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Stockholders' Equity
9 Months Ended
Jun. 30, 2017
Stockholders' Equity Note [Abstract]  
Stockholders' Equity

Note 7. Stockholders’ Equity 

 

Preferred Stock issued for cash 

 

During the nine months ended June 30, 2017, the Company issued 30,000 shares of Series B Preferred Stock to a third party and received cash proceeds of $30,000. 

 

Common stock issued for services 

 

During nine months ended June 30, 2017, the Company issued 1,800,000 shares of common stock to two third-parties for services provided to the Company. The common stock was valued at $107,850 based on the market value of the stock on the date of issuance.

 

Stock options issued for services 

 

During the nine months ended June 30, 2017, the Company granted options to purchase 500,000 shares of common stock to two consultants to the Company. The options vested immediately, have a term of ten years and have an exercise price of $0.10 per share. The options were valued, using the Black-Scholes option pricing model, at $199,870 as of the grant date. The assumptions used in the Black-Scholes model were a market price of $0.40, expected volatility of 201%, annual dividend rate of 0.0% and a risk-free interest rate of 1.79%. 

 

Common stock issued for conversion of convertible note payable 

 

During nine months ended June 30, 2017, the Company issued 5,763,400 shares of common stock upon the conversion of accrued interest of $86,118. No gain or loss was recognized on the transaction because it was transacted within the terms of the convertible note payable. 

 

Beneficial conversion discount 

 

During the nine months ended June 30, 2017, we recorded a beneficial conversion discount of $27,000 as a result of discounts on convertible notes payable issued during the period.