Inventories

3 Months Ended

Mar. 31, 2012

Inventories [Abstract]

Inventories

9. Inventories

Inventories consist principally of compact disks (“CDs”), boxes and manuals and are stated at the lower of cost (determined by the first-in, first-out method) or market. The Company regularly reviews its inventory quantities on hand and records a provision for excess and obsolete inventory based primarily on management’s forecast of product demand and production requirements. At March 31, 2012, our net inventory balance consisted of approximately $0.2 million of assembled products and $0.1 million of components.