XML 34 R21.htm IDEA: XBRL DOCUMENT v3.6.0.2
Share-Based Compensation Plan (Tables)
 12 Months Ended
Dec. 31, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Stock options' weighted average assumptions

The Company calculates the value of each stock option grant, estimated on the date of grant, using binomial lattice option pricing model. The weighted-average estimated fair value of stock options granted during 2016 and 2015 was $1.93 and $1.58, respectively, using the following weighted-average assumptions:

 

   Years Ended December 31,
   2016  2015
Risk-free interest rate (%)   1.75%   2.10%
Dividend yield   —      —   
Volatility factor   79.91%   92.22%
Expected option life (years)   5.6    4.8 

 
Schedule of stock-based compensation, stock option, activity

The table below presents the information related to stock option activity for the years ended December 31, 2016 and 2015:

   Years Ended December 31,
   2016  2015
Total intrinsic value of stock options exercised  $178,923   $60,056 
Cash received from stock option exercises  $178,512   $155,949 

 
Stock-based compensation arrangement by stock-based payment award, options, vested and unvested, outstanding and exercisable

Changes in stock options for the years ended December 31, 2016 and 2015 are as follows:

 

         Outstanding Options
    

 

Options

Available

For Grant

    

 

Number

of Shares

    

Weighted

Average

Price Per Share

    Remaining Contractual Term
(in years)		    

 

 

Intrinsic
Value

 
Balance at December 31, 2014   144,378    1,891,058   $2.09           
   Increase in shares authorized   200,000    —                  
   Granted   (316,600)   316,600   $2.25           
   Exercised   —      (91,333)  $1.71           
   Canceled   93,972    (93,972)  $2.01           
Balance at December 31, 2015   121,750    2,022,353   $2.15           
   Increase in shares authorized   224,818    —                  
   Granted   (344,450)   344,450   $2.89           
   Exercised   —      (111,855)  $1.60           
   Canceled   93,863    (93,863)  $2.73           
Balance at December 31, 2016   95,981    2,161,085   $2.27    5.58   $3,401,944 
Exercisable        1,638,288   $2.23    4.58    2,651,676 
Unvested        522,797   $2.40    8.67    750,268 

 
Schedule of stock-based compensation, shares authorized under stock option plans, by exercise price range

The following table summarizes information about stock options outstanding and exercisable at December 31, 2016:

 

      Options Outstanding     Options Exercisable
 

 

Range of

Exercise

Prices

    

 

Number of

Options Outstanding

    Weighted Average Remaining Life (Years)    

 

Weighted

Average Exercise Price

    

 

Number of Options Exercisable

    

 

Weighted Average Exercise Price

 
 $0.95 - $1.10    369,444    6.58   $1.01    306,603   $1.02 
 $1.20 - $1.25    56,000    6.50   $1.23    46,583   $1.22 
 $1.50 - $1.82    167,767    5.33   $1.71    167,767   $1.71 
 $1.89 - $2.27    477,090    6.50   $2.13    347,672   $2.08 
 $2.36 - $2.92    525,638    5.58   $2.63    232,617   $2.54 
 $3.04 - $3.54    528,446    3.67   $3.09    516,513   $3.08 
 $3.70 - $3.84    35,000    9.42   $3.72    18,833   $3.71 
$6.90    900    1.58   $6.90    900   $6.90 
 $10.00    800    0.17   $10.00    800   $10.00 
 $0.95 - $10.00    2,161,085    5.58   $2.27    1,638,288   $2.23 

 
Schedule of employee service stock-based compensation, allocation of recognized period costs

The stock-based compensation expense included in the Company’s statements of income for the years ended December 31, 2016 and 2015, consisted of the following:

 

   Years Ended December 31,
Income Statement Classification  2016  2015
  Cost of revenues  $40,929   $19,322 
  Research and development   74,810    40,951 
  Sales and marketing   87,158    62,898 
  General and administrative   139,713    86,693 
   $342,610  $209,864