Stock Purchase Warrants (Tables)

12 Months Ended

Dec. 31, 2015

Warrants and Rights Note Disclosure [Abstract]

The following warrants were outstanding during the year ended December 31, 2015, and include provisions that could require cash settlement of the warrants or have anti-dilution price protection provisions requiring the warrants to be recorded as liabilities of the Company at the estimated fair value at the date of issuance, with changes in estimated fair value recorded as income or expense (non-cash) in the Company’s statement of operations in each subsequent period:



		August 2013 Warrants
Exercise price		$4.80
Expiration date		August 16, 2018
Total shares issuable on exercise		724,950

Schedule of assumptions used in calculating estimated fair value of warrants

The assumptions used by the Company are summarized in the following table:



August 2013 Warrants	December 31, 2015			December 31, 2014
Closing stock price	$	2.58		$	3.04
Expected dividend yield	—		%	—		%
Expected stock price volatility	91.4		%	83.2		%
Risk-free interest rate	1.31		%	1.20		%
Expected life (years)	2.63			3.63

- Definition

Tabular disclosure of warrants or rights issued. Warrants and rights outstanding are derivative securities that give the holder the right to purchase securities (usually equity) from the issuer at a specific price within a certain time frame. Warrants are often included in a new debt issue to entice investors by a higher return potential. The main difference between warrants and call options is that warrants are issued and guaranteed by the company, whereas options are exchange instruments and are not issued by the company. Also, the lifetime of a warrant is often measured in years, while the lifetime of a typical option is measured in months. Disclose the title of issue of securities called for by warrants and rights outstanding, the aggregate amount of securities called for by warrants and rights outstanding, the date from which the warrants or rights are exercisable, and the price at which the warrant or right is exercisable.

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