Quarterly report pursuant to Section 13 or 15(d)

COMMON STOCK OPTIONS

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COMMON STOCK OPTIONS
 9 Months Ended
Jun. 30, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
COMMON STOCK OPTIONS

NOTE 8 - COMMON STOCK OPTIONS

 

During the three and nine months ended June 30, 2016, the Company recognized $610,822 and $2,335,197 of expense related to options granted, respectively. Unamortized option expense as of June 30, 2016 for all options outstanding amounted to approximately $3,311,810.

 

Below is a table summarizing the options issued and outstanding as of June 30, 2016:

 

    Number
Outstanding		     Weighted -
Average
Exercise Price		  
Outstanding at September 30, 2015     2,761,001     $ 7.27  
Granted     669,275       4.11  
Forfeited/Expired     (559,208 )     6.60  
Outstanding at June 30, 2016     2,871,068     $ 6.66  
Exercisable at June 30, 2016     1,739,962     $ 6.39  

 

As of June 30, 2016, the outstanding options have an intrinsic value of $343,334.

 

The fair value of options granted during the nine months ended June 30, 2016 are estimated at the date of grant using the Black-Scholes option-pricing model and the following assumptions: stock price at valuation ranging from of $3.23 to $5.14, expected term ranging from of 2.75 to 3.25 years, exercise price ranging from $3.23 to $5.14, a risk free interest rate ranging from 1.04 to 1.31 percent, a dividend yield of 0 percent and volatility ranging from 103 to 108 percent. The average vesting period of options issued during the nine month period ended June 30, 2016 is 10.9 months with 36.3 percent of the options vesting at the date of the grant.