1. UNAUDITED INTERIM FINANCIAL STATEMENTS: Income (Loss) Per Share (Policies)

6 Months Ended

Jun. 30, 2019

Policies

Income (Loss) Per Share

Income (Loss) Per Share

Income (loss) per share – basic is calculated by dividing net income (loss) by the weighted average number of shares of stock outstanding during the year, including shares issuable without additional consideration. Income per share – assuming dilution is calculated by dividing net income by the weighted average number of shares outstanding during the year adjusted for the effect of dilutive potential shares calculated using the treasury stock method.

Schedule of Income (Loss) Per Share
	Three Months Ended		Six Months Ended
	June 30, 2019	June 30, 2018	June 30, 2019	June 30, 2018
Net income (loss):
Income (loss) from continuing operations	$17,200	$27,654	$136,205	$(67,864)
Income (loss) from discontinued operations – See Note 10	44	(21,669)	(435)	180,287
Net income (loss)	17,244	5,985	135,770	112,423
Preferred stock dividends	(3,362)	(3,363)	(6,724)	(10,087)
Net income (loss) available to common shareholders	$13,882	$2,622	$129,046	$102,336
Basic income (loss) per share:
Weighted average common shares outstanding used in income (loss) per share	14,271,793	11,871,009	14,007,867	11,871,009
Basic income (loss) per share:
Continuing operations	0.00	0.00	0.01	(0.01)
Discontinued operations – See Note 10	0.00	(0.00)	(0.00)	0.02
Basic income (loss) per share	0.00	0.00	0.01	0.01
Diluted income (loss) per share:
Shares used in diluted income (loss) per share	16,876,730	14,753,128	16,594,615	11,871,009
Diluted income (loss) per share:
Continuing operations	0.00	0.00	0.01	(0.01)
Discontinued operations – See Note 10	0.00	(0.00)	(0.00)	0.02
Diluted income (loss) per share	0.00	0.00	0.01	0.01
Computation of shares used in income (loss) per share:
Weighted average shares and share equivalents outstanding – basic	14,271,793	11,871,009	14,007,867	11,871,009
Effect of preferred stock	987,102	987,102	987,102	-
Effect of dilutive stock options	1,351,658	1,670,017	1,335,155	-
Effect of dilutive warrants	266,177	225,000	264,491	-
Weighted average shares and share equivalents outstanding – diluted	16,876,730	14,753,128	16,594,615	11,871,009

Schedule of Anti-dilutive Securities Excluded
	Three Months Ended		Six Months Ended
	June 30, 2019	June 30, 2018	June 30, 2019	June 30, 2018
Preferred stock	-	-	-	987,102
Stock options	-	2,043,000	-	4,117,834
Warrants	3,000	-	3,000	250,000
Convertible promissory notes	-	30,605	27,888	30,605
Total anti-dilutive securities excluded	3,000	2,073,605	30,888	5,385,541

Anti-dilutive securities consist of stock options and convertible promissory notes whose exercise price or conversion price, respectively, was greater than the average market price of the common stock.