| 6. (Loss) Earnings Per Share |
Basic earnings (loss) 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 511,118 shares from stock options were excluded from
diluted shares for the nine months ended September 30, 2018.
The following is a reconciliation of the amounts
used in calculating basic and diluted net income (loss) per common share:
| |
|
|
|
|
|
|
|
Per share |
|
| |
|
Net income (loss) |
|
|
Shares |
|
|
amount |
|
| Basic net income per common share for the |
|
|
|
|
|
|
|
|
|
| three months ended September 30, 2018: |
|
|
|
|
|
|
|
|
|
| Income available to common shareholders |
|
$ |
27,964 |
|
|
|
11,201,760 |
|
|
$ |
- |
|
| Effect of dilutive stock options |
|
|
- |
|
|
|
391,423 |
|
|
|
- |
|
| Diluted net income per common share for the |
|
|
|
|
|
|
|
|
|
|
|
|
| three months ended September 30, 2018 |
|
$ |
27,964 |
|
|
|
11,593,183 |
|
|
$ |
- |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Basic net income per common share for the |
|
|
|
|
|
|
|
|
|
|
|
|
| three months ended September 30, 2017: |
|
|
|
|
|
|
|
|
|
|
|
|
| Income available to common shareholders |
|
$ |
110,284 |
|
|
|
11,201,760 |
|
|
$ |
0.01 |
|
| Effect of dilutive stock options |
|
|
- |
|
|
|
308,951 |
|
|
|
- |
|
| Diluted net income per common share for the |
|
|
|
|
|
|
|
|
|
|
|
|
| three months ended September 30, 2017 |
|
$ |
110,284 |
|
|
|
11,510,711 |
|
|
$ |
0.01 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Basic net loss per common share for the |
|
|
|
|
|
|
|
|
|
|
|
|
| nine months ended September 30, 2018: |
|
|
|
|
|
|
|
|
|
|
|
|
| Loss available to common shareholders |
|
$ |
(11,194 |
) |
|
|
11,201,760 |
|
|
$ |
- |
|
| Effect of dilutive stock options |
|
|
- |
|
|
|
- |
|
|
|
- |
|
| Diluted net loss per common share for the |
|
|
|
|
|
|
|
|
|
|
|
|
| nine months ended September 30, 2018 |
|
$ |
(11,194 |
) |
|
|
11,201,760 |
|
|
$ |
- |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Basic net income per common share for the |
|
|
|
|
|
|
|
|
|
|
|
|
| nine months ended September 30, 2017: |
|
|
|
|
|
|
|
|
|
|
|
|
| Income available to common shareholders |
|
$ |
167,386 |
|
|
|
11,201,760 |
|
|
$ |
0.01 |
|
| Effect of dilutive stock options |
|
|
- |
|
|
|
307,442 |
|
|
|
- |
|
| Diluted net income per common share for the |
|
|
|
|
|
|
|
|
|
|
|
|
| nine months ended September 30, 2017 |
|
$ |
167,386 |
|
|
|
11,509,202 |
|
|
$ |
0.01 |
|
|