| Note 13. WARRANTS |
We
have the following shares of common stock reserved for exercise of the warrants outstanding as of September 30, 2015:
| |
|
September
30, 2015 |
|
| |
|
|
|
|
Weighted |
|
| |
|
|
|
|
Average |
|
| |
|
|
|
|
Exercise |
|
| |
|
Shares |
|
|
Price |
|
| Warrants outstanding
beginning of year |
|
|
20,709,845 |
|
|
$ |
0.23 |
|
| Warrants exercised |
|
|
- |
|
|
|
0.00 |
|
| Warrants granted |
|
|
17,856,563 |
|
|
|
0.20 |
|
| Warrants expired |
|
|
(6,140,400 |
) |
|
|
(0.33 |
) |
| |
|
|
|
|
|
|
|
|
| Warrants outstanding
end of period |
|
|
32,426,008 |
|
|
$ |
0.18 |
|
The
weighted exercise price and weighted fair value of the warrants granted by us as of September 30, 2015, are as follows:
| |
|
September
30, 2015 |
|
| |
|
Weighted |
|
|
|
|
| |
|
Average |
|
|
Weighted |
|
| |
|
Exercise |
|
|
Average |
|
| |
|
Price |
|
|
Fair
Value |
|
| Weighted
average of warrants granted during the nine months whose exercise price exceeded fair market value at the date of grant |
|
$ |
0.20 |
|
|
$ |
0.20 |
|
| |
|
|
|
|
|
|
|
|
The
following table summarizes information about fixed-price warrants outstanding:
| Number |
|
|
Average |
|
|
|
|
|
|
| Range of |
|
|
Outstanding
at |
|
|
Remaining |
|
Weighted |
|
| Exercise |
|
|
September
30, |
|
|
Contractual |
|
Average |
|
| Prices |
|
|
2015 |
|
|
Life |
|
Exercise
Price |
|
| $ |
0.46 |
|
|
|
150,000 |
|
|
4 Months |
|
$ |
0.46 |
|
| $ |
0.85 |
|
|
|
40,000 |
|
|
7 Months |
|
$ |
0.85 |
|
| $ |
0.40 |
|
|
|
333,333 |
|
|
11 Months |
|
$ |
0.40 |
|
| $ |
0.33 |
|
|
|
439,637 |
|
|
16 Months |
|
$ |
0.33 |
|
| $ |
0.16 |
|
|
|
750,000 |
|
|
18 Months |
|
$ |
0.16 |
|
| $ |
0.21 |
|
|
|
14,946,119 |
|
|
33 Months |
|
$ |
0.21 |
|
| $ |
0.30 |
|
|
|
964,912 |
|
|
34 Months |
|
$ |
0.30 |
|
| $ |
0.30 |
|
|
|
4,824,561 |
|
|
35 Months |
|
$ |
0.30 |
|
| $ |
0.06 |
|
|
|
7,067,002 |
|
|
37 Months |
|
$ |
0.06 |
|
| $ |
0.16 |
|
|
|
1,118,068 |
|
|
41 Months |
|
$ |
0.16 |
|
| $ |
0.13 |
|
|
|
863,392 |
|
|
43 Months |
|
$ |
0.13 |
|
| $ |
0.12 |
|
|
|
928,984 |
|
|
44 Months |
|
$ |
0.12 |
|
| |
|
|
|
|
32,426,008 |
|
|
|
|
|
|
|
For the warrants issued in June 2015, the Company
valued the warrants utilizing the Black Scholes method with the following inputs: stock price $0.11, exercise price of $0.20625,
volatility of 142.53%, years 3, treasury bond rate 2.5% and dividend rate of 0%.
|