Annual report pursuant to Section 13 and 15(d)

Note 7 - Line of Credit

Note 7 - Line of Credit
12 Months Ended
Jun. 30, 2017
Notes to Financial Statements  
Debt Disclosure [Text Block]
October 2, 2014,
the Company entered into a line of credit (“Line of Credit”) agreement in the maximum amount of
with a non-related lender (“Lender”). Borrowings under the Line of Credit b
ore interest at
per annum, with all unpaid principal and accrued interest due and payable on
September 19, 2016. 
December 23, 2016,
the Company had repaid in full the
outstanding under the Note, accrued interest totaling
and the late payment penalty fee of
In connection with the Line of Credit, the Company granted a warrant to the Lender to purchase a certain number of shares of common stock of the Company equal to the outstanding advances under the Line of Credit divided by the conversion price of $
for a term of
years, at an exercise price per share equal to
Accordingly, in connection with the advance of
Lender is entitled to purchase up to
shares of common stock upon exercise of the warrant at
per share. The Lender has
other material relationship with the Company or its affiliates. The estimated relative fair value of warrants issued in connection with advances under the Line of Credit is recorded as a debt discount and is amortized as additional interest expense over the term of the underlying debt. The Company recorded debt discount of approximately
based on the relative fair value of these warrants. In addition, as the effective conversion price of the debt was less than the market price of the underlying common stock on the date of issuance, the Company recorded additional debt discount of approximately
related to the beneficial conversion feature. As of
June 30, 2017,
the Line of Credit has been paid in full. As of
June 30, 2016,
principal amount outstanding under this agreement was presented net of unamortized debt discount totaling
During years ended
June 30, 2017
the Company recorded approximately
respectively of debt discount amortization, which is included in interest expense in the accompanying consolidated statements of operations.