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Significant Estimates and Assumptions
9 Months Ended
Sep. 30, 2012
Significant Estimates and Assumptions [Abstract]  
Significant Estimates and Assumptions
Significant Estimates and Assumptions
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of sales and expenses during the reporting periods. As described in the Company's annual report on Form 10-K, the most significant estimates and assumptions by management affect the Company’s revenue recognition, valuation of accounts receivable, valuation of inventory, assumptions used to determine fair value of goodwill and intangible assets, deferred tax assets and related valuation allowance, stock-based compensation, warranty and accounting for contingencies. The Company has reviewed these estimates and determined that these, as well as the additional revenue recognition discussion below, remain the most significant estimates for the quarter ended September 30, 2012.
Although the Company regularly assesses these estimates, actual results could differ materially from these estimates. Changes in estimates are recorded in the period in which they become known. The Company bases its estimates on historical experience and various other assumptions that it believes to be reasonable under the circumstances.
Multiple-Element Revenue Arrangement
The Company has accounted for its $35,600 contract received in June 2012 for the Saudi Arabian National Guard to sell TACNAV defense products and services under ASC 605-25, Multiple-Element Arrangements.  When a sale arrangement involves multiple deliverables, such as the sale of products that include installation, facility construction and program management services, the Company evaluates the arrangement to determine whether there are separate items that are required to be delivered under the arrangement that qualify as separate units of accounting.  The Company uses vendor-specific objective evidence or VSOE, if available, to determine the selling price of each element.  If VSOE is not available, the Company uses third-party evidence, or TPE to determine the selling price.  If TPE is not available, the Company's best estimate is used to develop the estimated selling price. Revenue is recognized when the recognition criteria for each unit of accounting are met. 
The total contract value associated with TACNAV defense products is $21,200 for which shipments are estimated to continue through the fourth quarter of 2012 and the first half of 2013.  Revenue is recognized for these product sales after transfer of title and risk of loss when inspection occurs.  The total contract value associated with all services is $14,400 which are estimated to continue through the fourth quarter 2012 until 2014.  The revenue for these services is recognized using the percentage of completion accounting method. The Company limits the amount of revenue recognized for delivered elements to the amount that is not contingent on the future delivery of products or services, future performance obligations, or subject to customer-specific return or refund privileges.  Total revenue recognized on the Saudi Arabian National Guard contract through September 30, 2012, was approximately $7,300 which was all recognized in the third quarter of 2012.