Accounts Receivable

12 Months Ended

Dec. 31, 2012

Accounts Receivable [Abstract]

Accounts Receivable

(3) Accounts Receivable

Substantially all receivables are derived from sales and related services, support and maintenance of our products to healthcare IT providers, device manufacturers and pharmaceutical companies located throughout the U.S. and in certain foreign countries as indicated in Note 15.

Our accounts receivable balance is reported net of an allowance for doubtful accounts and for sales returns.  We provide for an allowance for estimated uncollectible accounts and sales returns based upon historical experience and management's judgment.  As of December 31, 2012 and 2011, the allowances for estimated uncollectible accounts and sales returns were $14,074 and $4,080, respectively.

The following table shows the changes in our allowance for doubtful accounts and sales returns.

	Balance at Beginning of Period		Net Additions Charged to Revenue and Expenses		Deductions			Balance at End of Period
For year ended December 31,:
2012	$	4,080		10,523		(529	)	$	14,074
2011	$	1,322		2,766		(8	)	$	4,080
2010	$	1,287		593		(558	)	$	1,322

During the year ended December 31, 2012, we recorded a charge to bad debt expense for $12,051 within general and administrative in our statement of operations primarily due to uncollectible billings from customer contracts obtained through acquisitions in the past few years.

During the fourth quarter of 2012, we recorded a charge of $7,855 related primarily to uncollectible billings from customer contracts obtained through acquisitions in the past few years. The $7,855 related to a change in estimate to our allowance for bad debts and sales returns.  The effect of the change in estimate related to bad debts and sales returns, which was recorded to general and administrative in our statement of operations, was to increase our net loss by $7,855 ($0.09 per share, net of income tax), for the year ended December 31, 2012.