XML 26 R15.htm IDEA: XBRL DOCUMENT v3.7.0.1
2. Basis of Presentation and Significant Accounting Policies: Passur Network (Policies)
9 Months Ended
Jul. 31, 2017
Policies  
Passur Network

PASSUR Network

 

The PASSUR Network is comprised of PASSUR and SMLAT Systems, which include the direct and indirect production, shipping, and installation costs incurred for each PASSUR and SMLAT System, which are recorded at cost, net of accumulated depreciation. The Company capitalized $312,000 and $866,000, of PASSUR Network costs, for the three and nine months ended July 31, 2017, respectively. These amounts exclude $87,000 and $158,000 of inventory purchases related to the PASSUR Network for the three and nine months ended July 31, 2017, respectively.  For the three and nine months ended July 31, 2016, the Company capitalized $174,000 and $512,000, of PASSUR Network costs, respectively. These amounts exclude $31,000 and $86,000 of inventory purchases related to the PASSUR Network for the three and nine months ended July 31, 2016, respectively. Depreciation is charged to cost of revenues and is recorded using the straight-line method over the estimated useful life of the asset, which is estimated at five years for SMLAT Systems and seven years for PASSUR Systems. The Company depreciated $176,000 and $594,000, of PASSUR Network costs, for the three and nine months ended July 31, 2017. For the three and nine months ended July 31, 2016, the Company depreciated $249,000 and $701,000 of PASSUR Network costs, respectively.

 

The net carrying balance of the PASSUR Network as of July 31, 2017, and October 31, 2016, was 6169478$6,169,000 and 5739753$5,740,000, respectively. Included in the net carrying balance as of July 31, 2017, were parts and finished goods for PASSUR and SMLAT Systems totaling $871,000 and $1,612,000, respectively, which have not yet been installed. As of October 31, 2016, $999,900 and $1,767,000 of parts and finished goods for PASSUR and SMLAT systems, respectively, were included in the net carrying balance of the PASSUR Network. PASSUR and SMLAT Systems which are not installed are carried at cost and not depreciated until installed.