Quarterly report pursuant to Section 13 or 15(d)

Derivative Liability (Tables)

v3.19.1
Derivative Liability (Tables)
 3 Months Ended
Mar. 31, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Derivative Liability Using Weighted Average Black-Scholes-Merton Pricing Model

The derivative liabilities were valued using a probability weighted average Black-Scholes-Merton pricing model with the following average assumptions:

 

    March 31, 2019     Upon Issuance     December 31, 2018  
Stock Price   $ 6.35     $ 7.65     $ 4.80  
Exercise Price   $ 3.76     $ 5.63     $ 2.70  
Expected Life     1.34       0.50       1.78  
Volatility     190 %     164 %     184 %
Dividend Yield     0 %     0 %     0 %
Risk-Free Interest Rate     2.35 %     2.46 %     2.46 %
                         
Fair Value   $ 2,020,000     $ 388,000     $ 2,576,000  

Schedule of Derivative Liability Transactions

The details of derivative liability transactions for the quarter ended March 31, 2019 and 2018 are as follows:

 

    March 31, 2019     March 31, 2018  
Beginning Balance   $ 2,576,000     $ 1,251,000  
Fair value upon issuance of notes payable and warrants     388,000       301,000  
Change in fair value     (944,000 )     2,625,000  
Extinguishment     -       (1,719,000 )
Additional paid in capital     -       (723,000 )
Ending Balance   $ 2,020,000     $ 1,735,000