Acquisitions

12 Months Ended

Dec. 31, 2014

Business Combinations [Abstract]

Acquisitions

7. Acquisitions

We account for our acquisitions in accordance with ASC 805, Business Combinations, which requires allocation of the purchase price to tangible and identifiable intangible assets acquired and liabilities assumed based on the fair value at the date of purchase.  All acquisition related costs are expensed as incurred and recorded in operating expenses.  We include operations associated with acquisitions from the date of acquisition forward.

Included in our 2012 Consolidated Statements of Cash Flows are payments related to our 2011 acquisition of HumanConcepts and our 2010 acquisition of Galaxy Technologies, Inc. During 2012, we paid $1.2 million related to the HumanConcepts acquisition and $1.4 million related to Galaxy Technologies, Inc. acquisition, based on the terms of their respective agreements.