The Company has issued warrants and stock options, certain of which contain anti-dilution provisions that have been identified as derivatives. In addition, the Company has identified the conversion feature of convertible notes payable as derivatives. As of October 31, 2020, the number of warrants or common shares to be issued under these agreements is indeterminate; therefore, the Company concluded that the equity environment is tainted and all additional warrants, stock options and convertible debt are included in the value of the derivatives. We estimate the fair value of the derivatives using multinomial lattice models that value the derivative liabilities based on a probability weighted cash flow model using projections of the various potential outcomes. These estimates are based on multiple inputs, including the market price of our stock, interest rates, our stock price volatility and management’s estimates of various potential equity financing transactions. These inputs are subject to significant changes from period to period and to management's judgment; therefore, the estimated fair value of the derivative liabilities will fluctuate from period to period, and the fluctuation may be material.

During the six months ended October 31, 2020, we had the following activity in our derivative liabilities:

	Options and			Convertible
	Warrants			Notes			Total

Balance, April 30, 2020	$	15		$	2,607,418		$	2,607,433
New issuances of options, warrants and debt		-			7,101			7,101
Decrease due to conversions		-			(18,612	)		(18,612	)
Change in fair value of derivative liabilities		(15	)		(1,289,678	)		(1,289,693	)

Balance, October 31, 2020	$	-		$	1,306,229		$	1,306,229

Key inputs and assumptions used in valuing the Company’s derivative liabilities as of October 31, 2020 are as follows:

	·	Stock prices on all measurement dates were based on the fair market value
	·	Risk-free interest rate of 0.07% - 2.35%
	·	The probability of future financing was estimated at 100%
	·	Computed volatility ranging from 215.8% to 2,110.7%

These inputs are subject to significant changes from period to period and to management's judgment; therefore, the estimated fair value of the derivative liabilities will fluctuate from period to period, and the fluctuation may be material.