Stock-based Compensation | 4. Stock-based Compensation 2015 Equity Incentive Plan The Company has 560,000 5% Awards may be granted under our 2015 Equity Incentive Plan to our employees, including officers, director or consultants, and our present or future affiliated entities. While we may grant incentive stock options only to employees, we may grant non-statutory stock options, stock appreciation rights, restricted stock purchase rights or bonuses, restricted stock units, performance shares, performance units and cash-based awards or other stock based awards to any eligible participant. The 2015 Equity Incentive Plan is administered by our compensation committee. Subject to the provisions of our 2015 Equity Incentive Plan, the compensation committee determines, in its discretion, the persons to whom, and the times at which, awards are granted, as well as the size, terms and conditions of each award. All awards are evidenced by a written agreement between us and the holder of the award. The compensation committee has the authority to construe and interpret the terms of our 2015 Equity Incentive Plan and awards granted under our 2015 Equity Incentive Plan. A summary of stock option activity for the period ended June 30, 2022, is presented below: Schedule of Stock Option Activity Number of Weighted Weighted Aggregate Subject to Exercise Options Price Life (Years) Value Outstanding as of December 31, 2021 241,128 $ 32.76 5.43 $ 9,445 Granted – 2022 101,166 3.67 4.07 - Forfeited/Expired – 2022 - - - - Exercised – 2022 - - - - Outstanding as of June 30, 2022 342,294 $ 21.76 4.80 $ - As of June 30, 2022, the Company had outstanding stock options as follows: Schedule of Outstanding Stock Options Date Issued Exercise Price Number of Expiration date August 2015 $ 39.75 41,624 December 27, 2025 September 2015 $ 39.75 8,000 December 27, 2025 November 2015 $ 39.75 48,986 December 27, 2025 December 2015 $ 39.75 2,228 December 27, 2025 January 2016 $ 39.75 51,032 January 9, 2026 May 2016 $ 51.25 10,766 May 26, 2026 September 2016 $ 51.25 3,973 May 31, 2026 January 2017 $ 51.25 2,142 January 1, 2027 January 2018 $ 49.25 1,566 January 1, 2028 January 2019 $ 2.35 21,964 January 1, 2029 October 2021 $ 5.25 48,847 October 26, 2031 January 2022 $ 3.52 26,166 January 1, 2032 January 2022 $ 3.72 50,000 January 1, 2024 January 2022 $ 3.72 25,000 January 3, 2024 Total outstanding options at June 30, 2022 342,294 The aggregate intrinsic value in the table above represents the total pre-tax intrinsic value ( i.e. There were 101,166 171,592 During the six month period ended June 30, 2022 and 2021, the Company had stock-based compensation expense of $ 171,592 0 The Company utilized the Black-Scholes option-pricing model. The assumptions used for the periods ended June 30, 2022 and 2021 are as follows: Schedule of Assumptions Using Black-Scholes Option Pricing Model June 30, 2022 June 30, 2021 Risk free interest rate 0.39% 1.279 % - % Expected life (in years) 1.00 5.37 - Expected Volatility 96.24% 112.54 % - % Expected dividend yield - % - % A summary of the changes in the Company’s non-vested options during the six month period ended June 30, 2022, is as follows: Schedule of Stock Options Non-vested Number of Non- Weighted Average Non-vested at December 31, 2021 - $ - Granted in 2022 101,166 $ 1.77 Forfeited in 2022 - $ - Vested in 2022 (101,166 ) $ 1.77 Non-vested at June 30, 2022 - $ - Exercisable at June 30, 2022 342,294 $ 21.81 Outstanding at June 30, 2022 342,294 $ 21.81 As of June 30, 2022, there was no | 5. Stock-based Compensation 2015 Equity Incentive Plan The Company has 560,000 5 Awards may be granted under our 2015 Equity Incentive Plan to our employees, including officers, director or consultants, and our present or future affiliated entities. While we may grant incentive stock options only to employees, we may grant non-statutory stock options, stock appreciation rights, restricted stock purchase rights or bonuses, restricted stock units, performance shares, performance units and cash-based awards or other stock based awards to any eligible participant. The 2015 Equity Incentive Plan is administered by our compensation committee. Subject to the provisions of our 2015 Equity Incentive Plan, the compensation committee determines, in its discretion, the persons to whom, and the times at which, awards are granted, as well as the size, terms and conditions of each award. All awards are evidenced by a written agreement between us and the holder of the award. The compensation committee has the authority to construe and interpret the terms of our 2015 Equity Incentive Plan and awards granted under our 2015 Equity Incentive Plan. A summary of stock option activity for the years ended December 31, 2021 and 2020 are presented below: Schedule of Stock Option Activity Subject to Exercise Number of Options Weighted Average Exercise Price Weighted Average Life (Years) Aggregate Intrinsic Value Outstanding as of December 31, 2019 226,418 $ 41.08 6.56 $ - Granted – 2020 - - - - Forfeited/Expired – 2020 - - - - Exercised – 2020 - - - - Outstanding as of December 31, 2020 226,418 $ 37.00 4.65 $ - Outstanding as of December 31, 2020 226,418 $ 37.00 4.65 $ - Granted – 2021 48,847 4.24 10.00 - Forfeited/Expired – 2021 (34,137 ) 40.48 - - Exercised – 2021 - - - - Outstanding as of December 31, 2021 241,128 $ 32.76 5.43 $ 9,445 As of December 31, 2021, the Company had outstanding stock options as follows: Schedule of Outstanding Stock Options Date Issued Exercise Price Number of Options Expiration date August 2015 $ 39.75 41,624 December 27, 2025 September 2015 $ 39.75 8,000 December 27, 2025 November 2015 $ 39.75 48,986 December 27, 2025 December 2015 $ 39.75 2,228 December 27, 2025 January 2016 $ 39.75 51,032 January 9, 2026 May 2016 $ 51.25 10,766 May 26, 2026 September 2016 $ 51.25 3,973 May 31, 2026 January 2017 $ 51.25 2,142 January 1, 2027 January 2018 $ 49.25 1,566 January 1, 2028 January 2019 $ 2.35 21,964 January 1, 2029 October 2021 $ 5.25 48,847 October 26, 2031 Total outstanding options at December 31, 2021 241,128 The aggregate intrinsic value in the table above represents the total pre-tax intrinsic value ( i.e. There were 48,847 207,035 no During the years ended December 31, 2021 and 2020, the Company had stock-based compensation expense of $ 207,035 0 The Company utilized the Black-Scholes option-pricing model. The assumptions used for the years ended December 31, 2021 and 2020 are as follows: Schedule of Assumptions Using Black-Scholes Option Pricing Model December 31, 2021 December 31, 2020 Risk free interest rate 1.21 % - % Expected life (in years) 2 10 - Expected Volatility 113.93 % - % Expected dividend yield 0 % 0 % |