Derivative Liabilities (Tables)

3 Months Ended

Sep. 30, 2013

Derivative Liabilities Tables

Schedule of Derivative Liabilities at Fair Value [Table Text Block]

As of September 30, 2013, the derivative liabilities were valued using the weighted-average Black-Scholes-Merton option pricing model using the assumptions detailed below. The Company recorded $93,452 income from changes in derivative liability during the three months ended September 30, 2013. The results of year--end valuation were summarized as follows:

Grant Date	Derivative Liabilities	Dividend Yield	Expected Volatility	Risk Free Rate	Expected Term	Fair Value as of June 30, 2014
8/17/2012	Conversion Feature	0%	191%	0.19%	0.38	7,000
	$0.01 Warrant	0%	191%	0.19%	0.88	2,000
	$0.50 Warrant	0%	191%	0.19%	0.88	0
8/24/2012	Conversion Feature	0%	181%	0.18%	0.40	7,000
	$0.01 Warrant	0%	181%	0.18%	0.90	2,000
	$0.50 Warrant	0%	181%	0.18%	0.90	1,000
9/9/2012	Conversion Feature	0%	170%	0.17%	0.44	10,000
	$0.01 Warrant	0%	170%	0.17%	0.94	6,000
	$0.50 Warrant	0%	170%	0.17%	0.94	2,000
9/13/2012	Conversion Feature	0%	170%	0.16%	0.45	13,000
	$0.01 Warrant	0%	170%	0.16%	0.88	4,000
	$0.50 Warrant	0%	170%	0.16%	0.88	1,000
9/18/2012	Conversion Feature	0%	168%	0.18%	0.46	6,000
	$0.01 Warrant	0%	168%	0.18%	0.97	2,000
	$0.50 Warrant	0%	168%	0.18%	0.97	0
9/18/2012	Conversion Feature	0%	168%	0.18%	0.46	6,000
	$0.01 Warrant	0%	168%	0.18%	0.97	2,000
	$0.50 Warrant	0%	168%	0.18%	0.97	0
9/18/2012	Conversion Feature	0%	168%	0.18%	0.46	6,000
	$0.01 Warrant	0%	168%	0.18%	0.97	2,000
	$0.50 Warrant	0%	168%	0.18%	0.97	0
9/27/2012	Conversion Feature	0%	162%	0.16%	0.49	6,000
	$0.01 Warrant	0%	162%	0.16%	0.99	3,000
	$0.50 Warrant	0%	162%	0.16%	0.99	1,000
10/5/2012	Conversion Feature	0%	162%	0.17%	0.51	2,000
	$0.01 Warrant	0%	162%	0.17%	1.01	1,000
	$0.50 Warrant	0%	162%	0.17%	1.01	0
10/25/2012	Conversion Feature	0%	162%	0.18%	0.57	7,000
	$0.01 Warrant	0%	162%	0.18%	1.07	4,000
	$0.50 Warrant	0%	162%	0.18%	1.07	1,000
7/31/2012	Conversion Feature	0%	192%	0.14%	0.84	11,000
	$0.01 Warrant	0%	192%	0.14%	1.08	5,000
	$0.50 Warrant	0%	192%	0.14%	1.08	2,000
10/31/2012	Conversion Feature	0%	192%	0.17%	0.84	11,000
	$0.01 Warrant	0%	192%	0.17%	0.04	5,000
	$0.50 Warrant	0%	192%	0.17%	0.04	1,000
11/27/2012	Conversion Feature	0%	129%	0.17%	0.65	24,000
	$0.01 Warrant	0%	129%	0.17%	1.16	7,000
	$0.50 Warrant	0%	129%	0.17%	1.16	1,000
12/21/2012	Conversion Feature	0%	114%	0.19%	0.72	22,000
	$0.01 Warrant	0%	114%	0.19%	1.22	18,000
	$0.50 Warrant	0%	114%	0.19%	1.22	6,000
8/23/2016	$0.50 Warrant	0%	114%	0.00%	2.90	16,000
						233,000

As of June 30, 2013, the derivative liabilities were valued using the weighted-average Black-Scholes-Merton option pricing model using the assumptions detailed below. The results of year--end valuation were summarized as follows:

Grant Date	Derivative Liabilities	Dividend Yield	Expected Volatility	Risk Free Rate	Expected Term	Fair Value as of  06/30/13
8/17/2012	Conversion Feature	0%	88%	0.15%	0.88	$12,500
	$0.01 Warrant	0%	232%	0.15%	1.13	2,313
	$0.50 Warrant	0%	232%	0.15%	1.13	1,088
8/24/2012	Conversion Feature	0%	65%	0.15%	0.65	7,000
	$0.01 Warrant	0%	251%	0.15%	1.15	2,313
	$0.50 Warrant	0%	251%	0.15%	1.15	1,125
9/9/2012	Conversion Feature	0%	94%	0.15%	0.94	20,000
	$0.01 Warrant	0%	248%	0.15%	1.19	3,700
	$0.50 Warrant	0%	248%	0.15%	1.19	1,800
9/13/2012	Conversion Feature	0%	71%	0.15%	0.71	16,000
	$0.01 Warrant	0%	232%	0.15%	1.13	4,625
	$0.50 Warrant	0%	232%	0.15%	1.13	2,175
9/18/2012	Conversion Feature	0%	97%	0.15%	0.97	13,000
	$0.01 Warrant	0%	245%	0.15%	1.22	2,313
	$0.50 Warrant	0%	245%	0.15%	1.22	1,125
9/18/2012	Conversion Feature	0%	97%	0.15%	0.97	13,000
	$0.01 Warrant	0%	245%	0.15%	1.22	2,313
	$0.50 Warrant	0%	245%	0.15%	1.22	1,125
9/18/2012	Conversion Feature	0%	97%	0.15%	0.97	13,000
	$0.01 Warrant	0%	245%	0.15%	1.22	2,313
	$0.50 Warrant	0%	245%	0.15%	1.22	1,125
9/27/2012	Conversion Feature	0%	121%	0.15%	1.21	15,000
	$0.01 Warrant	0%	244%	0.15%	1.24	2,313
	$0.50 Warrant	0%	244%	0.15%	1.24	1,125
10/5/2012	Conversion Feature	0%	85%	0.15%	0.85	4,600
	$0.01 Warrant	0%	243%	0.15%	1.27	925
	$0.50 Warrant	0%	243%	0.15%	1.27	465
10/25/2012	Conversion Feature	0%	90%	0.15%	0.90	12,500
	$0.01 Warrant	0%	245%	0.15%	1.32	2,313
	$0.50 Warrant	0%	245%	0.15%	1.32	1,163
10/31/2012	Conversion Feature	0%	84%	0.15%	0.84	11,500
	$0.01 Warrant	0%	244%	0.15%	1.34	2,313
	$0.50 Warrant	0%	244%	0.15%	1.34	1,163
11/27/2012	Conversion Feature	0%	91%	0.15%	0.91	50,000
	$0.01 Warrant	0%	240%	0.15%	1.41	9,250
	$0.50 Warrant	0%	240%	0.15%	1.41	4,650
12/21/2012	Conversion Feature	0%	98%	0.15%	0.98	52,000
	$0.01 Warrant	0%	237%	0.15%	1.48	9,250
	$0.50 Warrant	0%	237%	0.15%	1.48	4,650
1/31/2013	Conversion Feature	0%	108%	0.15%	1.08	14,000
	$0.01 Warrant	0%	224%	0.15%	1.08	2,313
	$0.50 Warrant	0%	224%	0.15%	1.08	1,013
					Total fair value	$ 326,452