Quarterly report pursuant to Section 13 or 15(d)

Derivative Financial Instruments and Fair Value Measurements (Tables)

v3.7.0.1
Derivative Financial Instruments and Fair Value Measurements (Tables)
9 Months Ended
Mar. 31, 2017
Schedule of Fair Value, Assets and Liabilities Measured On Recurring Basis

The following tables summarize the Company’s financial assets and liabilities measured at fair value on a recurring basis as of March 31, 2017:

 

          Quoted Prices     Significant        
          in Active     Other     Significant  
    Balance at     Markets for     Observable     Unobservable  
    March 31, 2017     Identical Assets     Inputs     Inputs  
          (Level 1)     (Level 2)     (Level 3)  
Embedded conversion option liabilities   $ 1,081,387     $     $     $ 1,081,387  
Fair value of liability for warrant derivative instruments   $ 16,200     $     $     $ 16,200  
Total   $ 1,097,587     $     $     $ 1,097,587

Schedule of Derivative Liabilities at Fair Value

The following is a roll forward for the nine months ended March 31, 2017 of the fair value liability of price adjustable derivative instruments:

 

    Fair Value of  
    Liability for  
    Derivative  
    Instruments  
Balance at June 30, 2016   $ 1,050,182  
Effects of foreign currency exchange rate changes     1,343  
Initial fair value of embedded conversion option derivative liability recorded as debt discount     650,000  
Initial fair value of embedded conversion option derivative liability recorded as change in fair value of embedded conversion option     214,758  
Change in fair value included in statements of operations     (818,696 )
Balance at March 31, 2017   $ 1,097,587

Warrant [Member] | Convertible Debt [Member]  
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques

Warrants

 

    March 31, 2017  
Volatility     137.6 %
Expected remaining term (in years)     1.5  
Risk-free interest rate     1.27 %
Expected dividend yield     None  

 

Convertible Debt

 

    Initial Valuations
(on new derivative
instruments
entered into
during the nine
months ended
March 31, 2017)
    March 31, 2017  
Volatility     219.33 %     117.47% – 144.2 %
Expected Remaining Term (in years)     2.00       .45 - 1.88  
Risk Free Interest Rate     1.22 %     1.03% - 1.27 %
Expected dividend yield     None       None