Derivative Liabilities (Tables)

3 Months Ended

Oct. 31, 2016

Notes to Financial Statements

Derivative warrant liability

		Value		No. of Warrants
Balance at August 1, 2016 – Derivative warrant liability	$	2,048,846		383,877,521
Forfeited or expired		(172,422	)	(54,545,440	)
Decrease in fair value of derivative warrant liability		(414,065	)	n/a
Balance at October 31, 2016 – Derivative warrant liability	$	1,462,359		329,332,081

Fair value assumptions, derivative warrant liability

		October 31, 2016			July 31, 2016
Current exercise price	$	0.02		$	0.02
Time to expiration		2.1 years			2.1 years
Risk-free interest rate		1	%		0.76	%
Estimated volatility		100	%		101	%
Dividend		—			—
Stock price at period end date	$	0.01		$	0.01

Fair value assumptions, derivative additional investment rights liability

		July 31, 2016
Underlying number of units of convertible preferred stock		500
Underlying number of units of warrants		33,333,333
Current exercise price of warrants	$	0.015
Current conversion price of preferred stock	$	0.015
Time to expiration		0.05 years
Risk-free interest rate		0.38	%
Estimated volatility		13	%
Dividend		-0-
Stock price at period end date	$	0.008