1. Description of Business and Significant Accounting Policies: Net Income Per Share Information (Policies)

12 Months Ended

Oct. 31, 2016

Policies

Net Income Per Share Information

Net Income per Share Information

Basic net income per share is computed based on the weighted average number of shares outstanding. Diluted earnings per share is computed similarly to basic earnings per share, except that it reflects the effect of common shares issuable upon exercise of stock options, using the treasury stock method in periods in which they have a dilutive effect. Shares used to calculate net income per share for fiscal years 2016 and 2015 are as follows:   

	2016	2015
Basic weighted average shares outstanding	7,679,696	7,648,612
Effect of dilutive stock options	50,870	126,862
Diluted weighted average shares outstanding	7,730,566	7,775,474
Weighted average shares which are not included in the calculation of diluted net income per share because their impact is anti-dilutive
Stock options	1,182,000	900,000

Weighted average options to purchase 1,182,000 and 900,000 shares of common stock at prices ranging from $1.40 to $5.00 per share that were outstanding during fiscal years 2016 and 2015 were excluded from each respective year’s computation of diluted earnings per share. In each of these years, such options’ exercise prices exceeded the average market price of our common stock, thereby causing the effect of such options to be anti-dilutive.