NOTE 4 - EQUITY

12 Months Ended

Dec. 31, 2020

Equity [Abstract]

NOTE 4 - EQUITY

NOTE 4 - EQUITY

All common stock numbers and exercise prices in this Note are reflected on a post reverse split (5 to 1) basis. As a result of the reverse split on February 9, 2018, the Company had to issue an additional 167 shares due to rounding.

During the year ended December 31, 2020, the Company recorded an option expense of $267,647 representing the amortization of the value of the options issued in 2020 and 2018 that have not yet vested.

During the year ended December 31, 2019, the Company recorded an option expense of $309,783 representing the amortization of the value of the options issued in 2018 that have not yet vested. 

During the year ended December 31, 2020, the Company issued 700,000 options. 300,000 options were issued to Chris Ryan, the Chief Financial Officer of the Company, and 400,000 options were issued to Directors of the Company.  The Company recorded an option expense of $267,647 in 2020. $256,574 of this amount relates to the 2018 grant to Mr. Kidrin, the CEO. $11,073 relates to the grant in 2020 to Mr. Ryan, the CFO. The directors’ options were granted on December 31, 2020 and no expense was recorded for these options. The option expense represents the amortization of the value of the options issued in 2020 and 2018 that have not yet vested. The fair market value for Mr. Ryan’s options was calculated using the Black Scholes method assuming a risk free interest of .36%, 0% dividend yield, volatility of 204%, and an exercise price of $0.266 per share with a market price of $0.266 per share at issuance date and an expected life of 5 years. The options vest one year from the date of grant. 

For the year ended December 31, 2019, the Company recorded an option expense of $309,783, equal to the increase in estimated fair value of the unvested options at December 31, 2019. 

Stock Warrants and Options
Stock warrants/options outstanding and exercisable on December 31, 2020 are as follows:
Exercise Price per Share		Shares Under Option/warrant		Remaining Life in Years
Outstanding
$	0.325		3,400,000		1.08
$	0.15		5,220,000		1.75
$	0.15		580,000		2.00
$	0.05		200,000		2.00
$	0.30		200,000		2.00
$	0.25		5,000,000		2.67
$	0.24		800,000		2.67
$	0.27		300,000		4.88
$	0.30		400,000		5.00
Exercisable
$	0.325		3,400,000		1.08
$	0.15		5,220,000		1.75
$	0.15		580,000		2.00
$	0.05		200,000		2.00
$	0.30		200,000		2.00
$	0.25		5,000,000		2.67
$	0.24		800,000		2.67