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Deferred Revenue/Costs in Excess of Billings
3 Months Ended
Sep. 30, 2014
Deferred Revenue Disclosure [Abstract]  
Deferred Revenue/Costs in Excess of Billings

9. Deferred Revenue/Costs in Excess of Billings

 

In January 2012, the Company received a purchase order for $1.1 million from Raytheon. The purchase order was for development of low cost manufacturing processes for infrared optics and was in support of Raytheon’s $13.4 million Defense Advanced Research Projects Agency’s (DARPA) Low Cost Thermal Imaging Manufacturing (LCTI-M) program. The goal of LCTI-M was to develop a wafer scale manufacturing process that would result in a camera on a chip, making thermal imagers affordable, accessible, and ubiquitous to every warfighter.

 

The Company used the “cost-to-cost method” to allow it to measure progress toward completion based on the ratio of costs incurred to date to total estimated costs. All revenue associated with the purchase order was recognized prior to June 30, 2014. At September 30, 2014, all invoiced amounts have been collected.