Summary of Significant Accounting Policies and Significant Judgments and Estimates (Tables)

3 Months Ended

Dec. 29, 2012

Financial Instruments Fair Value

The following table sets forth by level, within the fair value hierarchy, the financial instruments carried at fair value as of December 29, 2012 and September 29, 2012, in accordance with the fair value hierarchy as defined above.

			Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs
	Total		(Level 1)		(Level 2)
December 29, 2012 (Unaudited)
Debt and certificates of deposits:
Municipal bonds	$	1,965,314	$	—	$	1,965,314
Certificates of deposit		2,739,790		—		2,739,790
Total debt instruments		4,705,104		—		4,705,104
Mutual funds:
Money market funds		907,871		907,871		—
Total mutual funds		907,871		907,871		—
Total investments	$	5,612,975	$	907,871	$	4,705,104
September 29, 2012
Debt and certificates of deposits:
Municipal bonds	$	1,925,371	$	—	$	1,925,371
Certificates of deposit		2,743,493		—		2,743,493
Total debt instruments		4,668,864		—		4,668,864
Mutual funds:
Money market funds		1,340,440		1,340,440		—
Total mutual funds		1,340,440		1,340,440		—
Total investments	$	6,009,304	$	1,340,440	$	4,668,864

Assumptions for Estimated Fair Value of Options at Date of Grant

The fair value of options at date of grant was estimated with the following assumptions (unaudited):

	Three Months Ended
	December 29, 2012			December 24, 2011
Option term		6.5 years			6.5 years
Risk-free interest rate		0.71	%		0.94	%
Stock price volatility		66	%		68	%
Dividend yield		—			4	%

Share-Based Compensation Costs

The following table summarizes share-based compensation costs included in the Company’s condensed consolidated income statements for the three month periods ended December 29, 2012 and December 24, 2011 (unaudited):

	December 29, 2012		December 24, 2011
Cost of sales	$	4,074	$	4,063
Selling, general and administrative expenses		11,967		13,927
Product development expenses		28,874		30,078
Total share-based compensation expense before taxes	$	44,915	$	48,068

Stock Option Activity

The following table summarizes stock option activity during the first three months of fiscal 2013 (unaudited):

	Options Outstanding
	Number of Shares									Weighted Average Exercise Price		Weighted Average Contractual Life
	Unvested			Vested			Total
Outstanding, September 29, 2012		93,418			151,784			245,202		$	9.12		6.99 years
Grants		1,000			—			1,000			5.40
Vested		(1,400	)		1,400			—			8.40
Cancellations/forfeitures		(1,257	)		(838	)		(2,095	)		11.51
Outstanding, December 29, 2012		91,761			152,346			244,107		$	9.09		6.75 years

Stock Options Vested and Expected to Vest

Information related to the stock options vested and expected to vest as of December 29, 2012 is as follows (unaudited):

Range of Exercise Prices	Number of Shares		Weighted- Average Remaining Contractual Life (years)		Weighted Average Exercise Price		Exercisable Number of Shares		Exercisable Weighted- Average Exercise Price
$  0.01 - $  1.00		600		0.37	$	0.99		600	$	0.99
$  2.01 - $  3.00		15,288		2.69	$	3.00		15,288	$	3.00
$  3.01 - $  4.00		16,600		3.57	$	3.66		16,600	$	3.67
$  4.01 - $  5.00		13,400		5.95	$	4.90		11,900	$	4.90
$  5.01 - $10.00		54,400		6.49	$	7.43		44,740	$	7.47
$10.01 - $15.00		143,819		7.74	$	11.41		63,218	$	11.30
		244,107		6.75	$	9.09		152,346	$	7.97