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5. Warrant Liability
9 Months Ended
Feb. 28, 2017
Notes  
5. Warrant Liability

5.  WARRANT LIABILITY

 

During the year ended May 31, 2013, the Company issued 2,715,000 warrants to an investment banker, which had "full-ratchet anti-dilution protection".  In accordance with pronouncements of the Financial Accounting Standards Board, these warrants have been classified as liabilities.  They are periodically revalued by use of a Black Sholes valuation model.  Changes in the value will be recorded on the statement of operations.  During the nine month periods ended February 28, 2017 and February 29, 2016, the value was not reduced.