EARNINGS (LOSS) PER SHARE

12 Months Ended

Dec. 31, 2011

Notes to Financial Statements

Note 12. EARNINGS (LOSS) PER SHARE

 We present both basic and diluted EPS on the face of our consolidated statements of operations. Basic and diluted EPS are calculated as follows:

	2011		2010
Net income (loss)	$	182,990	$	(190,080	)
Weighted average common shares outstanding:
Basic		13,272,049		13,962,567
Effect of dilutive options		205,960		-
Diluted		13,478,009		13,962,567
Net income (loss) per common share:
Basic	$	0.01	$	(0.01	)
Diluted	$	0.01	$	(0.01	)

Certain stock options whose terms and conditions are described in Note 13, “Stock Options” could potentially dilute basic EPS in the future, but were not included in the computation of diluted EPS because to do so would have been anti-dilutive. Those anti-dilutive options are as follows.

	2011		2010
Anti-dilutive options		180,700		1,836,700

There were no preferred shares issued and outstanding during the years ended December 31, 2011 or 2010.