Note 3 - Earnings (Loss) Per Share

12 Months Ended

Dec. 31, 2016

Notes to Financial Statements

Earnings Per Share [Text Block]

NOTE

3:

EARNINGS/(LOSS) PER SHARE

Basic

income/(loss) per share was calculated using the weighted average number of shares outstanding of

145,868,227

for the year ended

December

31,

2016

and

96,645,482

for the year ended

December

31,

2015.

Anti-dilutive shares aggregating

43,775,016

 for the year ended

December

31,

2016

and

27,356,310

for the year ended

December

31,

2015

have been omitted from the calculation of dilutive income/(loss) per share for the years ended

December

31,

2016

and

December

31,

2015

respectively as the shares were anti-dilutive. Provided below is the reconciliation between numerators and denominators of the basic and diluted income/(loss) per shares:  The table below provides a reconciliation of anti-dilutive securities outstanding as of

December

31,

2016

and

December

31,

2015.

Anti-dilutive security	December 31, 2016		December 31, 2015
Preferred stock		-0-		3,277,229
Employee stock options		275,000		125,000
Warrants		27,860,000		22,900,000
Convertible notes		15,490,000		-0-
Shares issuable for accrued interest		150,016		1,054,081
Total		43,775,016		27,356,310

The employee stock options are exercisable at prices ranging from

$0.045

to

$0.24

 per share.  The exercise price on the stock warrants range from

$0.25

to

$0.60

per share.  Shares issuable upon conversion of Convertible Debentures have conversion prices ranging from

$0.25

to

$0.50

per share.

The Company

’s convertible debt and convertible preferred stock have an anti-dilutive effect on net income/(loss) per share and were not included in the computation of diluted income/(loss) per share.

	For the year ended
	December 31, 2016						December 31, 2015
	Income/(loss)		Shares		Per-share		Income/(loss)		Shares		Per-share
	numerator		denominator		amount		numerator		denominator		amount
Basic EPS	$	101,880		145,868,227	$	0.00	$	2,404,498		96,645,482	$	0.02
Effect of dilutive securities		-0-		294,200		0.00		43,316		16,900,259		0.00
Diluted EPS	$	101,880		146,162,427	$	0.00	$	2,447,814		113,545,741	$	0.02