NOTE 5:- SHORT TERM LOANS

On December 11, 2018, the Company received a loan from a Lender in the amount of $1,000 (The "Principal Amount") (out of which $50 was directly transferred as finder fee).

The loan is to be repaid in full at the end of 180 days (The "Maturity date"), the Principal Amount shall bear interest at the rate of 17.5% calculated per the commencing of the date of the actual provision of the Principal Amount and ending on the Maturity Date, on a linear daily basis, up to a maximum amount of approximately $175. The interest shall be accrued but not compounded.

The Company also granted the Lender warrants to purchase 333,333 and 100,000 Ordinary shares of the Company at an exercise price of $ 1.5 and $ 2 per share, respectively. The warrants were classified as shareholders' equity.

The Company estimated the fair value of warrants using the Black-Scholes option pricing model using the following weighted average assumptions:

	2018

Dividend yield		0%
Risk-free interest rate		2.78%
Expected term (in years)		2
Volatility		126.23%

The Company also granted the broker 33,333 ordinary shares of the Company which as of March 31, 2019, weren’t issued. The shares were issued on April 12, 2019.

The Company accounted for the loan in accordance with ASC 470, Debt. The Company allocated the consideration of the loan, the related warrants and the ordinary shares based on their relative fair value at the date of issuance, which is also the commitment date.

During the three months period ended March 31, 2019 the Company recorded interest and financial expenses related to the loan in the amount of $369.