4. Stock-based Compensation

9 Months Ended

Dec. 31, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock-based Compensation

The Company recognized stock-based compensation expense of $45,775 and $37,080 in general and administrative expense in the Consolidated Statements of Operations for the three months ended December 31, 2014 and 2013, respectively. Stock-based compensation expense recognized for the nine months ended December 31, 2014 and 2013 was $109,928 and $119,318, respectively. The total cost related to non-vested awards not yet recognized at December 31, 2014 totals $239,064 which is expected to be recognized over a weighted average of 2.84 years.

Included in the following table is a summary of the grant-date fair value of stock options granted and the related assumptions used in the Binomial models for stock options granted during the nine months ended December 31, 2014 and 2013. All such amounts represent the weighted average amounts.

	Nine Months Ended
	December 31
	2014	2013
Grant-date fair value	$ 5.59	$4.75
Volatility factor	76.23%	77.01%
Dividend yield	-	-
Risk-free interest rate	2.52%	1.74%
Expected term (in years)	10	7

The following table is a summary of activity of stock options for the nine months ended December 31, 2014:

		Number of Shares	Weighted Average Exercise Price	Weighted Average Remaining Contract Life in Years	Aggregate Intrinsic Value
Outstanding at March 31, 2014		113,600	$         6.35	7.66	$  154,062
	Granted	40,000	7.00
	Exercised	-	-
	Forfeited or Expired	-	-
Outstanding at December 31, 2014		153,600	$         6.52	7.61	$              -
Vested at December 31, 2014		77,350	$         6.42	6.44	$              -
Exercisable at December 31, 2014		77,350	$         6.42	6.44	$              -

During the nine months ended December 31, 2014, stock options covering 40,000 shares were granted. During the nine months ended December 31, 2013, stock options covering 35,000 shares were granted.

During the nine months ended December 31, 2014 and 2013, no stock options were exercised. Outstanding options at December 31, 2014 expire between August 2020 and August 2024 and have exercise prices ranging from $5.98 to $7.00.