B III sells magnetic products that are aimed at the homeopathic treatment of various types of aches and pains throughout the body. We plan to market these B III therapeutic magnet products through infomercials starring Joe Namath. Additionally, these items are available on the website of our subsidiary, Golf Universe web site. The company expects internet revenues to grow quickly in the coming quarters. Cost of Revenue .
Cost of revenues consists of expenses related to our manufacturing division.
The cost of revenues was significantly higher than the revenue received do to insufficient volume to cover the cost of manufacturing. Sales, General and Administrative . Sales expenses consist of personnel and related costs for our direct sales force, marketing staff and marketing programs, including trade shows, advertising and public relations. The increase in sales and marketing cost were primarily due to increases in our direct sales force and increased marketing expenditures targeted at building our permission email and Internet marketing strategy. We expect sales and marketing expenses will increase substantially in absolute dollars over the next year as we hire additional sales and marketing personnel and initiate additional marketing programs.