Note 2 - Basic and Diluted Loss Per Share

9 Months Ended

Sep. 30, 2018

Notes to Financial Statements

Earnings Per Share [Text Block]

2.

Basic and Diluted Loss per Share

Basic loss per common share is computed using the weighted average number of common shares outstanding during the period. Diluted loss per common share is computed using the weighted average number of common shares and potential dilutive common shares that were outstanding during the period. Potential dilutive common shares consist of outstanding stock options, outstanding stock warrants, and convertible preferred stock.

The following table sets forth the computation of basic and diluted loss per share:

	Three months ended						Nine months ended
	September 30						September 30
	2018			2017			2018			2017
Numerator:
Net loss	$	(542,301	)	$	(319,103	)	$	(1,758,560	)	$	(314,975	)
Denominator:
Denominator for basic loss per share – weighted average shares		1,845,000			1,845,000			1,845,000			1,845,000
Dilutive effect of employee stock options and other warrants		-			-			-			-
Denominator for diluted loss per share – adjusted weighted average shares		1,845,000			1,845,000			1,845,000			1,845,000
Basic loss per share	$	(0.29	)	$	(0.17	)	$	(0.95	)	$	(0.17	)
Diluted loss per share	$	(0.29	)	$	(0.17	)	$	(0.95	)	$	(0.17	)

Options and warrants to purchase

120,242

shares of common stock for the

three

months and

nine

months ended

September 30, 2018,

respectively, were

not

included in the denominator for diluted loss per share because their effect would be antidilutive or because the shares were deemed contingently issuable. Options and warrants to purchase

146,715

shares of common stock for the

three

months and

nine

months ended

September 30, 2017,

respectively, were

not

included in the denominator for diluted loss per share because their effect would be antidilutive or because the shares were deemed contingently issuable.