Quarterly report pursuant to Section 13 or 15(d)

COMMON STOCK OPTIONS

v3.3.1.900
COMMON STOCK OPTIONS
 3 Months Ended
Dec. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
COMMON STOCK OPTIONS

NOTE 7 - COMMON STOCK OPTIONS

During the three months ended December 31, 2015 the Company recognized $316,819 of expense related to options granted. Unamortized option expense as of December 31, 2015 for all options outstanding amounted to approximately $3,490,373.

Below is a table summarizing the options issued and outstanding as of December 31, 2015:

    Number
Outstanding		   Weighted - Average
Exercise Price
Outstanding at September 30, 2015     2,761,001     $ 7.27  
Granted     120,000       3.28  
Forfeited     (181,250 )     10.12  
Outstanding at December 31, 2015     2,699,751     $ 6.90  
Exercisable at December 31, 2015     1,560,667     $ 5.69  

As of December 31, 2015, the outstanding options have an intrinsic value of approximately $3,187,200.

The fair value of options granted during the three months ended December 31, 2015 are estimated at the date of grant using the Black-Scholes option-pricing model and the following assumptions: stock price at valuation of $3.28; expected term of 2.75 years, exercise price of $3.28, a risk free interest rate of 1.22 percent, a dividend yield of 0 percent and volatility of 108 percent. The average vesting period of options issued during the three month period ended December 31, 2015 is six months with 50% of the options vesting at the date of the grant.