OPTIONS AND WARRANTS TO PURCHASE COMMON STOCK (Tables)

3 Months Ended

Mar. 31, 2014

OPTIONS AND WARRANTS TO PURCHASE COMMON STOCK [Abstract]

Summary of the Status of the Warrants Outstanding

A summary of the status of the warrants outstanding and exercisable at March 31, 2014 is presented below:

		Warrants Outstanding and Exercisable
Exercise Price		Number Outstanding		Weighted Average Remaining Contractual Life	Weighted Average Exercise Price
$	0.75		139,340	1.50 years	$	0.75
$	0.78		213,402	1.84 years	$	0.78
$	0.80		124,481	1.75 years	$	0.80
$	1.00		212,000	1.41 years	$	1.00
$	1.15		461,340	7.08 years	$	1.15
$	1.93		5,000,000	2.73 years	$	1.93
$	2.00		54,367	2.34 years	$	2.00
			6,204,930	2.93 years	$	1.75

Significant Assumptions Relating to the Valuation of Stock Options

The significant assumptions relating to the valuation of the Company's options issued for the three months ended March 31, 2014 and 2013 were as follows:

	2014	2013
Dividend Yield	0%	0%
Expected Life	5.2 years	5 - 10 years
Expected Volatility	58%	83%
Risk Free Interest Rate	1.60%	0.88%-1.66%

Summary of the Status and Changes of the Options Granted Under the Stock Option Plans and Other Agreements

A summary of the status and changes of the options granted under stock option plans and other agreements for the first quarter of 2014 is as follows:

	March 31, 2014
			Weighted
			Average
	Shares		Exercise Price
Outstanding at beginning of period		15,878,116	$	1.03
Issued		200,000		0.83
Exercised		--		--
Forfeited		--		--
Outstanding at end of period		16,078,116	$	1.03

Summary of the Status of the Options Outstanding

A summary of the status of the options outstanding at March 31, 2014 is presented below:

Options Outstanding					Options Exercisable
		Weighted	Weighted				Weighted
		Average	Average				Average
Number		Remaining	Exercise		Number		Exercise
Outstanding		Contractual Life	Price		Exercisable		Price
	7,358,277	4.69 years	$	0.70		7,358,277	$	0.70
	3,405,134	7.44 years	$	0.83		3,255,134	$	0.83
	60,000	2.25 years	$	1.00		60,000	$	1.00
	300,000	9.39 years	$	1.10		--		--
	300,000	9.24 years	$	1.15		58,333	$	1.15
	100,000	3.84 years	$	1.24		100,000	$	1.24
	115,000	6.99 years	$	1.35		106,667	$	1.35
	125,000	3.84 years	$	1.45		125,000	$	1.45
	330,000	7.70 years	$	1.55		221,667	$	1.55
	7,645	3.84 years	$	1.58		7,645	$	1.58
	3,077,060	8.65 years	$	1.66		3,077,060	$	1.66
	900,000	7.39 years	$	1.90		775,000	$	1.90
	16,078,116	6.41 years	$	1.03		15,144,783	$	1.01