matures December 31, 2018. The other notes mature on December 31, 2017. The Company may prepay the notes upon written notice to the holders. The notes are convertible at any time by the holder at a conversion price of $0.25 per share. Based on this fixed conversion ratio on the respective commitment dates, the Company recognized a debt discount of $8,373 for the beneficial conversion feature underlying these notes during 2015. Any accrued interest may also be converted at the fixed conversion price, therefore it represents a contingent beneficial feature. A total of $1,657 of the debt discount was amortized to interest expense during the three months ended March 31, 2017. A total of $6,550 of interest was accrued under these notes during the three months ended March 31, 2017.

Note 6 - Convertible Notes

3 Months Ended

Mar. 31, 2017

6. Convertible Notes

In the first quarter of 2017, the Company issued a total of $20,000 in a new class of promissory notes payable. The notes bear interest at 10% per year, computed annually and payable quarterly. The 2017 note matures December 31, 2019. The notes are convertible and have a conversion price of $0.15 per share.

In the first quarter of 2016 and for the year ended December 31, 2015, the Company issued a total of $2,500 and $245,000, respectively, in promissory notes payable. The notes bear interest at 10% per year, compounded annually and payable quarterly. The 2016 note matures December 31, 2018. The other notes mature on December 31, 2017. The Company may prepay the notes upon written notice to the holders. The notes are convertible at any time by the holder at a conversion price of $0.25 per share. Based on this fixed conversion ratio on the respective commitment dates, the Company recognized a debt discount of $8,373 for the beneficial conversion feature underlying these notes during 2015. Any accrued interest may also be converted at the fixed conversion price, therefore it represents a contingent beneficial feature. A total of $1,657 of the debt discount was amortized to interest expense during the three months ended March 31, 2017.

A total of $6,550 of interest was accrued under these notes during the three months ended March 31, 2017.

LD HOLDINGS, INC. 10-Q