Note

Supplemental Balance-sheet Information

Receivables

Contract and other

receivables consisted of the following (in

‘000’s

	December 31, 2017			December 31, 2016
Contract and other receivables	$	998		$	2,393
Allowance for doubtful accounts		(8	)		(4	)
Contract and other receivables, net	$	990		$	2,389

Inventories

We state inventories at the lower of cost or net realizable value, using the

first

-in-

first

-out-method

(in

‘000’s

) as follows:

	December 31, 2017			December 31, 2016
Raw materials		136			61
Less: Reserve		(2	)		(2	)
Inventories, net	$	134		$	59

Goodwill and Intangible Assets

Goodwill and Intangible Assets consisted of the following (in

‘000’s

	December 3 1 , 201 7					December 31, 201 6
	Gross					Gross
	Carrying		Accumulated			Carrying		Accumulated
	Amount		Amortization			Amount		Amortization
Intangible assets not subject to amortization:
Goodwill	$	1,907		-		$	1,907		-
Intangible assets subject to amortization:
Customer relationships	$	906	$	(418	)	$	906	$	(327	)
Acquired software	$	234	$	(216	)	$	234	$	(169	)
Trade name	$	60	$	(5	)	$	60		-

We recognized amortization expense related to intangibles of approximately

$143,000

and

$137,000

for the years ended

December 31, 2017

and

2016,

respectively.

Annual amortization expense for the acquired software will be approximately

$18,000

2018.

Amortization expense for the customer relationships is expected to be approximately

$91,000

during each year through

2022

and approximately

$35,000

2023.

Amortization expense for the trade name will be approximately

$6,000

per year during each year through

2026.

Property and equipment

Property and equipment consisted of the following

(in

$’000

	Estimated Useful				December 31,
	Lives (in years)				2017			2016
Vehicles			5		$	32		$	32
Trade equipment			5			162			162
Leasehold improvements		2	–	5		378			292
Furniture and fixtures			7			18			16
Computer equipment and software			3			1,448			1,324
						2,038			1,826
Less accumulated depreciation						(1,620	)		(1,282	)
Property and equipment, net					$	418		$	544

Depreciation of property and equipment and amortization of leasehold improvements

and software totaled

$0.3

and

$0.4

million for the years ended

December 31, 2017

and

2016,

respectively.

Accounts Payable

and Accrued Expenses

ccounts payable and accrued expenses consisted of the following (in

$’000

	December 31,
	2017		201 6
Accounts payable	$	1,413	$	3,652
Accrued expenses		847		1,053
Compensation, benefits and related taxes		567		576
Other accrued expenses		14		38
Total accounts payable and accrued expenses	$	2,841	$	5,319