4. Accrued Expenses

Accrued expenses at April 30, 2011 and October 31, 2010 consisted of the following (amounts in thousands):


	April 30,		October 31,
	2011		2010
Land, land development and construction	$	105,684	$	110,301
Compensation and employee benefits		88,338		95,107
Insurance and litigation		137,833		143,421
Commitments to unconsolidated entities		70,051		88,121
Warranty		46,321		45,835
Interest		27,463		26,998
Other		50,133		60,538

	$	525,823	$	570,321

The Company accrues for expected warranty costs at the time each home is closed and title and possession are transferred to the home buyer. Costs are accrued based upon historical experience. Changes in the warranty accrual for six-month and three-month periods ended April 30, 2011 and 2010 were as follows (amounts in thousands):


	Six months ended April 30,						Three months ended April 30,
	2011			2010			2011			2010
Balance, beginning of period	$	45,835		$	53,937		$	45,928		$	53,359
Additions — homes closed during the period		3,899			4,005			1,970			1,929
Increase in accruals for homes closed in prior periods		647			604			713			151
Charges incurred		(4,060	)		(5,777	)		(2,290	)		(2,670	)

Balance, end of period	$	46,321		$	52,769		$	46,321		$	52,769