2. Basis of Presentation and Significant Accounting Policies: PASSUR Network (Policies)	3 Months Ended
Jan. 31, 2020
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 did not capitalize any costs related to the PASSUR Network for the three months ended January 31, 2020. Additionally, the Company did not purchase any parts for the PASSUR Network and used $9,300 of parts for repairs during the three months ended January 31, 2020. For the three months ended January 31, 2019, the Company capitalized $61,000 of PASSUR Network costs. Additionally, the Company purchased parts for the PASSUR Network totaling $1,000 and used $9,000 of parts for repairs during the three months ended January 31, 2019. Depreciation expenses related to the Company-owned PASSUR Network was $226,000 and $205,000 for the three months ended January 31, 2020 and 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. The net carrying balance of the PASSUR Network as of January 31, 2020, and October 31, 2019, was $3,714,000 and $3,949,000, respectively. Included in the net carrying balance as of January 31, 2020 and October 31, 2019, were parts and finished goods for the PASSUR Network totaling $1,822,000 and $1,831,000 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)

3 Months Ended

Jan. 31, 2020

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 did not capitalize any costs related to the PASSUR Network for the three months ended January 31, 2020. Additionally, the Company did not purchase any parts for the PASSUR Network and used $9,300 of parts for repairs during the three months ended January 31, 2020. For the three months ended January 31, 2019, the Company capitalized $61,000 of PASSUR Network costs. Additionally, the Company purchased parts for the PASSUR Network totaling $1,000 and used $9,000 of parts for repairs during the three months ended January 31, 2019. Depreciation expenses related to the Company-owned PASSUR Network was $226,000 and $205,000 for the three months ended January 31, 2020 and 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. The net carrying balance of the PASSUR Network as of January 31, 2020, and October 31, 2019, was $3,714,000 and $3,949,000, respectively. Included in the net carrying balance as of January 31, 2020 and October 31, 2019, were parts and finished goods for the PASSUR Network totaling $1,822,000 and $1,831,000 respectively, which have not yet been installed. PASSUR Network assets which are not installed are carried at cost and not depreciated until installed.