Note 4 - Stock Options and Warrants

9 Months Ended

Sep. 30, 2019

Share-based Payment Arrangement [Text Block]

Stock Options and Warrants

Costs attributable to the issuance of stock options and share purchase warrants are measured at fair value at the date of issuance and offset with a corresponding increase in ‘Additional Paid in Capital’ at the time of issuance. The fair value cost is computed utilizing the Black-Scholes model and assuming volatility based on U.S. Treasury yield rates for a similar period.

When the options or warrants are exercised, the receipt of consideration is an increase in stockholders’ equity.

Concurrently with certain of the securities purchase agreements entered into as described in Note

above, warrants to purchase the Company’s Common Stock were issued to the subscribers. Each warrant is exercisable for a period of

five

years from the date of the securities purchase agreement at an exercise price of

$1.95

per share. The fair value cost at the date of issuance of the warrants was

$502,398.

There was

warrant activity during the

nine

months ended

September 30, 2018

and as of

September 30, 2019,

there are

71,795

warrants outstanding.

	Number of Shares		Exercise Price
Warrants as of December 31, 2018		-		-
Issued during 2019		71,795		$1.95
Warrants as of September 30, 2019		71,795		$1.95