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STOCK OPTIONS AND WARRANTS | 6 Months Ended
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Sep. 30, 2021
Share-based Payment Arrangement [Abstract] |
STOCK OPTIONS AND WARRANTS | NOTE 8 - STOCK OPTIONS AND WARRANTS During the six months ended September 30, 2021 and 2020 the Company issued 40,000 and 0 stock options, respectively at an exercise price of $.29 to directors as compensation for their service. The fair value of each option grant was estimated on the date of the grant using the Black-Scholes option-pricing model with the assumptions outlined below. The expected volatility is based upon historical volatility of our stock and other contributing factors. The expected term is based upon observation of actual time elapsed between date of grant and exercise of options for all employees. The following inputs were used to value each option grant:
| ● | For six months ended September 30, 2021: expected dividend yield of 0%, risk-free interest rate of 0.43%, volatility of 149.5% and an expected term of three years.
THE SINGING MACHINE COMPANY, INC AND SUBSIDIARIES NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS September 30, 2021 and 2020 (Unaudited) A summary of stock option activity for the six months ended September 30, 2021 is summarized below: SUMMARY OF STOCK OPTION ACTIVITY
|  | September 30, 2021 |
|  | Number of Options |  |  | Weighted Average Exercise Price |
Stock Options: |  |  |  |  |  |  |  |
Balance at beginning of period |  |  | 1,680,000 |  |  | $ | 0.32 |
Granted |  |  | 40,000 |  |  | $ | 0.29 |
Exercised |  |  | (20,000 | ) |  | $ | 0.24 |
Balance at end of period |  |  | 1,700,000 |  |  | $ | 0.32 |
Options exercisable at end of period |  |  | 1,560,000 |  |  | $ | 0.33 |
The following table summarizes information about employee stock options outstanding at September 30, 2021: SCHEDULE OF EMPLOYEE STOCK OPTIONS OUTSTANDING
Range of Exercise Price |  |  | Number Outstanding at September 30, 2021 |  |  | Weighted Average Remaining Contractural Life |  |  | Weighted Average Exercise Price |  |  | Number Exercisable at September 30, 2021 |  |  | Weighted Average Exercise Price |
$ | .12 - $.38 |  |  |  | 1,150,000 |  |  |  | 3.1 |  |  | $ | 0.24 |  |  |  | 1,010,000 |  |  | $ | 0.23 |
$ | .47 - $.55 |  |  |  | 550,000 |  |  |  | 5.4 |  |  | $ | 0.50 |  |  |  | 550,000 |  |  | $ | 0.50 |
| -* |  |  |  | 1,700,000 |  |  |  |  |  |  |  |  |  |  |  | 1,560,000 |  |  |  |  |
* | Total number of options outstanding as of September 30, 2021 includes 660,000 options issued to two current and four former directors as compensation, 1,040,000 options issued to key employees.
As per the execution of the August 2021 private placement as disclosed in Note 2 and Note 10, common warrants and pre-funded warrants issued and outstanding as of September 30, 2021 as follows: SCHEDULE OF COMMON STOCK WARRANTS ISSUED AND OUTSTANDING
|  | Number of Shares |
Warrants outstanding at March 31, 2021 |  |  | - |
Common warrants issued |  |  | 34,666,667 |
Pre-funded warrants issued |  |  | 16,833,333 |
Warrants outstanding at September 30, 2021 |  |  | 51,500,000 |
As of September 30, 2021, the Company’s warrants by expiration date were as follows: SCHEDULE OF WARRANTS EXPIRATION
Number of Common Warrants |  | Number of Pre-funded Warrants |  |  | Exercise Price |  |  | Expiration Date |
34,666,667 |  |  | - |  |  | $ | 0.35 |  |  |  | 9/15/2026 |
- |  |  | 16,833,333 |  |  | $ | 0.01 |  |  |  | -N/A * |
34,666,667 |  |  | 16,833,333 |  |  |  |  |  |  |  |  |
* | Pre-funded warrants expire on the dates they are exercised.
All outstanding warrants are fully vested.

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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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