Note 9 - Fair Value Measurement

6 Months Ended

Apr. 30, 2013

Fair Value Disclosures [Text Block]

9. FAIR VALUE MEASUREMENT

We utilize a three level hierarchy that defines the assumptions used to measure certain assets and liabilities at fair value.

Cash and cash equivalents, accounts receivable, the current portion of our investment in sales-type leases and notes receivable are not presented as their carrying value approximates fair value due to their short term nature.  It is impracticable to estimate the fair value of the long-term portion of our investment in sales-type leases and notes receivable as it is comprised of many insignificant balances, customers with different credit profiles and various interest rates.  As of April 30, 2013 our investment in sales-type leases and notes receivable had an approximate 5.5% effective interest rate and an approximate 2 year average maturity.

The fair value of our Revolver as of April 30, 2013 has been calculated based on market borrowing rates available as of April 30, 2013 for debt with similar terms and maturities. As of October 31, 2012, there was no amount drawn under our Revolver. The following table provides the fair value measurement information about the Company’s long-term debt.

	Carrying Value April 30, 2013		Fair Value April 30, 2013		Carrying Value October 31, 2012		Fair Value October 31, 2012		Fair Value Hierarchy
Revolver	$	6,000	$	6,000	$	-	$	-	Level 2