Net Income (Loss) Per Share of Common Stock
|9 Months Ended|
Sep. 30, 2020
|Earnings Per Share [Abstract]|
|Net Income (Loss) Per Share of Common Stock||
6. Net Income (Loss) Per Share of Common Stock
Basic net income (loss) per share is computed by dividing net income (loss) by the weighted-average number of shares of common stock outstanding. For the nine months ended September 30, 2020 and each of the three and nine months ended September 30, 2019, the Company incurred a net loss and therefore diluted net loss per share is the same as basic net loss per share as the Company excluded certain potentially dilutive securities from the computation of diluted weighted average shares outstanding as they would have been anti-dilutive. For the three months ended September 30, 2020, the impact of the outstanding 2020 Warrants was determined to be dilutive. As a result, the Company adjusted the numerator amount used in the calculation of net income (loss) per diluted share to remove the gain associated with the change in fair value of $8,826,913. Additionally, the
net shares required under the treasury stock method upon exercise of the 2020 Warrants were included in the denominator in the calculation of diluted net loss per share.
The following table sets forth the computation of basic and diluted net
(loss) per share for common stockholders:
The following table sets forth the potentially dilutive securities outstanding for the three and nine months ended September 30, 2020 and 2019 that were excluded from the computation of diluted weighted average shares outstanding:
The entire disclosure for earnings per share.
Reference 1: http://www.xbrl.org/2003/role/disclosureRef