Quarterly report pursuant to Section 13 or 15(d)

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

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CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (USD $)
 3 Months Ended 6 Months Ended
Mar. 31, 2013
Mar. 31, 2012
Mar. 31, 2013
Mar. 31, 2012
REVENUES        
Neurometric Services $ 29,200 $ 25,200 $ 57,400 $ 57,200
OPERATING EXPENSES        
Cost of neurometric services revenues 35,600 35,900 67,000 75,100
Research 47,500 67,400 103,400 137,100
Product development 241,400 162,800 328,600 275,300
Sales and marketing 80,100 304,200 171,500 590,400
General and administrative 749,200 788,800 1,210,400 1,597,200
Total operating expenses 1,153,800 1,359,100 1,880,900 2,675,100
OPERATING LOSS (1,124,600) (1,333,900) (1,823,500) (2,617,900)
OTHER INCOME (EXPENSE):        
Interest expense, net (432,100) (1,135,700) (1,030,400) (2,617,700)
Gain on extinguishment of debt 90,000 0 556,300 0
Financing fees (60,900) (106,200) (92,700) (151,500)
Offering costs (2,500) (900) (2,500) (7,700)
Gain (Loss) on derivative liabilities 0 (5,733,700) (97,600) (5,501,700)
Total other expense (405,500) (6,976,500) (666,900) (8,278,600)
LOSS BEFORE PROVISION FOR INCOME TAXES (1,530,100) (8,310,400) (2,490,400) (10,896,500)
Provision for income taxes 0 0 800 900
LOSS BEFORE OTHER COMPRESHENSIVE INCOME (1,530,100) (8,310,400) (2,491,200) (10,897,400)
Other Comprehensive Income (Loss) 0 0 0 0
LOSS FROM CONTINUING OPERATIONS (1,530,100) (8,310,400) (2,491,200) (10,897,400)
Loss from discontinued operations (1,100) (84,100) (13,300) (228,300)
NET Loss $ (1,531,200) $ (8,394,500) $ (2,504,500) $ (11,125,700)
NET LOSS PER SHARE:        
From continuing operations (in dollars per share) $ (0.07) $ (4.44) $ (0.20) $ (5.82)
From discontinued Operations (in dollars per share) $ 0 $ (0.04) $ 0 $ (0.12)
Combined Net Loss (in dollars per share) $ (0.07) $ (4.48) $ (0.20) $ (5.94)
Diluted LOSS PER SHARE:        
From continuing operations (in dollars per share) $ (0.07) $ (4.44) $ (0.20) $ (5.82)
From discontinued Operations (in dollars per share) $ 0 $ (0.04) $ 0 $ (0.12)
Combined Net Loss forfeiture (in dollars per share) $ (0.07) $ (4.48) $ (0.20) $ (5.94)
WEIGHTED AVERAGE SHARES OUTSTANDING:        
Basic (in shares) 22,294,401 1,873,948 12,159,531 1,873,766
Diluted (in shares) 22,294,401 1,873,948 12,159,531 1,873,766