2. Basis of Presentation and Significant Accounting Policies: Passur Network (Policies)	3 Months Ended
Jan. 31, 2018
Policies
Passur Network	PASSUR Network The PASSUR Network is comprised of PASSUR and SMLAT Systems (collectively known as the “PASSUR Network”), which include the direct production, shipping, and installation costs incurred for each PASSUR and SMLAT System, which are recorded at cost, net of accumulated depreciation. The Company capitalized $67,000 of PASSUR Network costs, for the three months ended January 31, 2018. This amount excludes $48,000 of parts purchased, related to the PASSUR Network, for the three months ended January 31, 2018. For the three months ended January 31, 2017, the Company capitalized $69,000, of PASSUR Network costs. This amount excludes $31,000 of parts purchased related to the PASSUR Network for the three months ended January 31, 2017. Depreciation expenses related to the Company-owned PASSUR Network was $176,000 and $173,000 for the three months ended January 31 2018 and 2017, 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 net carrying balance of the PASSUR Network as of January 31, 2018, and October 31, 2017, was 5942861 $5,943,000 and 6004367 $6,004,000, respectively. Included in the net carrying balance as of January 31, 2018, were parts and finished goods for PASSUR and SMLAT Systems totaling $1,630,000 and $614,000, respectively, which have not yet been installed. As of October 31, 2017, $1,636,000 and $642,000 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.

2. Basis of Presentation and Significant Accounting Policies: Passur Network (Policies)

3 Months Ended

Jan. 31, 2018

PASSUR Network

The PASSUR Network is comprised of PASSUR and SMLAT Systems (collectively known as the “PASSUR Network”), which include the direct production, shipping, and installation costs incurred for each PASSUR and SMLAT System, which are recorded at cost, net of accumulated depreciation. The Company capitalized $67,000 of PASSUR Network costs, for the three months ended January 31, 2018. This amount excludes $48,000 of parts purchased, related to the PASSUR Network, for the three months ended January 31, 2018. For the three months ended January 31, 2017, the Company capitalized $69,000, of PASSUR Network costs. This amount excludes $31,000 of parts purchased related to the PASSUR Network for the three months ended January 31, 2017. Depreciation expenses related to the Company-owned PASSUR Network was $176,000 and $173,000 for the three months ended January 31 2018 and 2017, 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 net carrying balance of the PASSUR Network as of January 31, 2018, and October 31, 2017, was 5942861 $5,943,000 and 6004367 $6,004,000, respectively. Included in the net carrying balance as of January 31, 2018, were parts and finished goods for PASSUR and SMLAT Systems totaling $1,630,000 and $614,000, respectively, which have not yet been installed. As of October 31, 2017, $1,636,000 and $642,000 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.