Quarterly report pursuant to Section 13 or 15(d)

Derivative Liabilities (Tables)

v3.8.0.1
Derivative Liabilities (Tables)
 9 Months Ended
Sep. 30, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of fair value valuation method

The fair values of the conversion feature and the warrants were calculated using the Monte Carlo simulation valuation method. Assumptions used in calculating the fair value of the conversion feature at September 30, 2017 are as follows:

  

Risk free interest rates     1.35%  
Volatility     60%  

 

 
Schedule of assumptions used in calculating the fair value of the warrants

Assumptions used in calculating the fair value of the warrants at September 30, 2017 are as follows:

  

Dividend yield     0%  
Expected volatility     55%  
Risk free interest rates     1.06 – 1.70%  
Expected remaining term (in years)     0.32 – 3.51
Schedule of fair values and the changes in fair values of derivative liabiliti

The fair values and the changes in fair values of derivative liabilities during the nine months ended September 30, 2017 and 2016 are as follows:

  

   

Nine Months Ended

September 30, 

  
    2017     2016  
Balance, beginning of period   $ 131,173     $ 658,286  
Conversion of equity warrants to liabilities     -       192,173  
Additions from debt restructuring     -       1,592,134  
Reduction from debt conversions     -       (1,207,813 )
Reduction from warrant exercise     (10,659 )     (37,672 )
Gain on change in fair value for the period     (48,064 )     (748,080 )
Balance, end of period   $ 72,450     $ 449,028