7. CONCENTRATIONS AND UNCERTAINTIES	6 Months Ended
Feb. 28, 2018
Risks and Uncertainties [Abstract]
CONCENTRATIONS AND UNCERTAINTIES	Financial instruments that potentially subject the Company to concentration of credit risk consist principally of cash, cash equivalents, and trade accounts receivable. The Company holds cash and cash equivalents at banks located in California and North Carolina with balances that often exceed FDIC insured limits. Historically, the Company has not experienced any losses in such accounts and believes it is not exposed to any significant credit risk on cash and cash equivalents. However, considering the current banking environment, the Company is investigating alternative ways to minimize its exposure to such risks. While the Company may be exposed to credit losses due to the nonperformance of its counterparties, the Company does not expect the settlement of these transactions to have a material effect on its results of operations, cash flows, or financial condition. The Company maintains cash at financial institutions that may, at times, exceed federally insured limits. At February 28, 2018 the Company had cash and cash equivalents exceeding insured limits by $5,957,000. Revenue concentration shows that international sales accounted for 41% and 36% of net sales for the six months ended February 28, 2018 and 2017, respectively. Three customers accounted for 7% (a dealer account in Japan representing various customers), 7%, and 5% of net sales during the six months ended February 28, 2018. Four customers accounted for 7% (a dealer account in Japan representing various customers), 6%, 6%, and 6% of sales for the six months ended February 28, 2017. Accounts receivable concentration shows that six customers comprised 13%, 7% (a dealer account in Japan representing various customers), 7%, 6%, 6%, and 5% of accounts receivable at February 28, 2018, compared to two customers comprised 9.1% and 8.6% (a dealer account in Japan representing various customers) of accounts receivable at February 28, 2017. 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.

7. CONCENTRATIONS AND UNCERTAINTIES

6 Months Ended

Feb. 28, 2018

Financial instruments that potentially subject the Company to concentration of credit risk consist principally of cash, cash equivalents, and trade accounts receivable. The Company holds cash and cash equivalents at banks located in California and North Carolina with balances that often exceed FDIC insured limits. Historically, the Company has not experienced any losses in such accounts and believes it is not exposed to any significant credit risk on cash and cash equivalents. However, considering the current banking environment, the Company is investigating alternative ways to minimize its exposure to such risks. While the Company may be exposed to credit losses due to the nonperformance of its counterparties, the Company does not expect the settlement of these transactions to have a material effect on its results of operations, cash flows, or financial condition. The Company maintains cash at financial institutions that may, at times, exceed federally insured limits. At February 28, 2018 the Company had cash and cash equivalents exceeding insured limits by $5,957,000.

Revenue concentration shows that international sales accounted for 41% and 36% of net sales for the six months ended February 28, 2018 and 2017, respectively. Three customers accounted for 7% (a dealer account in Japan representing various customers), 7%, and 5% of net sales during the six months ended February 28, 2018. Four customers accounted for 7% (a dealer account in Japan representing various customers), 6%, 6%, and 6% of sales for the six months ended February 28, 2017.

Accounts receivable concentration shows that six customers comprised 13%, 7% (a dealer account in Japan representing various customers), 7%, 6%, 6%, and 5% of accounts receivable at February 28, 2018, compared to two customers comprised 9.1% and 8.6% (a dealer account in Japan representing various customers) of accounts receivable at February 28, 2017.

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.