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Significant Accounting Policies (Policies)
3 Months Ended
Apr. 30, 2020
Accounting Policies [Abstract]  
Basis of Accounting, Policy [Policy Text Block]
Basis of Presentation
 
In the opinion of management, the accompanying unaudited Condensed Consolidated Financial Statements fairly present the financial information contained therein. These statements have been prepared in accordance with generally accepted accounting principles in the United States of America (GAAP) for interim financial information and with the instructions to Form
10
-Q and Article
10
of Regulation S-
X.
  The financial statements and footnotes are unaudited.  In management’s opinion, all necessary adjustments, consisting of normal, recurring and non-recurring adjustments, have been included in the accompanying Condensed Consolidated Financial Statements to present fairly the financial position and operating results of QAD Inc. (QAD or the Company). The Condensed Consolidated Financial Statements do
not
include all disclosures required by GAAP annual financial statements and should be read in conjunction with the audited financial statements and related notes included in the Company’s Annual Report on Form
10
-K for the year ended
January 31, 2020.
The Condensed Consolidated Financial Statements include the results of the Company and its wholly owned subsidiaries. Because of seasonal and other factors, results of operations for the
three
months ended
April 30, 2020
are
not
necessarily indicative of the results to be expected for the year ending
January 31, 2021.
 
The Company’s accounting policies are set forth in detail in Note
1
of the Notes to Consolidated Financial Statements in the Company’s Annual Report on Form
10
-K for the year ended
January 
31,
2020
filed with the Securities and Exchange Commission. Such Annual Report also contains a discussion of the Company’s critical accounting policies and estimates. The Company believes that these accounting policies and estimates affect its more significant estimates and judgments used in the preparation of the Company’s consolidated financial statements. There have been
no
material changes to the Company’s accounting policies except as described below upon adoption of ASU
2016
-
13,
Financial Instruments-Credit Losses.
 
New Accounting Pronouncements, Policy [Policy Text Block]
Recent Accounting Pronouncements
 
Except as discussed below, there have been
no
recent changes in accounting pronouncements issued by the Financial Accounting Standards Board (FASB) or adopted by the Company during the 
three
months ended 
April 30, 2020,
that are of significance, or potential significance, to the Company.
 
Recent Accounting Pronouncements Adopted
 
In
January 2017,
the FASB issued ASU
2017
-
04,
Simplifying the Test for Goodwill Impairment
, that eliminates “Step
2”
from the goodwill impairment test. QAD adopted the new standard on
February 1, 2020,
the
first
day of fiscal
2021.
The new standard did
not
have an impact on the Company’s condensed consolidated financial statements.
 
In
June 2016,
the FASB issued ASU
2016
-
13,
Financial Instruments-Credit Losses (Topic
326
): Measurement of Credit Losses on Financial Instruments
, which requires the measurement and recognition of expected credit losses for financial assets held at amortized cost, which includes the Company's accounts receivables and contract assets. QAD adopted the new standard on
February 1, 2020,
the
first
day of fiscal
2021,
using the modified retrospective approach. The adoption of this standard did
not
have a material impact on QAD’s condensed consolidated financial statements. The Company’s expected loss allowance methodology for accounts receivable is developed using historical collection experience, consideration of current and anticipated future economic conditions and other relevant data.
 
In
August 2018,
the FASB issued ASU 
2018
-
15,
 
Intangibles-Goodwill and Other-Internal-Use Software (Subtopic
350
-
40
): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract
, which aligns the accounting for implementation costs incurred in a hosting arrangement that is a service contract with the accounting for implementation costs incurred to develop or obtain internal-use software under ASC
350
-
40,
in order to determine which costs to capitalize and recognize as an asset and which costs to expense. The Company adopted the new standard on
February 1, 2020,
the
first
day of fiscal
2021.
The adoption of this standard did
not
have a material impact on QAD’s condensed consolidated financial statements.
 
Recent Accounting Pronouncements
Not
Yet Adopted
  
In
December 2019,
the FASB issued new guidance which is intended to simplify various aspects to accounting for income taxes by removing certain exceptions to the general principles in Topic
740
for recognizing deferred taxes for investments, performing an intraperiod allocation and calculating income taxes in interim periods. The amendment also clarifies and amends certain areas of existing guidance to reduce complexity and improve consistency in application of Topic
740.
The new standard is effective for fiscal years beginning after
December 15, 2020.
Early adoption is permitted, including adoption in any interim period for which financial statements have
not
yet been issued. Generally, the topics must be applied prospectively upon adoption, with the exception of certain topics which are required to be applied on a retrospective or modified retrospective basis. The Company is evaluating the impact, if any, of adopting this new accounting guidance on its financial statements.