Quarterly report pursuant to Section 13 or 15(d)

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

v2.4.0.6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)
 9 Months Ended
Jun. 30, 2012
Accounting Policies [Abstract]  
Schedule For Assumptions Made In Determination Of Fair Values For Warrant Liability and Debt Conversion Option Liability [Table Text Block]

The Company used Level 2 inputs for its valuation methodology for the warrant liability and conversion option liability as their fair values were determined by using the Black-Scholes option pricing model using the following assumptions:

 

      June 30, 2012  
Annual dividend yield     -  
Expected life (years)     0.25-3.5  %
Risk-free interest rate     0.09%-0.41  %
Expected volatility     56.4%-128.8  %

 

    Carrying Value     Fair Value Measurements at  
    As of     June 30, 2012  
    June 30,     Using Fair Value Hierarchy  
    2012     Level 1     Level 2     Level 3  
Liabilities                                
Warrant liability   $ 4,503,400     $ -     $ 4,503,400     $ -  
Senior secured convertible promissory note     3,023,900       -       3,023,900       -  
Subordinated convertible promissory note     3,583,300       -       4,500,000       -  
Unsecured convertible promissory note     30,000       -       90,000       -  
Conversion option liability     2,049,600       -       2,049,600       -  
Total   $ 13,190,200     $ -     $ 14,166,900     $ -