4. ACCOUNTS RECEIVABLE

3 Months Ended

Jul. 31, 2011

Receivables, Policy [Policy Text Block]

4.  ACCOUNTS RECEIVABLE

Accounts receivable is recorded at the invoiced amount net of an allowance for doubtful accounts, if necessary.  Trade and other receivables primarily include amounts billed for contract manufacturing services provided by Avid (“trade” receivables).  Government contract receivables include amounts billed under a former contract with the Transformational Medical Technologies (“TMT”) of the U.S. Department of Defense’s Defense Threat Reduction Agency, which expired on April 15, 2011.

These receivables are evaluated to determine if any allowance for doubtful accounts should be established at each reporting date.   Based on our analysis of our receivables as of July 31, 2011 and April 30, 2011, we determined an allowance for doubtful accounts of $20,000 and $20,000, respectively, was necessary with respect to trade and other receivables.