I would like to expand on my previous post. I have been rolling some numbers around in my head, anyone please comment on this post. I would like to get some other thoughts on what I propose here.

Lets say we get the Chinese to mass produce these very shortly. Nick said we get 10% of NET sales, here is an example of net sales;

http://www.cliffsnotes.com/study_guide/Net-Sales.topicArticleId-21081,articleId-21036.html

So, approx in this hypothetical situation, net sales are 10% less than gross sales. I will use 20% less, this may be a closer figure for us?

Lets say that by the end of the year that we get a Chines manufacturer and they roll out 200,000 units by Dec 1st. The average retail price is about $200 per unit. Thats about $40,000,000 gross sales, minus 20% to get net sales, leaves you $32,000,000. Take our 10% of that, = $3,200,000. Divide that by approx 300 million shares out, you get about .01 in earnings per share. Put a 20 times forward earnings on that, you get .20 per share.

If they are able to roll out and sell 1 million units by Dec 31st this year, that would equate to $1 per share.

Also, keep in mind our other smaller contracts in place already and the revealing of any new technologies.

If we are able to mass produce the personal amplified earpiece and roll that out at the same time, then our bottom line revenue should be significantly more than was mentioned above.

Apple sold 20 million I-PHONES last quarter alone. This is a huge increase quarter over quarter, its showing us that the market is growing, and this is part of the market we will be hitching a ride on.

http://allthingsd.com/20110719/monster-earnings-from-apple/

This market is huge, and if we can come in with our sculpted eer being attached to half of this kind of sale, the possibilities are staggering for us. To help put this into perspective, what if our product was part of every in ear device sold in the world today?

Comments/suggestions please!