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STATEMENT OF OPERATIONS (USD $)
3 Months Ended 6 Months Ended
Jun. 30, 2012
Jun. 30, 2011
Jun. 30, 2012
Jun. 30, 2011
Revenues        
Product royalty income $ 890,625 $ 631,250 $ 1,781,250 $ 781,250
Other revenue 0 10,042 0 10,042
Total revenue 890,625 641,292 1,781,250 791,292
Cost of revenues and amortization of intellectual property 171,586 161,932 343,173 297,101
Gross profit 719,039 479,360 1,438,077 494,191
Operating Expenses        
Salaries, wages, and payroll taxes 689,680 739,318 1,626,848 1,566,364
Qualified profit sharing plan 17,519 14,895 38,548 28,914
Advertising and promotion 166,485 131,513 366,339 169,562
Product development costs 273,276 200,845 642,496 448,297
Professional fees 348,476 451,586 939,328 802,895
Insurance 86,118 72,445 212,374 171,948
General and administrative 206,969 150,720 398,085 286,888
Travel and entertainment 77,209 164,725 231,053 239,480
Write downs of abandoned equipment, leasehold improvements and technology 0 0 244,561 144,114
Depreciation 73,414 69,643 146,503 119,322
Total operating expenses 1,939,146 1,995,690 4,846,135 3,977,784
Loss from operations (1,220,107) (1,516,330) (3,408,058) (3,483,593)
Other Income/(Expenses)        
Interest expense - including amortization of financing costs (1,173,097) (1,173,106) (2,346,195) (2,346,204)
Interest income 317 4,931 2,526 10,432
Change in fair value of derivative liabilities 564,171 (214,723) 388,178 186,574
Total other income /(expenses) (608,609) (1,382,898) (1,955,491) (2,149,198)
Provision for income taxes 0 0 0 0
Net (loss) $ (1,828,716) $ (2,899,228) $ (5,363,549) $ (5,632,791)
Net (loss) per common share        
Basic net (loss) per share (usd per share) $ (0.14) $ (0.22) $ (0.41) $ (0.43)
Diluted net (loss) per share (usd per share) $ (0.14) $ (0.22) $ (0.41) $ (0.43)
Shares used in computing earnings per share        
Weighted average number of sharesoutstanding - basic (in shares) 12,946,725 12,984,050 12,978,842 13,043,620
Weighted average number of shares outstanding - diluted (in shares) 12,946,725 12,984,050 12,978,842 13,043,620