Equipment and Leasehold Improvements, Net

6 Months Ended

Dec. 31, 2019

Property, Plant and Equipment [Abstract]

Equipment and Leasehold Improvements, Net

NOTE 6. EQUIPMENT AND LEASEHOLD IMPROVEMENTS

Equipment and leasehold improvements are stated at cost. Depreciation and amortization are provided using the straight-line method over the estimated useful lives for equipment and furniture and fixtures, or the shorter of the remaining lease term or estimated useful lives for leasehold improvements. Equipment and leasehold improvements consisted of the following:

	December 31, 2019			June 30, 2019			Estimated Useful Life
	(in thousands)
Factory equipment	$	2,558		$	2,558		2-10 years
Computer equipment and software		1,051			1,050		5-7 years
Office equipment and furniture		205			205		5-7 years
Leasehold improvements		446			446		10 years
Project in process		93			83
Subtotal		4,353			4,342
Accumulated depreciation		(3,629	)		(3,550	)
Equipment and leasehold improvements, net	$	724		$	792

Management reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying value of such assets may not be recoverable. Recoverability of these assets is measured by a comparison of the carrying amount to forecasted undiscounted future cash flows expected to be generated by the asset. If the carrying amount exceeds its estimated future cash flows, then an impairment charge is recognized to the extent that the carrying amount exceeds the asset’s fair value. Management has determined no asset impairment occurred during the six months ended December 31, 2019.