Quarterly report pursuant to sections 13 or 15(d)

Summary of Significant Accounting Policies (Tables)

Summary of Significant Accounting Policies (Tables)

3 Months Ended

Mar. 31, 2013

The allowance for bad debts for the three months ended March 31, 2013 comprises the following:


Allowance for doubtful accounts at January 1	$	56,931
Additions		—
Write-offs		—

Allowance for doubtful accounts at March 31	$	56,931

Estimated Useful Lives of Property and Equipment

The estimated useful lives of property and equipment are as follows:


		Estimated useful lives
Machinery and equipment		3-20 years
Furniture and fixtures		5-7 years
Computers and software		3-7 years
Leasehold improvements		Lesser of lease term or estimated useful life

Changes in Warranty Liability

Changes in the warranty liability for the three months ended March 31, 2013 are as follows:


Warranty reserves at January 1	$	345,974
Provisions for current period sales		119,115
Current year claims		(40,400	)

Warranty reserves at March 31	$	424,689

Valuation Assumptions used in Computation of Stock Option Expense

For the three months ended March 31, 2012, the Company computed expense for each group utilizing the following assumptions:


		Three Months Ended March 31, 2012
Expected volatility		81.1%
Weighted-average volatility		81.1%
Risk-free interest rate		0.4%
Expected dividend		0%
Expected life in years		3.5 – 8.6

- Definition

Tabular disclosure of the useful life and salvage value of long-lived, physical assets that are used in the normal conduct of business to produce goods and services and not intended for resale. Examples include land, buildings, machinery and equipment, and other types of furniture and equipment including, but not limited to, office equipment, furniture and fixtures, and computer equipment and software.

+ References + Details