Note 5 - Earnings Per Share

9 Months Ended

Sep. 30, 2016

EARNINGS PER SHARE

The following table sets forth the computation of basic and diluted earnings per share (“EPS”):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2016		2015		2016		2015
Numerator:
Net income	$	1,000,350	$	1,111,344	$	4,342,262	$	4,063,647
Numerator for basic and diluted earnings per share		1,000,350		1,111,344		4,342,262		4,063,647
Denominator:
Weighted-average shares outstanding-basic		9,188,483		10,175,650		9,341,364		10,199,841

Effect of dilutive securities:
Stock options		16,933		23,442		17,279		27,036
Restricted stock		966		-		762		-
Dilutive potential common shares		17,899		23,442		18,041		27,036
Denominator for diluted earnings per share- weighted-average shares		9,206,382		10,199,092		9,359,405		10,226,877

Basic earnings per share	$	0.11	$	0.11	$	0.46	$	0.40
Diluted earnings per share	$	0.11	$	0.11	$	0.46	$	0.40

The net effect of assuming the exercise of all potentially dilutive common share equivalents, including stock options to purchase common stock at exercise prices less than the average market prices and restricted stock awards of an aggregate of 121,562 and 130,833 shares of common stock have been included in the computations of diluted EPS for the quarters ended September 30, 2016 and 2015, respectively.