Note 4. Balance Sheet Components

Financing Receivables

The Partnership’s net investment in sales-type leases presented in “Accounts receivable and short-term financing receivables, net” and “Long-term financing receivables, net” on the unaudited condensed consolidated balance sheets is as follows:

	As of
	February 29,			November 30,
(in thousands)	2016			2015
Minimum lease payment receivable, net (1)	$	104,804		$	106,432
Unguaranteed residual value		12,954			12,969
Less: unearned income		(32,851	)		(33,655	)
Net financing receivables	$	84,907		$	85,746
Short-term financing receivables, net (2)	$	2,438		$	2,370
Long-term financing receivables, net	$	82,469		$	83,376

(1)	Allowance for losses on financing receivables was $0.4 million and $0.3 million as of February 29, 2016 and November 30, 2015, respectively.

(2)	Accounts receivable and short-term financing receivables, net on the unaudited condensed consolidated balance sheets includes other trade accounts receivable of $2.2 million and $1.9 million, as of February 29, 2016 and November 30, 2015, respectively.

Current and Non-current Assets

	As of
	February 29,			November 30,
(in thousands)	2016			2015
Prepaid expense and other current assets
Reimbursable network upgrade costs (1)	$	8,232		$	6,535
Other current assets (2)		1,795			1,498
Total	$	10,027		$	8,033
Property and equipment, net
Solar energy systems utility		360,943			361,241
Leased solar energy systems		137,675			137,703
Construction-in-progress (3)		9,767			—
	$	508,385		$	498,944
Less: accumulated depreciation		(16,505	)		(12,002	)
Total	$	491,880		$	486,942

Other long-term assets
Reimbursable network upgrade costs (1)	$	24,698		$	26,142

(1)

In relation to the construction of the Quinto Project, the Predecessor incurred construction costs related to the network upgrade of a transmission grid belonging to a utility company. These costs are reimbursable by the utility company over five years from the date the project reached commercial operation.

(2)

Other current assets included $0.9 million due from SunPower related to system output performance warranties and system repairs in connection with $0.2 million of system output performance warranty accrual and $0.7 million of system repairs accrual recorded in the “Accounts payable and other current liabilities” line item on the unaudited condensed consolidated balance sheets as of both February 29, 2016 and November 30, 2015.

(3)	Construction-in-progress is comprised of project assets related to the Kern Phase 1(a) Assets.

Current and Non-current Liabilities

	As of
	February 29,		November 30,
(in thousands)	2016		2015
Accounts payable and other current liabilities
Trade and accrued accounts payable	$	1,919	$	713
Related party payable (1)		3,667		171
System output performance warranty		226		237
Residential lease system repairs accrual		699		728
Interest payable		31		34
Derivative financial instruments		685		611
Other short-term liabilities		87		118
	$	7,314	$	2,612
Other long-term liabilities
Asset retirement obligations		10,658	$	9,992
Deferred tax liabilities		16,028		12,491
	$	26,686	$	22,483

(1)

Related party payable on the unaudited condensed consolidated balance sheets consists of (i) $3.4 million related to the remaining purchase price payable to SunPower for the Kern Phase 1(a) Acquisition as of February 29, 2016; and (ii) $0.2 million as of both February 29, 2016 and November 30, 2015, for accounts payable to related parties associated with O&M, AMA and MSA fees owed to the Sponsors.