Acquisition of Hema Diagnostics Systems, LLC (Tables)

9 Months Ended

Apr. 30, 2018

Business Combinations [Abstract]

Net purchase price of HDS

The net purchase price of HDS was determined to be as follows:

	Stock Price at Closing		Shares		Fair Value
Purchase price:
Common Stock at closing	$	4.77		53,191	$	253,721
Common Stock after closing	$	4.77		20		95
Common Stock post reverse stock split	$	4.77		230,000		1,097,100
Total purchase price					$	1,350,916

Fair Value Assumptions Used in Accounting for Warrants

The key inputs used in the fair value calculations were as follows:

	April 30, 2018			July 31, 2017
Exercise price	$	2.50			2.50
Time to expiration		3.72 years			4.47 years
Risk-free interest rate		2.62	%		1.84	%
Estimated volatility		182.67	%		122.7	%
Dividend		—			—
Stock price at valuation date	$	2.95			5.05

Fair Value Assumptions Used in Accounting for Call Options

The following assumptions were used in estimating the value of the Call Option:

	April 30, 2018			July 31, 2017
Risk-free interest rate		2.10	%		1.34	%
Estimated volatility		133.4	%		143.9	%
Remaining Term		1.71			2.47
Stock price at valuation date	$	2.95			5.05

Carrying amount of goodwill and other intangible assets

The change in the carrying amount of goodwill and other intangible assets for the period ended April 30, 2018, is as follows:

	Other Intangibles, net		Goodwill		Total
Balance as of July 31, 2017	$	2,911,377	$	—	$	2,911,377
Current period amortization		—		—		—
Additions from pharmacy acquisition		276,380				276,380
Balance as of April 30, 2018	$	3,187,757	$	—	$	3,187,757