SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

9 Months Ended

Sep. 30, 2012

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]

Assets and Liabilities Measured At Fair Value

Assets and liabilities measured at fair value on a recurring basis are summarized as follows:

	Fair Value Measurements Using Inputs
	Level 1			Level 2			Level 3
Financial Instruments:
Stock awards payable		$	-		$	130,000		$	-
Derivative instruments – warrants (See Note 10)			-			1,135,000			-
TOTAL		$	-		$	1,265,000		$	-

Assumptions Used In the Estimation of Fair Value of Warrants Using Lattice Option Pricing Model

The Company estimates the fair value of the warrants using a lattice option pricing model with the following inputs and assumptions:

	Fair Value Measurements Using Inputs
	September 30, 2012			December 31, 2011
Market price and estimates fair value of stock	$	1.30		$	1.27
Exercise Price	$	2.00		$	2.00
Term (years)		4.25			5.00
Dividend yield		-			-
Expected volatility		89.5	%		89.5	%
Risk-free interest rate		0.62	%		0.83	%