8. PRODUCT WARRANTIES

6 Months Ended

Nov. 30, 2020

Product Warranties Disclosures [Abstract]

8. PRODUCT WARRANTIES

8. PRODUCT WARRANTIES

    The Company provides for the estimated cost of product warranties at the time revenues are recognized on the products shipped. While the Company engages in extensive product quality programs and processes, including actively monitoring and evaluating the quality of its component suppliers, the Company’s warranty obligation is affected by product failure rates, material usage and service delivery costs incurred in correcting a product failure. Should actual product failure rates, material usage or service delivery costs differ from the Company’s estimates, revisions to the estimated warranty liability would be required.

    The standard warranty period is one year for systems and ninety days for parts and service.

    The following is a summary of changes in the Company's liability for product warranties during the three and six months ended November 30, 2020 and 2019 (in thousands):

	Three Months Ended						Six Months Ended
	November 30,						November 30,
	2020			2019			2020			2019
Balance at the beginning of the period	$	330		$	192		$	246		$	154
Accruals for warranties issued during the period		113			79			192			141
Adjustments to previously existing warranty accruals		11			—			87			—
Consumption of reserves		(210	)		(81	)		(281	)		(105	)
Balance at the end of the period	$	244		$	190		$	244		$	190

    The accrued warranty balance is included in accrued expenses on the accompanying condensed consolidated balance sheets.