NET LOSS PER SHARE (RESTATED)

9 Months Ended

Sep. 30, 2016

Earnings Per Share [Abstract]

NET LOSS PER SHARE

NOTE 10: NET LOSS PER SHARE (RESTATED)

The Company accounts for and discloses net loss per common share in accordance with FASB ASC Topic 260, Earnings Per Share. Basic net loss per common share is computed by dividing net loss attributable to common stockholders by the weighted average number of common shares outstanding. Diluted net loss per common share is computed by dividing net loss attributable to common stockholders by the weighted average number of common shares that would have been outstanding during the period assuming the issuance of common shares for all potential dilutive common shares outstanding. Potential common shares consist of shares issuable upon the exercise of stock options and warrants. Because the inclusion of potential common shares would be anti-dilutive for all periods presented except for the three months ended September 30, 2016 when we reported net income per share, diluted net loss per common share is the same as basic net loss per common share for those periods. Diluted net income per share was the same as basic net income per share for the three months ended September 30, 2016 as the impact of potential common shares included in earnings per share was insignificant.

The following table sets forth the number of potential common shares excluded from the calculation of net loss per diluted share for the three months and nine months ended September 30, 2016 and 2015 because the effect of them would be anti-dilutive:

	Three Months Ended   September 30,				Nine Months Ended September 30,
	2016		2015		2016		2015
Options to purchase common stock		-		287,494		414,177		287,494
Warrants to purchase common stock		-		642,962		402,228		642,962
Total		-		930,456		816,405		930,456

Subsequent to issuance of the Company’s quarterly report on Form 10-Q for the three and nine months ended September 30, 2016, filed with the SEC on November 14, 2016, the Company discovered an inadvertent error in the weighted average shares outstanding in the financial statements for the three and nine months ended September 30, 2016.

The Company has calculated and recognized adjustments accordingly. The following table shows the effect of the restatement on the Company’s financial statements for the three and nine months ended September 30, 2016:

	Three Months Ended September 30, 2016				Nine Months Ended September 30, 2016
	As Previously Reported		Restated		As Previously Reported			Restated
Weighted average common shares outstanding used to compute income (loss) per share, basic and diluted		2,799,082		3,024,393		2,240,869			2,665,904
Income (loss) per common share from continuing operations, basic and diluted	$	0.07	$	0.07	$	(1.72	)	$	(1.44	)