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8. CONCENTRATIONS AND UNCERTAINTIES
6 Months Ended
Feb. 28, 2015
Risks and Uncertainties [Abstract]  
CONCENTRATIONS AND UNCERTAINTIES

Revenue concentration shows that International sales accounted for 39.8% and 53% of net sales for the six months ended February 28, 2015 and 2014, respectively. Two customers accounted for 10% (a dealer account in Japan representing various customers) and 8% of sales for the six months ended February 28, 2015 compared to one customer (a dealer account in Japan representing various customers) accounting for 10% of sales for the six months ended February 28, 2014.

 

Accounts receivable concentration shows that one customer (a dealer account in Japan representing various customers) comprised 13% of accounts receivable at February 28, 2015, compared to two customers comprising 13% (a dealer account in Japan representing various customers) and 11% of accounts receivable at February 28, 2014.

 

We operate in the computer software industry, which is highly competitive and changes rapidly. Our operating results could be significantly affected by our ability to develop new products and find new distribution channels for new and existing products.

 

The majority of our customers are in the pharmaceutical industry. Consolidation and downsizing in the pharmaceutical industry could have an impact on our revenues and earnings going forward.