Note 3 - Net Income (Loss) Per Share of Common Stock

9 Months Ended

Aug. 31, 2015

Notes to Financial Statements

Earnings Per Share [Text Block]

3) Net Income (Loss) Per Share of Common Stock

Basic net income (loss) per common share has been computed on the basis of the weighted average number of common shares outstanding. Diluted net income (loss) per share has been computed on the basis of the weighted average number of common shares outstanding plus equivalent shares assuming exercise of stock options. Potential shares of common stock that have an anti-dilutive effect (i.e., those that increase income per share or decrease loss per share) are excluded from the calculation of diluted EPS.

Basic and diluted earnings (loss) per common share have been computed based on the following as of August 31, 2015 and August 31, 2014:

	For the three months ended
	August 31, 2015			August 31, 2014
Basic:
Numerator: net income (loss)	$	(795,593	)	$	558,208
Denominator: average number of common shares outstanding		4,061,052			4,048,552
Basic earnings (loss) per common share	$	(0.20	)	$	0.14
Diluted:
Numerator: net income (loss)	$	(795,593	)	$	558,208
Average number of common shares outstanding		4,061,052			4,048,552
Effect of dilutive stock options		0			4,577
Denominator: dilutive average number of common shares outstanding		4,061,052			4,053,129
Diluted earnings (loss) per common share	$	(0.20	)	$	0.14

	For the nine months ended
	August 31, 2015			August 31, 2014
Basic:
Numerator: net income (loss)	$	(395,770	)	$	553,051
Denominator: average number of common shares outstanding		4,057,496			4,047,544
Basic earnings (loss) per common share	$	(0.10	)	$	0.14
Diluted:
Numerator: net income (loss)	$	(395,770	)	$	553,051
Average number of common shares outstanding		4,057,496			4,047,544
Effect of dilutive stock options		0			5,608
Denominator: dilutive average number of common shares outstanding		4,057,496			4,053,152
Diluted earnings (loss) per common share	$	(0.10	)	$	0.14