10. FAIR VALUE MEASUREMENTS

6 Months Ended

Dec. 31, 2015

Fair Value Measurements

10. FAIR VALUE MEASUREMENTS

For asset and liabilities measured at fair value, the Company uses the following hierarchy of inputs:

● Level one — Quoted market prices in active markets for identical assets or liabilities;

● Level two — Inputs other than level one inputs that are either directly or indirectly observable; and

● Level three — Unobservable inputs developed using estimates and assumptions, which are developed by the reporting entity and reflect those assumptions that a market participant would use.

Liabilities measured at fair value on a recurring basis at December 31, 2015, are summarized as follows:

	Level 1		Level 2		Level 3		Total
Fair value of derivatives	$	-	$	-	$	-	$	-
Securities available-for-sale	$	30,000	$	-	$	-	$	30,000

Liabilities measured at fair value on a recurring basis at June 30, 2015, are summarized as follows:

	Level 1		Level 2		Level 3		Total
Fair value of derivatives	$	-	$	12,814,941	$	-	$	12,814,941
Securities available-for-sale	$	-	$	-	$	-	$	-