Quarterly report pursuant to Section 13 or 15(d)

Summary of Significant Accounting Policies (Tables)

v3.19.1
Summary of Significant Accounting Policies (Tables)
 3 Months Ended
Mar. 31, 2019
Accounting Policies [Abstract]  
Schedule of Fair Value Warrants Assumption

The Company calculated the estimated fair value of warrants on the date of issuance and at each subsequent reporting date using the following assumptions:

 

    Three Months Ended
    March 31, 2019
Risk-free interest rate   2.41% - 2.43%
Contractual term (year)   0.62
Expected volatility   40%

Schedule of Warrants Liabilities Measured at Fair Value Using Significant Unobservable Inputs

The table below provides a reconciliation of the beginning and ending balances for the warrant derivative which is measured at fair value using significant unobservable inputs (Level 3):

 

Balance, December 31, 2018   $ 23,507,247  
Series B Warrants exercised during the three months ended March 31, 2019     (5,635,769 )
Change in the fair value of warrant derivative     (2,597,899 )
Balance, March 31, 2019   $ 15,273,579  

Schedule of Earning Per Share

Diluted EPS excludes all dilutive potential shares if their effect is anti-dilutive.

 

    Three Months Ended March 31,  
    2019     2018  
Net loss computation of basic and diluted net loss per common share:                
Net income (loss)   $ 500,213     $ (1,412,686 )
Less: Common stock deemed dividend (inducement cost)     (2,137,190 )     -  
Net loss attributable to common stockholders   $ (1,636,977 )   $ (1,412,686 )
                 
Basic and diluted net loss per share:                
Basic net loss per common share   $ (0.14 )   $ (0.38 )
Basic weighted average common shares outstanding     11,693,381       3,679,500  
                 
Diluted net loss per common share   $ (0.25 )   $ (0.38 )
Diluted weighted average common shares outstanding     16,718,998       3,679,500  

Schedule of Potential Dilutive Securities

Potentially dilutive securities that are not included in the calculation of diluted net loss per share because their effect is anti-dilutive are as follows (in common equivalent shares):

 

    March 31, 2019     March 31, 2018  
    (Unaudited)     (Unaudited)  
Common stock warrants     11,360,264       291,359  
Stock options exercisable to common stock     1,125,000       125,000  
Shares issuable upon conversion of debt     -       642,794  
Shares issuable upon conversion of preferred stock     -       342,875  
Total potentially dilutive securities     12,485,264       1,402,028