CAPITAL STOCK, STOCK PLANS, WARRANTS AND STOCK BASED COMPENSATION (Tables)

12 Months Ended

Dec. 31, 2023

	2023			2022
	Employee Stock Options Granted
	2023			2022
Weighted-average fair value per share	$	2.07			2.71
Risk -free interest rate ⁽¹⁾		3.48%-4.98	%		3.00	%
Expected volatility of stock ⁽²⁾		55.19%-58.78	%		55.72	%
Dividend yield ⁽³⁾		None			None
Expected option life (years) ⁽⁴⁾		5.0 - 5.6			5.0

	2023			2022
	Outside Director Stock Options Granted
	2023			2022
Weighted-average fair value per share	$	6.46		$	3.61
Risk -free interest rate ⁽¹⁾		3.85	%		2.91	%
Expected volatility of stock ⁽²⁾		54.31	%		55.04	%
Dividend yield ⁽³⁾		None			None
Expected option life (years) ⁽⁴⁾		10.0			10.0

⁽¹⁾		The risk-free interest rate is based on the U.S. Treasury yield in effect at the grant date over the expected term of the option.

⁽²⁾		The expected volatility is based on historical volatility from our traded Common Stock over the expected term of the option.

⁽³⁾		The Company has never paid any dividends on its Common Stock. Our Loan Agreement prohibits the Company from paying any cash dividends without prior approval from our lender.

⁽⁴⁾		The expected option life is based on historical exercises and post-vesting data.

The following table summarizes stock-based compensation recognized (within SG&A expenses) for fiscal years 2023 and 2022.

The summary of the Company’s total plans as of December 31, 2023, and 2022, and changes during the period then ended are presented as follows:

SCHEDULE OF STOCK OPTIONS ROLL FORWARD

	Shares			Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (years)		Aggregate Intrinsic Value ⁽⁴⁾
Options outstanding January 1, 2023		1,018,400		$	5.02
Granted		370,000		$	3.15
Exercised		(320,400	)	$	3.72			$	2,335,042
Forfeited/expired		(73,500	)	$	3.77
Options outstanding end of period ⁽¹⁾		994,500		$	5.57		5.0	$	2,417,081
Options exercisable at December 31, 2023⁽²⁾		319,300		$	5.46		4.1	$	766,037

	Shares			Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (years)		Aggregate Intrinsic Value ⁽⁴⁾
Options outstanding January 1, 2022		1,019,400		$	4.91				-
Granted		94,000		$	5.20
Exercised		(52,400	)	$	4.04			$	97,856
Forfeited/expired		(42,600	)	$	4.08
Options outstanding end of period ⁽³⁾		1,018,400		$	5.02		3.8	$	44,262
Options exercisable at December 31, 2022⁽³⁾		530,900		$	4.27		2.4	$	30,962

⁽¹⁾	Options with exercise prices ranging from $3.15 to $9.81
⁽²⁾	Options with exercise prices ranging from $3.15 to $7.50
⁽³⁾	Options with exercise prices ranging from $2.79 to $7.50
⁽⁴⁾	The intrinsic value of a stock option is the amount by which the market value of the underlying stock exceeds the exercise price

The summary of the Company’s nonvested options as of December 31, 2023, and changes during the period then ended are presented as follows:

SCHEDULE OF NON VESTED OPTIONS

				Weighted Average
				Grant-Date
	Shares			Fair Value
Non-vested options January 1, 2023		487,500		$	3.32
Granted		370,000			2.90
Vested		(119,300	)		3.27
Forfeited		(63,000	)		3.22
Non-vested options at December 31, 2023		675,200		$	3.12