Unit of account - If the Warrants are exercised, there would be no extinguishment of Preferred Stock. While the Company is not currently an SEC registrant, it is contemplating a potential registration of its shares of Common Stock and therefore applies the SEC and SEC st guidance codified in ASC 480-10-899 of ASC 480, Distinguishing Liabilities From Equity (ASC 480) to determine whether the Preferred Stock should be classified outs of permanent equity