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Cephalon Agreement (unaudited)
3 Months Ended
Jul. 31, 2011
Cephalon Agreement [Abstract]  
Cephalon Agreement [Text Block]
Note 9. Cephalon Agreement

On March 16, 2011, the Company entered into an agreement with Cephalon, Inc., (“Cephalon”), pursuant to which the Company will conduct low Tumorgraft studies on proprietary chemical compounds provided by Cephalon to determine the activity or response of a compound in potential clinical indications. In April 2011, Cephalon paid an initiation fee of $1,390,000 to the Company which is reflected within deferred revenue on the Condensed Consolidated Balance Sheets as of July 31, 2011 and April 30, 2011. The Company anticipates that the studies will be completed within 12 months of the execution of the agreement.  As models, along with required reports, are delivered, the deferred revenue will be recognized on a proportionate basis in accordance with the Company’s revenue recognition policies. No revenue was recognized in the quarter ended July 31, 2011, as no models were delivered. The Company expects the models will begin being delivered in the second quarter of our fiscal year ending April 30, 2012. Cephalon will, under certain conditions, also pay the Company various amounts upon achieving certain milestones. Potential milestone payments under the Agreement total $27 million. In addition, under certain conditions, Cephalon will pay the Company royalties on any commercialized products developed under the Agreement.