Inventory

9 Months Ended

Sep. 30, 2019

Inventory Disclosure [Abstract]

Inventory

Note 3. Inventory

Inventory, net of allowance, consisted of the following as of the dates indicated:

	September 30,		December 31,
	2019		2018
Raw materials	$	818,796	$	853,228
Work in process		161,184		168,937
Finished goods		211,762		284,444
Inventory, net	$	1,191,742	$	1,306,609

The reserve for shrinkage and excess raw material inventory was $39,403 as of both September 30, 2019 and December 31, 2018. For the three and nine months ended September 30, 2019, the Company recorded adjustments to the provision for excess inventory of $81,582 and $126,582, respectively, compared to $40,307 and $63,840 for the three and nine months ended September 30, 2018, respectively. Adjustments in these periods to the allowance for estimated shrinkage, obsolescence and excess inventory have been included in cost of product and product-related services revenue in the accompanying condensed consolidated statements of operations.

HTG EdgeSeq instruments at customer locations under evaluation agreements are included in finished goods inventory. Finished goods inventory under evaluation as of September 30, 2019 was $57,517 compared to $143,271 as of December 31, 2018.