Common Stock Options (Tables)

9 Months Ended

Sep. 30, 2013

Notes to Financial Statements

Stock Option Activity

The following table summarizes stock option activity for the nine months ended September 30, 2013.

	Options Outstanding			Weighted Average Exercise Price		Weighted Average Remaining Contractual Life (Years)		Aggregate Intrinsic Value
Balance June 30, 2013		350,000		$	0.72			$	-
Options granted		40,000		$	0.65
Options forfeited		(350,000	)	$	0.72
Options exercised		-			-
Balance September 30, 2013		40,000		$	0.65		10	$	-
Exercisable at September 30, 2013		20,000		$	0.65

The assumptions for volatility, expected life, dividend yield and risk-free interest rate

The expected life represents the average period of time that options granted are expected to be outstanding. The assumptions for volatility, expected life, dividend yield and risk-free interest rate are presented in the table below:

Weighted average risk-free interest rate		0.10	%
Expected life in years	5.25
Weighted average expected volatility		79.0	%
Expected dividend yield		0