Quarterly report pursuant to Section 13 or 15(d)

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($)
 6 Months Ended
Apr. 30, 2018
Apr. 30, 2017
Reconciliation of net loss to net cash used in operating activities:    
Net loss $ (3,257,988) $ (1,428,771)
Stock option compensation to employees and directors 472,532 451,655
Stock option compensation to consultants 126,151
Common stock issued to consultants 15,002 17,811
Depreciation of property and equipment 7,369 21,278
Amortization of patents 162,648 162,648
Accretion of interest on patent acquisition obligations to interest expense 228,026
Gain on extinguishment of patent acquisition obligation (1,547,608)
Issuance of noncontrolling interest in Certainty Therapeutics, Inc. expensed as a license fee 64,656
Change in operating assets and liabilities:    
Prepaid expenses and other current assets (123,615) 97,422
Accounts payable (28,218) 75,129
Accrued expenses 478,982 116,138
Net cash used in operating activities (2,082,481) (1,806,272)
Cash flows from investing activities:    
Disbursements to acquire short-term investments in certificates of deposit (1,250,000) (2,250,000)
Proceeds from maturities of short-term investments in certificates of deposit 3,500,000 750,000
Purchase of property and equipment (11,813) (14,121)
Net cash provided by (used in) investing activities 2,238,187 (1,514,121)
Cash flows from financing activities:    
Redemption of convertible preferred stock (500,000)
Proceeds from sale of common stock through a rights offering to shareholders 4,203,302
Proceeds from sale of common stock in at-the-market offering 677,370
Proceeds from exercise of employee stock options 5,665
Net cash provided by financing activities 677,370 3,708,967
Net increase in cash and cash equivalents 833,076 388,574
Cash and cash equivalents at beginning of period 3,339,374 2,488,323
Cash and cash equivalents at end of period 4,172,450 2,876,897
Supplemental disclosure of non-cash financing and investing activities:    
Redemption of Series A convertible preferred stock into secured debenture (Note 7) (3,000,000)
Common stock issued to pay patent acquisition obligation (Note 6) (4,399,902)
Issuance of non-controlling interest in Certainty Therapeutics, Inc $ 64,656