Quarterly report pursuant to Section 13 or 15(d)

Inventory

v3.22.2.2
Inventory
9 Months Ended
Oct. 01, 2022
Inventory Disclosure [Abstract]  
Inventory

Note 4: Inventory

Appliances held for sale are stated at the lower of cost, determined on a specific identification basis, or net realizable value. Inventory raw material – chips, are stated at the lower of average cost or net realizable value. Total inventory consists of the following as of October 1, 2022 and January 1, 2022 (in $000’s):

 

 

 

October 1,
2022

 

 

January 1,
2022

 

Appliances held for resale

 

$

415

 

 

$

1,104

 

Inventory  raw material chips

 

 

 

 

 

105

 

Total inventory

 

$

415

 

 

$

1,209

 

 

The Company provides estimated provisions for the obsolescence of inventories, including adjustments to net realizable value, based on various factors, including the age of such inventory and our management’s assessment of the need for such provisions. The Company reviews historical inventory aging reports and margin analyses in determining our provision estimate. A revised cost basis is used once a provision for obsolescence is recorded. As of October 1, 2022 and January 1, 2022, the Company has recorded no inventory reserve.