2. Basis of Presentation and Significant Accounting Policies: PASSUR Network (Policies)	6 Months Ended
Apr. 30, 2019
Policies
PASSUR Network	PASSUR Network The PASSUR Network is comprised of PASSUR and SMLAT Systems, which includes 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 $61,000 of PASSUR Network costs for both the three and six months ended April 30, 2019. Additionally, the Company used $13,000 and $22,000 of PASSUR Network parts for repairs during the three and six months ended April 30, 2019, respectively, and did not make any material purchases of parts during the same period. Depreciation expenses related to the Company-owned PASSUR Network was $210,000 and $416,000 for the three and six months ended April 30, 2019, 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. For the three and six months ended April 30, 2018, the Company capitalized $58,000 and $125,000, respectively, of PASSUR Network costs. Additionally, the Company purchased parts for the PASSUR Network totaling $20,000 and $72,000 and used $7,000 and $11,000 of PASSUR Network parts for repairs during the three and six months ended April 30, 2018, respectively. Depreciation expenses related to the Company-owned PASSUR Network was $176,000 and $352,000 for the three and six months ended April 30, 2018, respectively. The net carrying balance of the PASSUR Network as of April 30, 2019, and October 31, 2018, was $4,426,000 and $4,801,000, respectively. Included in the net carrying balance as of April 30, 2019 and October 31, 2018, were parts and finished goods for the PASSUR Network totaling $1,857,000 and $1,892,000, respectively, which have not yet been installed. PASSUR Network assets which are not installed are carried at cost and not depreciated until installed.

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

6 Months Ended

Apr. 30, 2019

PASSUR Network

The PASSUR Network is comprised of PASSUR and SMLAT Systems, which includes 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 $61,000 of PASSUR Network costs for both the three and six months ended April 30, 2019. Additionally, the Company used $13,000 and $22,000 of PASSUR Network parts for repairs during the three and six months ended April 30, 2019, respectively, and did not make any material purchases of parts during the same period.

Depreciation expenses related to the Company-owned PASSUR Network was $210,000 and $416,000 for the three and six months ended April 30, 2019, 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.

For the three and six months ended April 30, 2018, the Company capitalized $58,000 and $125,000, respectively, of PASSUR Network costs. Additionally, the Company purchased parts for the PASSUR Network totaling $20,000 and $72,000 and used $7,000 and $11,000 of PASSUR Network parts for repairs during the three and six months ended April 30, 2018, respectively.

Depreciation expenses related to the Company-owned PASSUR Network was $176,000 and $352,000 for the three and six months ended April 30, 2018, respectively.

The net carrying balance of the PASSUR Network as of April 30, 2019, and October 31, 2018, was $4,426,000 and $4,801,000, respectively. Included in the net carrying balance as of April 30, 2019 and October 31, 2018, were parts and finished goods for the PASSUR Network totaling $1,857,000 and $1,892,000, respectively, which have not yet been installed. PASSUR Network assets which are not installed are carried at cost and not depreciated until installed.