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Fair Value Measurements (Tables)
 6 Months Ended
Jun. 30, 2016
Fair Value Measurements  
Summary of changes in the fair value of Level 3 liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three months ended June 30, 2015

    

Beginning of period

    

Issuances

    

Change in fair value (3)

    

End of period

 

Warrant liability (1)

 

$
135,365

 

$

 —

 

 
(16,572)

 

$
118,793

 

Embedded derivative liabilities (2)

 

 
599,400

 

 
836,100

 

 
(149,900)

 

 
1,285,600

 

Total

 

$
734,765

 

$
836,100

 

$
(166,472)

 

$
1,404,393

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Six months ended June 30, 2015

    

Beginning of period

    

Issuances

    

Change in fair value (3)

    

End of period

 

Warrant liability (1)

 

$
136,235

 

$

 —

 

 
(17,442)

 

$
118,793

 

Embedded derivative liabilities (2)

 

 
496,400

 

 
860,000

 

 
(70,800)

 

 
1,285,600

 

Total

 

$
632,635

 

$
860,000

 

$
(88,242)

 

$
1,404,393

 

 

 

(1)

Prior to the close of the Company’s IPO on November 24, 2015, the Company considered its convertible note related warrant liability as a Level 3 financial instrument. The Company determined the fair value of the liability immediately prior to the Company’s IPO and then reclassified the balance to additional paid-in capital upon the closing of the IPO.

(2)

Prior to the amendment of the Company’s outstanding convertible notes in September 2015, the Company considered its convertible note related embedded derivative liabilities as Level 3 financial instruments. The amendment was deemed to be a substantive change and resulted in extinguishment accounting, which included the extinguishment of the embedded derivative liabilities.

(3)

The change in the fair values of the warrant and embedded derivative liabilities are recorded in the statements of operations.