4. STOCK-BASED COMPENSATION (Sept. 2017 Note)

3 Months Ended

Sep. 30, 2017

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

STOCK-BASED COMPENSATION

Stock-based compensation costs recognized during the three months ended September 30, 2017 and 2016 amounted to $26,057 and $60,901 respectively, and the costs were included in the accompanying consolidated statements of operations in: selling, general and administrative expenses (2017 - $10,696; 2016 - $42,915), research and development expenses (2017 - $6,692, 2016 - $9,317) and cost of goods sold (2017 - $8,669; 2016 - $8,669). No compensation has been capitalized because such amounts would have been immaterial.

The following tables summarize stock option activity for the three months ended September 30, 2017:

	Options Outstanding
	Number of Shares		Weighted Average Exercise Price	Weighted Average Contractual Life
Outstanding at June 30, 2017	1,078,400	$	0.78	7.01 years
Granted	–
Expired or Cancelled	–
Outstanding at September 30, 2017	1,078,400	$	0.78	6.76 years

Information related to the stock options outstanding as of September 30, 2017 is as follows:

Range of Exercise Prices		Number of Shares		Weighted- Average Remaining Contractual Life (years)		Weighted- Average Exercise Price		Exercisable Number of Shares		Exercisable Weighted- Average Exercise Price
$	0.27		40,000		3.79	$	0.27		40,000	$	0.27
$	0.40		15,000		9.58	$	0.40		5,000	$	0.40
$	0.48		60,000		8.50	$	0.48		40,000	$	0.48
$	0.50		80,000		8.73	$	0.50		45,000	$	0.50
$	0.50		20,000		3.72	$	0.50		20,000	$	0.50
$	0.55		29,500		4.36	$	0.55		29,500	$	0.55
$	0.73		539,500		7.63	$	0.73		479,500	$	0.73
$	0.85		9,000		5.26	$	0.85		9,000	$	0.85
$	0.90		9,000		6.26	$	0.90		9,000	$	0.90
$	0.95		65,000		6.78	$	0.95		65,000	$	0.95
$	1.20		207,800		4.42	$	1.20		207,800	$	1.20
$	1.25		1,200		1.15	$	1.25		1,200	$	1.25
$	1.35		1,200		2.15	$	1.35		1,200	$	1.35
$	7.75		1,200		0.16	$	7.75		1,200	$	7.75
$	0.27–$7.75		1,078,400		6.76	$	0.78		953,400	$	0.81

The aggregate intrinsic value of the Company’s “in-the-money” outstanding and exercisable options as of September 30, 2017 was $7,950 and $7,450, respectively.