| Florida                                          | 59-3087128                           |
|--------------------------------------------------|--------------------------------------|
| (State                  of other jurisdiction of | (IRS                  Employer       |
| incorporation                  or organization)  | Identification                  No.) |

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| INDEX                TO FORM 10-QSB |                                                                                                                                                                               |   |
|-------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                |                                                                                                                                                                               | PAGE   |
|                                |                                                                                                                                                                               |   |
| PART                  I             | FINANCIAL                  INFORMATION                                                                                                                                             |   |
|                                |                                                                                                                                                                               |   |
| Item                  1             | Financial                  Statements                                                                                                                                              |   |
|                                |                                                                                                                                                                               |   |
|                                | Condensed                  Balance Sheets as of September 30, 2007 (Unaudited) and December                  31,                  2006                                             | 3      |
|                                |                                                                                                                                                                               |   |
|                                | Condensed                  Statements of Income (Unaudited) for the three and nine months                  ended                  September 30, 2007 and 2006                      | 4      |
|                                |                                                                                                                                                                               |   |
|                                | Condensed                  Statements of Stockholders’ Equity (Unaudited) for the year ended December                  31, 2006 and the nine months ended September 30, 2007 | 5      |
|                                |                                                                                                                                                                               |   |
|                                | Condensed                  Statements of Cash Flows (Unaudited) for the nine months ended                  September                  30, 2007 and 2006                            | 6      |
|                                |                                                                                                                                                                               |   |
|                                | Notes                  to Condensed Financial Statements (Unaudited)                                                                                                               | 7      |
|                                |                                                                                                                                                                               |   |
| Item                  2             | Management's                  Discussion and Analysis or Plan of Operation                                                                                                         | 10     |
|                                |                                                                                                                                                                               |   |
| Item                  3             | Controls                  and Procedures                                                                                                                                           | 11     |
|                                |                                                                                                                                                                               |   |
| PART                  II            | OTHER                  INFORMATION                                                                                                                                                 | 11     |
|                                |                                                                                                                                                                               |   |
| SIGNATURES                          |                                                                                                                                                                               | 12     |

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|                                                                                                                              |   | **September                    30****2007** |          | **December                    31****2006** |   |
|------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------|---------------|--------------------------------------------|--------|
|                                                                                                                         |   | **(Unaudited)**                             |          |                                       |   |
| **Assets**                                                                                                                   |   |                                        |          |                                       |   |
| Current                assets:                                                                                               |   |                                        |          |                                       |   |
| Cash                                                                                                                         |   | **$**                                       | **278,676**   |                                       | $      | 331,793 |   |
| Accounts                receivable, net of reserve for doubtful accounts of $70,000 and $50,000,                respectively |   |                                        | **348,450**   |                                       |   | 286,473 |   |
| Current                portion of deferred income taxes                                                                      |   |                                        | **73,160**    |                                       |   | 70,281 |   |
| Prepaid                expenses and other current assets                                                                     |   |                                        | **23,402**    |                                       |   | 2,914 |   |
| Total                current assets                                                                                          |   |                                        | **723,688**   |                                       |   | 691,461 |   |
|                                                                                                                         |   |                                        |          |                                       |   |   |   |
| Property                and equipment:                                                                                       |   |                                        |          |                                       |   |   |   |
| Land                                                                                                                         |   |                                        | **150,000**   |                                       |   | 150,000 |   |
| Building                and building improvements                                                                            |   |                                        | **735,318**   |                                       |   | 735,318 |   |
| Equipment,                furniture and fixtures                                                                             |   |                                        | **459,048**   |                                       |   | 432,572 |   |
| Vehicles                                                                                                                     |   |                                        | **129,117**   |                                       |   | 71,512 |   |
|                                                                                                                         |   |                                        | **1,473,483** |                                       |   | 1,389,402 |   |
| Less                accumulated depreciation and amortization                                                                |   |                                        | **453,749**   |                                       |   | 400,840 |   |
| Net                property and equipment                                                                                    |   |                                        | **1,019,734** |                                       |   | 988,562 |   |
|                                                                                                                         |   |                                        |          |                                       |   |   |   |
| Other                assets                                                                                                  |   |                                        | **5,000**     |                                       |   | 5,000 |   |
| Deferred                income taxes, less current portion                                                                   |   |                                        | **304,332**   |                                       |   | 332,735 |   |
| Total                assets                                                                                                  |   | **$**                                       | **2,052,754** |                                       | $      | 2,017,758 |   |

| **Liabilities                and stockholders’ equity**   |   |   |          |   |   |
|-----------------------------------------------------------------|--------|--------|---------------|--------|--------|
| Current                liabilities:                             |   |   |          |   |   |
| Accounts                payable and accrued expenses            |   | **$**  | **73,318**    |   | $      | 57,793 |   |
| Accrued                salaries                                 |   |   | **23,835**    |   |   | 21,775 |   |
| Current                portion of deferred revenue              |   |   | **120,852**   |   |   | 133,333 |   |
| Current                portion of long-term debt                |   |   | **51,160**    |   |   | 45,989 |   |
| Current                portion of capital lease obligation      |   |   | **2,995**     |   |   | 3,906 |   |
| Total                current liabilities                        |   |   | **272,160**   |   |   | 262,796 |   |
|                                                            |   |   |          |   |   |   |   |
| Deferred                revenue, less current portion           |   |   | -             |   |   | 25,000 |   |
| Long-term                debt, less current portion             |   |   | **728,776**   |   |   | 719,312 |   |
| Capital                lease obligation, less current portion   |   |   | -             |   |   | 1,882 |   |
| Total                liabilities                                |   |   | **1,000,936** |   |   | 1,008,990 |   |
|                                                            |   |   |          |   |   |   |   |
| Stockholders’                equity                       |   |   | **1,051,818** |   |   | 1,008,768 |   |
| Total                liabilities and stockholders’ equity |   | **$**  | **2,052,754** |   | $      | 2,017,758 |   |

*See      accompanying Notes to Condensed Financial Statements.*

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|                                                       |   | **Three                  months ended****September                    30** |        | **Nine                  months ended****September                    30** |   |
|------------------------------------------------------------|--------|----------------------------------------------------------------------------|-------------|---------------------------------------------------------------------------|--------|
|                                                       |   | **2007**                                                                   |        | **2006**                                                                  |   | **2007** |   | **2006** |   |
|                                                       |   |                                                                       |        |                                                                      |   |   |   |   |   |
| Revenues                                                   |   | **$**                                                                      | **681,000** |                                                                      | $      | 529,928 |   | **$** | **1,894,004** |   | $ | 1,630,662 |   |
|                                                       |   |                                                                       |        |                                                                      |   |   |   |   |   |   |   |   |   |
| Operating                expenses:                         |   |                                                                       |        |                                                                      |   |   |   |   |   |   |   |   |   |
| Salaries                                                   |   |                                                                       | **374,051** |                                                                      |   | 296,655 |   |   | **1,034,836** |   |   | 932,023 |   |
| Depreciation                and amortization               |   |                                                                       | **16,867**  |                                                                      |   | 18,507 |   |   | **52,909** |   |   | 56,981 |   |
| General                and administrative                  |   |                                                                       | **217,662** |                                                                      |   | 188,554 |   |   | **700,886** |   |   | 515,969 |   |
| Total                operating expenses                    |   |                                                                       | **608,580** |                                                                      |   | 503,716 |   |   | **1,788,631** |   |   | 1,504,973 |   |
|                                                       |   |                                                                       |        |                                                                      |   |   |   |   |   |   |   |   |   |
| Operating                income                            |   |                                                                       | **72,420**  |                                                                      |   | 26,212 |   |   | **105,373** |   |   | 125,689 |   |
|                                                       |   |                                                                       |        |                                                                      |   |   |   |   |   |   |   |   |   |
| Other                expenses:                             |   |                                                                       |        |                                                                      |   |   |   |   |   |   |   |   |   |
| Interest                                                   |   |                                                                       | **11,765**  |                                                                      |   | 12,683 |   |   | **36,799** |   |   | 39,988 |   |
| Settlement                of lawsuit                       |   |                                                                       | -           |                                                                      |   | - |   |   | - |   |   | 55,000 |   |
| Total                other expenses                        |   |                                                                       | **11,765**  |                                                                      |   | 12,683 |   |   | **36,799** |   |   | 94,988 |   |
|                                                       |   |                                                                       |        |                                                                      |   |   |   |   |   |   |   |   |   |
| Income                before income taxes                  |   |                                                                       | **60,655**  |                                                                      |   | 13,529 |   |   | **68,574** |   |   | 30,701 |   |
|                                                       |   |                                                                       |        |                                                                      |   |   |   |   |   |   |   |   |   |
| Deferred                income tax expense                 |   |                                                                       | **(22,357** | **)**                                                                     |   | (5,991 | ) |   | **(25,524** | **)** |   | (11,272 | ) |
|                                                       |   |                                                                       |        |                                                                      |   |   |   |   |   |   |   |   |   |
| Net                income                                  |   | **$**                                                                      | **38,298**  |                                                                      | $      | 7,538 |   | **$** | **43,050** |   | $ | 19,429 |   |
|                                                       |   |                                                                       |        |                                                                      |   |   |   |   |   |   |   |   |   |
| Basic                and diluted earnings per common share |   | **$**                                                                      | **0.00**    |                                                                      | $      | 0.00 |   | **$** | **0.00** |   | $ | 0.00 |   |

*See      accompanying Notes to Condensed Financial Statements.*

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|                                                                    |   | **Number                of****Shares****Issued                and****Outstanding** |           | **Common****Stock** |   | **Additional****Paid-in****Capital** |   | **Accumulated****Deficit** |          | **Total****Stockholders’****Equity** |   |
|--------------------------------------------------------------------|--------|------------------------------------------------------------------------------------|----------------|---------------------|--------|--------------------------------------|--------|----------------------------|---------------|--------------------------------------------|--------|
|                                                               |   |                                                                               |           |                |   |                                 |   |                       |          |                                       |   |
| Balance                at January 1, 2006                          |   |                                                                               | 19,634,821     |                | $      | 196,348                              |   | $                          | 1,958,578     |                                       | $      | (1,258,207 | ) | $ | 896,719 |   |
| Stock                issued for services                           |   |                                                                               | 546,046        |                |   | 5,460                                |   |                       | 39,258        |                                       |   | - |   |   | 44,718 |   |
| Net                income for 2006                                 |   |                                                                               | -              |                |   | -                                    |   |                       | -             |                                       |   | 67,331 |   |   | 67,331 |   |
| Balance                at December 31, 2006                        |   |                                                                               | 20,180,867     |                |   | 201,808                              |   |                       | 1,997,836     |                                       |   | (1,190,876 | ) |   | 1,008,768 |   |
| Net                income for nine months ended September 30, 2007 |   |                                                                               | **-**          |                |   | **-**                                |   |                       | **-**         |                                       |   | **43,050** |   |   | **43,050** |   |
| Retired                Stock                                       |   |                                                                               | **(75,000**    | **)**               |   | **(750**                             | **)**  |                       | **750**       |                                       |   | **-** |   |   | **-** |   |
| Balance                at September 30, 2007                       |   |                                                                               | **20,105,867** |                | **$**  | **201,058**                          |   | **$**                      | **1,998,586** |                                       | **$**  | **(1,147,826** | **)** | **$** | **1,051,818** |   |

*See      accompanying Notes to Condensed Financial Statements.*

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|                                                                                                            |   | **Nine                months ended****September                30** |        |
|-----------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------|-------------|
|                                                                                                            |   | **2007**                                                            |        | **2006** |   |
|                                                                                                            |   |                                                                |        |   |   |
| **Operating                activities**                                                                         |   |                                                                |        |   |   |
| Net                income                                                                                       |   | **$**                                                               | **43,050**  |   | $ | 19,429 |   |
| Adjustments                to reconcile net income to net cash provided by operating                activities: |   |                                                                |        |   |   |   |   |
| Depreciation                and amortization                                                                    |   |                                                                | **52,909**  |   |   | 56,981 |   |
| Provision                for bad debts                                                                          |   |                                                                | **20,000**  |   |   | 25,000 |   |
| Deferred                income tax expense                                                                      |   |                                                                | **25,524**  |   |   | 11,272 |   |
| Services                paid with stock                                                                         |   |                                                                | -           |   |   | 44,718 |   |
| Changes                in operating assets and liabilities:                                                     |   |                                                                |        |   |   |   |   |
| Accounts                receivable                                                                              |   |                                                                | **(81,977** | **)** |   | (10,554 | ) |
| Prepaid                expenses and other assets                                                                |   |                                                                | **(20,488** | **)** |   | (3,431 | ) |
| Accounts                payable and accrued expenses                                                            |   |                                                                | **15,525**  |   |   | (4,443 | ) |
| Accrued                salaries                                                                                 |   |                                                                | **2,060**   |   |   | (2,737 | ) |
| Deferred                revenue                                                                                 |   |                                                                | **(37,481** | **)** |   | 41,667 |   |
| Net                cash provided by operating activities                                                        |   |                                                                | **19,122**  |   |   | 177,902 |   |
|                                                                                                            |   |                                                                |        |   |   |   |   |
| **Investing                activities**                                                                         |   |                                                                |        |   |   |   |   |
| Purchases                of property and equipment                                                              |   |                                                                | **(84,081** | **)** |   | (29,802 | ) |
|                                                                                                            |   |                                                                |        |   |   |   |   |
| **Financing                activities**                                                                         |   |                                                                |        |   |   |   |   |
| Net                repayments on line of credit                                                                 |   |                                                                | -           |   |   | (49,266 | ) |
| Proceeds                from long-term debt                                                                     |   |                                                                | **56,513**  |   |   | - |   |
| Principal                payments on long-term debt and capital lease obligation                                |   |                                                                | **(44,671** | **)** |   | (32,618 | **)** |
| Net                cash provided by (used in) financing activities                                              |   |                                                                | **11,842**  |   |   | (81,884 | ) |
|                                                                                                            |   |                                                                |        |   |   |   |   |
| Net                (decrease) increase in cash                                                                  |   |                                                                | **(53,117** | **)** |   | 66,216 |   |
|                                                                                                            |   |                                                                |        |   |   |   |   |
| Cash                at beginning of period                                                                      |   |                                                                | **331,793** |   |   | 196,893 |   |
| Cash                at end of period                                                                            |   | **$**                                                               | **278,676** |   | $ | 263,109 |   |

**Supplemental      disclosure of cash flow information**

| Cash                paid for interest during the period |   | **$** | **36,799** |   | $ | 39,988 |   |
|---------------------------------------------------------|--------|-------|------------|--------|---|--------|--------|

*See      accompanying Notes to Condensed Financial Statements.*

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**1.      Basis of Presentation**

**2.      Recent Accounting Pronouncements**

*Accounting      for Uncertainty in Income Taxes (an interpretation of FASB Statement      No. 109) *

**3.      Long-term Debt**

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**4.      Employee Stock Options**

*)*
*      Share-Based Payment *

**5.      Use Agreement**

**6.**
**Commitments      and Contingencies**

**7.**
**Earnings      per Share**

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**7.      Earnings per Share (continued)**

|                                                |   | **Three                  months ended****September                    30** |           | **Nine                  months ended****September                    30** |   |
|-----------------------------------------------------|--------|----------------------------------------------------------------------------|----------------|---------------------------------------------------------------------------|--------|
|                                                |   | **2007**                                                                   |           | **2006**                                                                  |   | **2007** |   | **2006** |   |
| Basic                and diluted:                   |   |                                                                       |           |                                                                      |   |   |   |   |   |
| Net                income                           |   | **$**                                                                      | **38,298**     |                                                                      | $      | 7,538 |   | **$** | **43,050** |   | $ | 19,429 |   |
| Average                shares outstanding           |   |                                                                       | **20,162,117** |                                                                      |   | 20,180,867 |   |   | **20,173,367** |   |   | 19,936,352 |   |
| Basic                and diluted earnings per share |   | **$**                                                                      | **0.00**       |                                                                      | $      | 0.00 |   | **$** | **0.00** |   | $ | 0.00 |   |

**8.      Subsequent Events**

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|                                              |   |   | Diversified Product              Inspections, Inc.                                                                                                                                    |
|---------------------------------------------------|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                              |   |   |         (Registrant)                                                                                                                          |
|                                              |   |   |                                                                                                                                                                                  |
|                                              |   |   |                                                                                                                                                                                  |
| Date:              November 12,              2007 |   |   | /s/ John              Van              Zyll                                                                                                                                      |
|                                                   |   |   | John                Van ZyllPresident,                Chief Executive Officer and Chairman(Principal                Executive Officer andPrincipal                Accounting Officer) |

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