Common Stock Options and Warrants (Tables)

3 Months Ended

Mar. 31, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

The Company has reserved 6,500,000 common shares for the exercise of stock options to be issued pursuant to the 2006 Stock Option Plan. Information relating to options issued under this plan is as follows:

						Weighted
	Options and					Average
	Stock Awards					Option
	Available		Number of			Exercise
	for Grant		Shares			Price
Outstanding as of January 1, 2013		742,500		5,757,500		$	0.10
Shares Reserved		-		-			-
Options Granted		-		-			-
Stock Awards Granted		-		-			-
Options Exercised		-		-			-
Options Canceled		-		-			-
Outstanding as of December 31, 2013		742,500		5,757,500		$	0.10
Shares Reserved		-		-			-
Options Granted		-		-			-
Stock Awards Granted		-		-			-
Options Exercised		-		-			-
Options Canceled		1,462,500		(1,462,500	)		0.10
Outstanding as of March 31, 2014		2,205,000		4,295,000		$	0.10

Summary of Stock Options Outstanding and Exercisable

The following table summarizes information about stock options outstanding and exercisable at March 31, 2014:

Stock Options Outstanding
		Weighted-
		Average		Weighted-
Number of		Remaining		Average
Options		Contractual		Exercise
Outstanding		Life in Years		Price
	425,000		0.16	$	0.10

Stock Options Exercisable
		Weighted-
		Average		Weighted-
Number of		Remaining		Average
Options		Contractual		Exercise
Exercisable		Life in Years		Price
	425,000		0.16	$	0.10

Assumuptions Used in Computing Fair Value of Options

The assumptions used in computing lair value of options is as follows:

Expected stock price volatility		186.0	%
Risk-free interest rate		4.7	%
Expected term (years)		7.00
Weighted-average fair value of stock options granted	$	0.099

Summary of Stock Warrants

The following is a summary of the status of all the Company’s stock warrants as of March 31, 2014:

				Weighted
	Number			Average
	of			Exercise
	Warrants			Price
Outstanding, January 1, 2013		18,949,334			0.11
Granted		4,405,000
Exercised		-
Cancelled		-
Outstanding, December 31, 2013		23,354,334		$	0.11
Granted		-
Exercised		-
Cancelled		(5,750,000	)
Outstanding, March 31, 2014		17,604,334		$	0.11

Summary of Stock Warrants Outstanding and Exercisable

The following table summarizes information about stock warrants outstanding and exercisable at March 31, 2014:

Stock Warrants Outstanding
Number of Warrants		Weighted- Average Remaining Contractual
Outstanding		Life in Years		Exercise Price
	215,000		2.44	$	0.50
	1,771,834		2.09	$	0.25
	5,515,000		0.26	$	0.15
	10,102,500		3.66	$	0.05
	17,604,334

Stock Warrants Exercisable
Number of Warrants		Weighted- Average Remaining Contractual
Exercisable		Life in Years		Exercise Price
	215,000		2.44	$	0.50
	1,771,834		2.09	$	0.25
	5,515,000		0.26	$	0.15
	10,102,500		3.66	$	0.05
	17,604,334

SMOKY MARKET FOODS INC 10-Q