ANALOGY, INC.
                    COMPUTATION OF PER SHARE EARNINGS (LOSS)
                                 IN THOUSANDS
                                     


                                           Three months ended        Six months ended
                                              September 30,            September 30, 
                                          --------------------     --------------------
                                            1997        1996         1997        1996
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Net income (loss)                          $  317      $  (932)     $   (93)   $ (1,641)
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Earnings (loss) per share                  $ 0.03      $ (0.11)     $ (0.01)   $  (0.20)
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Weighted average shares outstanding:
   Common stock                             9,171        8,356        9,149       8,334
   Common stock issuable upon exercise of
      stock options                           637           --           --          --
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Shares used in per share calculations       9,808        8,356        9,149       8,334
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