NOTE 6 - EARNINGS PER SHARE

Basic EPS is computed by dividing reported earnings available to stockholders by the weighted average shares outstanding. Diluted EPS also includes the effect of stock options that would be dilutive. The following table provides a reconciliation of the numerators and denominators reflected in the basic and diluted earnings per share computations, as required under FASB ASC 260.


	Three months		Three months		Six months		Six months
	ended		ended		ended		ended
	September 30,		September 30,		September 30,		September 30,
	2019		2018		2019		2018
Basic EPS:
Net (loss) income	$	(291,021)	$	180,715	$	(70,244)	$	345,100
Weighted average shares		29,254,594		28,824,593		29,254,048		28,824,593
Basic (loss) income per share	$	(0.01)	$	0.01	$	(0.00)	$	0.01
Diluted EPS:
Net (loss) income	$	(291,021)	$	180,715	$	(70,244)	$	345,100
Dilutive effect of stock options		—		1,325,892		—		1,229,462
Diluted weighted average shares		29,254,594		30,150,485		29,254,048		30,054,055
Diluted (loss) income per share	$	(0.01)	$	0.01	$	(0.00)	$	0.01

All potential common stock equivalents 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. For the three and six months ended September 30, 2019, there were 2,968,000 of potentially anti-dilutive stock options, none of which were included in the EPS calculations above. For the three and six months ended September 30, 2018, there were 642,668, and 596,668, respectively, of potential common stock equivalents that were out-of-the-money and were not included in the EPS calculations above.