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Common Stock
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9 Months Ended |
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Sep. 30, 2013
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| Common Stock | |
| Note 7. Common Stock |
During the nine month period ended September 30, 2013, the Company issued 297,500 shares of common stock for a total of $534,500 at a price of $2.00 per share. The amount received was net of $60,500 fees and expenses to an agent. Remuneration to the agent also included 29,750 warrants, immediately exercisable for a period of five years at a price of $2.00 per share. The warrants were valued at $71,918, using the Black-Scholes Option Pricing model using the following assumptions: Five-year term, $2.43 stock price, $2.00 exercise price, 246% volatility, 1.13% risk free rate.
During the nine month period ended September 30, 2013, the Company issued 668,500 shares of common stock for a total of $1,337,000 at a price of $2.00 per share. Attached to share issuances totaling 225,000 shares were 45,000 warrants. Each warrant is immediately exercisable for a period of three years at $2.40 per share. The warrants were valued using the Black-Scholes Option Pricing model using the following assumptions: Three year term, $2.17 stock price, $2.40 exercise price, 244% volatility, 0.61% risk free rate. The Company has allocated $94,111 of the total $450,000 in proceeds to the value of the warrants.
During the nine month period ended September 30, 2013, the Company also issued (a) 9,292 shares of common stock to consultants and directors to settle liabilities for services valued at $18,583 at a price of $2.00 per share, (b) 12,448 shares of common stock to consultants and directors for services valued at $28,000 at fair market value as stated on date of issuance, and (c) 15,000 shares of common stock to consultants for services valued at $30,750 at fair market value as stated on date of issuance. |