BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
Dec. 31, 2015
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES	3. BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES BASIS OF PRESENTATION The consolidated financial statements of the Company are unaudited and have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information, pursuant to the rules and regulations of the Securities and Exchange Commission. Notes to the consolidated financial statements which would substantially duplicate the disclosures contained in the audited financial statements for the most recent fiscal year 2015 as reported in the Company's Form 10-K have been omitted. The results of operations for the three month period ended December 31, 2015 and 2014 are not necessarily indicative of the results to be expected for the full year. In the opinion of management, the consolidated financial statements include all adjustments, consisting of normal recurring adjustments, necessary to present fairly the Company's financial position, results of operations and cash flows. These statements should be read in conjunction with the consolidated financial statements and related notes which are part of the Company's Annual Report on Form 10-K for the year ended September 30, 2015. USE OF ESTIMATES The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America, requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. NET INCOME (LOSS) PER SHARE Basic net income (loss) per share is calculated by dividing net income (loss) by the weighted average common shares outstanding during the period. Diluted net income (loss) per share reflects the potential dilution to basic net income (loss) per share that could occur upon conversion or exercise of securities, options or other such items to common shares using the treasury stock method, based upon the weighted average fair value of our common shares during the period. Series A convertible preferred stock totaling 2,763,699 shares have been excluded in the calculation of diluted net income (loss) per share for the three months ended December31, 2015 and 2014 as the effect of potential common shares is antidilutive. NEW ACCOUNTING PRONOUNCEMENTS The Financial Accounting Standards Board issues Accounting Standards Updates ("ASUs") to amend the authoritative literature in Accounting Standards Codification ("ASC"). There have been a number of ASUs to date that amend the original text of ASC. The Company believes those issued to date either (i) provide supplemental guidance, (ii) are technical corrections, (iii) are not applicable to the Company or (iv) are not expected to have a significant impact on the Company.

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES

3 Months Ended

Dec. 31, 2015

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES

3. BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES

BASIS OF PRESENTATION

The consolidated financial statements of the Company are unaudited and have been

prepared in accordance with accounting principles generally accepted in the

United States of America for interim financial information, pursuant to the

rules and regulations of the Securities and Exchange Commission. Notes to the

consolidated financial statements which would substantially duplicate the

disclosures contained in the audited financial statements for the most recent

fiscal year 2015 as reported in the Company's Form 10-K have been omitted. The

results of operations for the three month period ended December 31, 2015 and

2014 are not necessarily indicative of the results to be expected for the full

year. In the opinion of management, the consolidated financial statements

include all adjustments, consisting of normal recurring adjustments, necessary

to present fairly the Company's financial position, results of operations and

cash flows. These statements should be read in conjunction with the consolidated

financial statements and related notes which are part of the Company's Annual

Report on Form 10-K for the year ended September 30, 2015.

USE OF ESTIMATES

The preparation of consolidated financial statements in conformity with

accounting principles generally accepted in the United States of America,

requires management to make estimates and assumptions that affect the reported

amounts of assets and liabilities and disclosure of contingent assets and

liabilities at the date of the financial statements and the reported amounts of

revenues and expenses during the reporting periods. Actual results could differ

from those estimates.

NET INCOME (LOSS) PER SHARE

Basic net income (loss) per share is calculated by dividing net income (loss) by

the weighted average common shares outstanding during the period. Diluted net

income (loss) per share reflects the potential dilution to basic net income

(loss) per share that could occur upon conversion or exercise of securities,

options or other such items to common shares using the treasury stock method,

based upon the weighted average fair value of our common shares during the

period. Series A convertible preferred stock totaling 2,763,699 shares have been

excluded in the calculation of diluted net income (loss) per share for the three

months ended December31, 2015 and 2014 as the effect of potential common shares

is antidilutive.

NEW ACCOUNTING PRONOUNCEMENTS

The Financial Accounting Standards Board issues Accounting Standards Updates

("ASUs") to amend the authoritative literature in Accounting Standards

Codification ("ASC"). There have been a number of ASUs to date that amend the

original text of ASC. The Company believes those issued to date either (i)

provide supplemental guidance, (ii) are technical corrections, (iii) are not

applicable to the Company or (iv) are not expected to have a significant impact

on the Company.

AMERICAN SOIL TECHNOLOGIES INC 10-Q