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Inventories
 12 Months Ended
Nov. 02, 2019
Inventory Disclosure [Abstract]  
Inventories
NOTE 6 Inventories
The Company acquired a significant amount of repossessed
pre-owned
(Buy Back) inventory in 2011. Other
pre-owned
homes are periodically acquired (Repossessions) as a convenience to the Company’s joint venture partner.
Pre-owned
homes are also taken as
trade-ins
on new home sales
(Trade-Ins).
This inventory consists of individual homes and homes on a real estate parcel. The Company continually monitors this inventory and records a valuation allowance where necessary on a unit specific basis which management believes results in inventory being valued at market. The Company could experience additional losses on the disposition of these homes beyond the level of the reserve recorded by the Company.
 
A breakdown of the elements of inventory at November 2, 2019 and November 3, 2018 is as follows:
 
   November 2, 2019   November 3, 2018 
Raw materials
  $941,206   $904,399 
Work-in-process
   125,371    113,220 
Inventory consigned to affiliated entities
 
 
 
 
1,540,949
 
 
 
 
1,140,982
 
Finished homes
   7,888,879    4,998,004 
Model home furniture
   120,372    113,946 
   
 
 
   
 
 
 
Inventories
  $10,616,778   $7,270,550 
   
 
 
   
 
 
 
Pre-owned
homes *
  $1,311,626   $1,956,265 
Inventory impairment reserve **
   (172,395)    (549,434) 
   
 
 
   
 
 
 
    1,139,231    1,406,831 
Less homes expected to sell in 12 months
   (331,103)    (933,640) 
   
 
 
   
 
 
 
Pre-owned
homes, long-term
  $808,128   $473,191 
   
 
 
   
 
 
 
 
*
The following table summarizes a breakdown of
pre-owned
homes inventory for fiscal years 2019 and 2018:
 
   Buy Back   Repossessions   
Trade-Ins
   Total 
Balance at November 4, 2017
   1,412,902    1,263,927    60,117    2,736,946 
Additions
   —      498,831    95,428    594,259 
Sales
   (697,154)    (607,115)    (70,671)    (1,374,940) 
   
 
 
   
 
 
   
 
 
   
 
 
 
Balance at November 3, 2018
   715,748    1,155,643    84,874    1,956,265 
Additions
   —      253,600    18,860    272,460 
Sales
   (573,353)    (316,496)    (27,250)    (917,099) 
   
 
 
   
 
 
   
 
 
   
 
 
 
Balance at November 2, 2019
  $142,395   $1,092,747   $76,484   $1,311,626 
   
 
 
   
 
 
   
 
 
   
 
 
 
 
**
An analysis of the
pre-owned
home inventory impairment reserve at November 2, 2019 and November 3, 2018 is as follows:
 
   November 2, 2019   November 3, 2018 
Balance at beginning of year
  $549,434   $779,725 
Less: Reductions for homes sold
   (207,180)    (253,314) 
Inventory holding costs
   (36,232)    (81,977) 
Additions (reduction) to impairment reserve
   (133,627)    105,000 
   
 
 
   
 
 
 
Balance at end of year
  $172,395   $549,434