| 6. (Loss) Earnings Per Share |
Basic (loss) earnings per share excludes dilution
and is computed by dividing loss available to common shareholders by the weighted-average number of shares outstanding for the
period. Diluted (loss) earnings per share reflects the potential dilution that could occur if securities or other contracts to
issue common stock were exercised or converted into common stock, except for periods when the Company reports a net loss because
the inclusion of such items would be antidilutive. The antidilutive effect of 540,462 shares and 559,498 shares from stock options
were excluded from diluted shares for the three months and six months ended June 30, 2018, respectively.
The following is a reconciliation of the amounts
used in calculating basic and diluted net loss per common share:
| |
|
Net (loss) |
|
|
|
|
|
Per share |
|
| |
|
income |
|
|
Shares |
|
|
amount |
|
| Basic net loss per common share for the |
|
|
|
|
|
|
|
|
|
| three months ended June 30, 2018: |
|
|
|
|
|
|
|
|
|
| Loss available to common shareholders |
|
$ |
(5,882 |
) |
|
|
11,201,760 |
|
|
$ |
- |
|
| Effect of dilutive stock options |
|
|
- |
|
|
|
- |
|
|
|
- |
|
| Diluted net loss per common share for the |
|
|
|
|
|
|
|
|
|
|
|
|
| three months ended June 30, 2018 |
|
$ |
(5,882 |
) |
|
|
11,201,760 |
|
|
$ |
- |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Basic net income per common share for the |
|
|
|
|
|
|
|
|
|
|
|
|
| three months ended June 30, 2017: |
|
|
|
|
|
|
|
|
|
|
|
|
| Income available to common shareholders |
|
$ |
88,718 |
|
|
|
11,201,760 |
|
|
$ |
0.01 |
|
| Effect of dilutive stock options |
|
|
- |
|
|
|
342,996 |
|
|
|
- |
|
| Diluted net income per common share for the |
|
|
|
|
|
|
|
|
|
|
|
|
| three months ended June 30, 2017 |
|
$ |
88,718 |
|
|
|
11,544,756 |
|
|
$ |
0.01 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Basic net loss per common share for the |
|
|
|
|
|
|
|
|
|
|
|
|
| six months ended June 30, 2018: |
|
|
|
|
|
|
|
|
|
|
|
|
| Loss available to common shareholders |
|
$ |
(39,158 |
) |
|
|
11,201,760 |
|
|
$ |
- |
|
| Effect of dilutive stock options |
|
|
- |
|
|
|
- |
|
|
|
- |
|
| Diluted net loss per common share for the |
|
|
|
|
|
|
|
|
|
|
|
|
| six months ended June 30, 2018 |
|
$ |
(39,158 |
) |
|
|
11,201,760 |
|
|
$ |
- |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Basic net income per common share for the |
|
|
|
|
|
|
|
|
|
|
|
|
| six months ended June 30, 2017: |
|
|
|
|
|
|
|
|
|
|
|
|
| Income available to common shareholders |
|
$ |
57,102 |
|
|
|
11,201,760 |
|
|
$ |
0.01 |
|
| Effect of dilutive stock options |
|
|
- |
|
|
|
306,671 |
|
|
|
- |
|
| Diluted net income per common share for the |
|
|
|
|
|
|
|
|
|
|
|
|
| six months ended June 30, 2017 |
|
$ |
57,102 |
|
|
|
11,508,431 |
|
|
$ |
- |
|
|