WARRANTY

3 Months Ended

Sep. 30, 2015

Product Warranties Disclosures [Abstract]

Warranty Accrual

NOTE 5. WARRANTY

The warranty accrual is based on historical costs of warranty repairs and expected future identifiable warranty expenses, and is included in accrued expenses in the accompanying consolidated balance sheets. As of September 30, 2015 and June 30, 2015, the warranty reserve amounted to $312,000 and $261,000, respectively. Warranty expenses are included in cost of sales in the accompanying consolidated statements of operations. Changes in estimates to previously established warranty accruals result from current period updates to assumptions regarding repair costs and warranty return rates, and are included in current period warranty expense.

Information regarding the accrual for warranty costs for the three months ended September 30, 2015 and 2014 are as follows (in thousands):

	As of and for the  Three Months Ended September 30,
	2015			2014
Beginning balance	$	261		$	237
Accruals during the period		95			70
Changes in estimates of prior period warranty accruals		9			(75	)
Warranty amortization		(53	)		(19	)
Ending balance	$	312		$	213