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Stock-based Payments | 12 Months Ended
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Apr. 30, 2020
Share-based Payment Arrangement [Abstract] |
Stock-based Payments | Stock-based Payments Stock-based compensation in the amount of $600,000 and $649,000 was recognized for years ended April 30, 2020 and 2019, respectively. Included in stock-based compensation expense for the twelve months ended April 30, 2020 and April 30, 2019 under "general and administrative" line item is nil and $6,000, respectively related to the issuance of common stock as compensation for services performed. Stock-based compensation costs were recorded as follows (in thousands):
| Year Ended April 30,
| 2020 |  | 2019
General and administrative | $ | 328 |  |  | $ | 458 |
Sales and marketing | 237 |  |  | 91 |
Research and development | 13 |  |  | 14 |
TOS cost of sales | 21 |  |  | 86 |
POS cost of sales | 1 |  |  | — |
Total stock-based compensation expense | $ | 600 |  |  | $ | 649 |
2010 Equity Incentive Plan On February 18, 2011, shareholders owning a majority of the issued and outstanding shares of the Company executed a written consent approving the 2010 Equity Incentive Plan (“2010 Equity Plan”). The purpose of the 2010 Equity Plan is to grant (i) Non-statutory Stock Options; (ii) Restricted Stock Awards; and (iii) Stock Appreciation Rights (collectively, stock-based compensation) to its employees, directors and non-employees. Total stock awards under the 2010 Equity Plan shall not exceed 30,000,000 shares of common stock. Options and Stock Appreciation Rights expire no later than ten years from the date of grant and the awards vest as determined by the Board of Directors. Options and Stock Appreciation Rights have a strike price not less than 100% of the fair market value of the common stock subject to the option or right at the date of grant. 2008 Equity Incentive Plan The Company has previously granted (i) Non-statutory Stock Options; (ii) Restricted Stock Awards; and (iii) Stock Appreciation Rights (collectively, stock-based compensation) to its employees, directors and non-employees under a 2008 Equity Incentive Plan (the “2008 Equity Plan”). Such awards may be granted by the Company’s Board of Directors. Options granted under the 2008 Equity Plan expire no later than ten years from the date of grant and the awards vest as determined by the Board of Directors. For stock-based payments to non-employee consultants under both the 2010 and 2008 Equity Plan, the fair value of the stock-based consideration issued is used to measure the transaction, as management believes this to be a more reliable measure of fair value than the services received. The fair value of the award is expensed over the period service is provided to the Company; however, it is ultimately measured at the price of the Company’s common stock or the fair value of stock options using the Black-Scholes valuation model on the date that the commitment for performance by the non-employee consultant has been reached or performance is complete, which is generally the vesting date of the award. Director Compensation Plan On December 12, 2013, the Compensation Committee of the Board of Directors of the Company adopted changes to the Director Compensation Plan of 2010 (the “Director Plan”) effective December 1, 2013. Under the Director Plan, independent directors of the Company are entitled to an annual award of a five-year option to purchase 8,333 shares of the Company’s common stock, and the Chairman of the Board of the Company is entitled to an annual award of a five years option to purchase 16,667 shares of the Company’s common stock. Independent directors who serve as chairperson of a committee will also receive an annual grant of a five-year option to purchase 1,667 shares of the Company’s common stock. All options issued under the Director Plan vest quarterly at a rate of 25%. Option grants will typically be issued after the annual shareholder meeting which will generally be held in October of each year. New directors will receive a grant upon joining the Board equal to the pro-rata annual grant for the remainder of the year. Options issued under the Director Plan are issued pursuant to the 2010 Equity Plan. Stock Option Grants Black-Scholes assumptions used to calculate the fair value of options granted during the years ended April 30, 2020 and 2019 were as follows:
| Year Ended April 30,
| 2020 |  | 2019
Expected term in years | 3 - 6 |  | 3 - 6
Risk-free interest rates | 1.3% - 1.8% |  | 2.6% - 3.0%
Volatility | 69% - 71% |  | 65% - 85%
Dividend yield | —% |  | —%
The weighted average fair value of stock options granted during the years ending April 30, 2020 and 2019, was $5.33 and $6.03, respectively. The Company’s stock options activity and related information as of and for the years ended April 30, 2020 and 2019 is as follows:
| Non- Employees |  | Directors and Employees |  | Total |  | Weighted Average Exercise Price |  | Weighted Average Remaining Contractual Life (Years) |  | Aggregate Intrinsic Value
Outstanding, May 1, 2019 | 50,000 |  |  | 2,373,626 |  |  | 2,423,626 |  |  | $ | 3.19 |  |  | 5.3 |  | $ | 14,557,000 |
Granted | — |  |  | 229,833 |  |  | 229,833 |  |  | 5.33 |  |  | 8.1 |  | $ | 544,000 |
Exercised | — |  |  | (248,495 | ) |  | (248,495 | ) |  | 2.31 |  |  |  |  |  |
Canceled | — |  |  | (11,824 | ) |  | (11,824 | ) |  | 7.96 |  |  |  |  |  |
Forfeited | — |  |  | (44,813 | ) |  | (44,813 | ) |  | 7.85 |  |  |  |  |  |
Expired | (6,668 | ) |  | (70,001 | ) |  | (76,669 | ) |  | 8.04 |  |  |  |  |  |
Outstanding, April 30, 2020 | 43,332 |  |  | 2,228,326 |  |  | 2,271,658 |  |  | 3.23 |  |  | 5.0 |  | $ | 10,663,000 |
Vested and expected to vest as of April 30, 2020 | 43,332 |  |  | 2,228,326 |  |  | 2,271,658 |  |  | 3.23 |  |  | 5.0 |  | $ | 10,663,000 |
Vested as of April 30, 2020 | 17,501 |  |  | 1,926,117 |  |  | 1,943,618 |  |  | 2.83 |  |  | 4.5 |  | $ | 9,898,000 |
| Non- Employees |  | Directors and Employees |  | Total |  | Weighted Average Exercise Price |  | Weighted Average Remaining Contractual Life (Years) |  | Aggregate Intrinsic Value
Outstanding, May 1, 2018 | 50,000 |  |  | 2,655,845 |  |  | 2,705,845 |  |  | $ | 2.85 |  |  | 5.9 |  | $ | 5,265,000 |
Granted | — |  |  | 206,790 |  |  | 206,790 |  |  | 9.86 |  |  | 7.9 |  | 77,000 |
Exercised | — |  |  | (363,383 | ) |  | (363,383 | ) |  | 2.22 |  |  |  |  |  |
Canceled | — |  |  | (49,766 | ) |  | (49,766 | ) |  | 3.20 |  |  |  |  |  |
Forfeited | — |  |  | (9,750 | ) |  | (9,750 | ) |  | 3.50 |  |  |  |  |  |
Expired | — |  |  | (66,110 | ) |  | (66,110 | ) |  | 15.10 |  |  |  |  |  |
Outstanding, April 30, 2019 | 50,000 |  |  | 2,373,626 |  |  | 2,423,626 |  |  | 3.19 |  |  | 5.3 |  | $ | 14,557,000 |
Vested and expected to vest as of April 30, 2019 | 50,000 |  |  | 2,373,626 |  |  | 2,423,626 |  |  | 3.19 |  |  | 5.3 |  | $ | 14,557,000 |
Vested as of April 30, 2019 | 18,335 |  |  | 2,115,585 |  |  | 2,133,920 |  |  | 2.70 |  |  | 4.9 |  | $ | 13,785,000 |
On June 30, 2017, the Board of Directors extended the expiration terms of a previous employee's vested grants to November 2018. As a result of this modification, the Company had an additional stock option expense of $56,529, which was expensed under the "General and Administrative" line item on the income statement for the twelve months ended April 30, 2019. Stock Purchase Warrants As of April 30, 2020, the Company had zero warrants outstanding for the purchase of shares of its common stock, as all those that were exercisable as of April 30, 2019 were either exercised or expired by March 2020. For the year ending April 30, 2020, the Company received cash proceeds related to the exercise of these warrants of approximately $3.9 million. Activity related to warrants is summarized in the following table. Approximately 161,000 shares noted as exercised below were done so via a cash-less exercise basis.
| Number of Shares |  | Weighted Average Exercise Price |  | Weighted Average Remaining Contractual Life (Years) |  | Aggregate Intrinsic Value
Outstanding, May 1, 2019 | 1,671,440 |  |  | $ | 6.20 |  |  | 0.9 |  |  | $ | 5,730,000 |
Granted | — |  |  | — |  |  | — |  |  | — |
Exercised | (858,695 | ) |  | 5.62 |  |  | — |  |  | 10,045,000 |
Forfeited | (760,601 | ) |  | 5.76 |  |  | — |  |  | 8,587,000 |
Expired | (52,144 | ) |  | 4.85 |  |  | — |  |  | 700,000 |
Outstanding, April 30, 2020 | — |  |  | $ | — |  |  | — |  |  | $ | — |
| Number of Shares |  | Weighted Average Exercise Price |  | Weighted Average Remaining Contractual Life (Years) |  | Aggregate Intrinsic Value
Outstanding, May 1, 2018 | 2,004,284 |  |  | $ | 5.57 |  |  | 1.8 |  |  | $ | — |
Granted | — |  |  | — |  |  | — |  |  | — |
Exercised | (247,468 | ) |  | 5.28 |  |  | — |  |  | 905,000 |
Forfeited | (85,376 | ) |  | 4.80 |  |  | — |  |  | 388,000 |
Expired | — |  |  | — |  |  | — |  |  | — |
Outstanding, April 30, 2019 | 1,671,440 |  |  | $ | 6.20 |  |  | 0.9 |  |  | $ | 5,730,000 |

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- Definition The entire disclosure for share-based payment arrangement. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -URI http://asc.fasb.org/topic&trid=2228938 + Details
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