6. Balance Sheet Components

Inventories

Inventories consisted of the following (in thousands):

	June 30, 2018		December 31, 2017
Work in process	$	6,894	$	1,032
Finished goods		188		67
Total inventories	$	7,082	$	1,099

We began capitalizing inventory during each of the quarters ended June 30, 2018 and December 31, 2017 as a result of the FDA’s approval of Andexxa and Bevyxxa, respectively, as the related costs are expected to be recoverable through the commercialization of the product. As of June 30, 2018 and December 31, 2017, prepaid manufacturing on the Condensed Consolidated Balance Sheets represent prepayments of $17.9 million and $2.3 million, respectively, made to manufacturers for the purchase of inventories which we expect to be converted to finished goods within the next twelve months. Prepayment of $9.6 million as of December 31, 2017 is classified as prepaid and other long-term assets as the production is expected after the next twelve months and the amount is deemed recoverable. As of June 30, 2018, there was no prepaid and other-term asset related to manufacturing of inventories.

We established a reserve of $0.6 million for obsolescence inventories, which was charged to cost of sales, during the three months ended June 30, 2018.

Prepaid Expenses and Other Current Assets

Prepaid expenses and other current assets consist of the following (in thousands):

	June 30, 2018		December 31, 2017
Prepaid insurances		1,992		654
Prepaid subscriptions		1,482		1,161
Prepaid other		1,474		528
Interest receivable		849		900
Prepaid rent and maintenance		658		526
Other receivable		353		2,908
Total prepaid expenses and other current assets	$	6,808	$	6,677

Accrued and Other Liabilities

Accrued and other liabilities consist of the following (in thousands):

	June 30, 2018		December 31, 2017
Commercial related	$	3,639	$	1,694
Legal and accounting fees		727		256
Deferred rent		919		879
Current portion of long term obligation to collaborator		451		—
Other		1,720		723
Total accrued and other liabilities	$	7,456	$	3,552