Accrued expenses and other current liabilities

12 Months Ended

Mar. 28, 2021

Accrued expenses and other current liabilities

Accrued expenses and other current liabilities

Note 5. Accrued expenses and other current liabilities

Accrued expenses and other current liabilities consisted of the following:

	March 28, 2021		March 29, 2020
Returns Reserve	$	1,967,300	$	3,440,100
Other Accrued Expenses		945,000		804,300
Total Accrued Expenses and other current liabilities	$	2,912,300	$	4,244,400

The amount of expected returns are recognized as a refund liability within the Accrued expenses and other current liabilities line item on the Consolidated Balance Sheets. This liability represents the obligation to return customer consideration. The value of the expected goods returned by customers is recognized as a return asset within the Prepaid expenses and other current assets line item of the Consolidated Balance Sheets. The return asset value is initially measured at the former carrying amount in inventory, less any expected costs to recover the goods. The Company expects products returned by customers to be in new and salable condition, as required by our standard terms and conditions, and therefore impairment of the return asset is unlikely. Changes to the return liability are recorded as revenue adjustments and changes to the return asset are recorded as reductions to cost of goods sold. As of March 28, 2021, the return asset and return liability amounts were $1.0 million and $2.0 million, respectively. As of March 29, 2020, the return asset and return liability amounts were $2.7 million and $3.4 million, respectively.