Warranty Reserves

9 Months Ended

Sep. 30, 2012

Warranty Reserves [Abstract]

Warranty Reserves

7. Warranty Reserves

Reserves are provided for the estimated warranty costs when revenue is recognized. The costs of warranty obligations are estimated based on warranty policy or applicable contractual warranty, historical experience of known product failure rates and use of materials and service delivery charges incurred in correcting product failures. Specific warranty accruals may be made if unforeseen technical problems arise. If actual experience, relative to these factors, significantly differs from these estimates, additional warranty expense may be required.

The following table below shows the changes in accrued warranty expense for the three and nine months ended September 30, 2011 and 2012:

	For the three months ended						For the nine months ended
	September 30,						September 30,
	2011			2012			2011			2012
	(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)
Beginning balance	$	172,583		$	140,307		$	155,918		$	135,708
Additions		62,241			21,939			196,354			71,897
Usage		(62,056	)		(4,331	)		(179,504	)		(49,690	)
Ending balance	$	172,768		$	157,915		$	172,768		$	157,915