4.	Accounts Receivable and Significant Concentrations

Accounts receivable consist of the following by customer type in the table below as of the periods presented:

	SEPTEMBER 30,		DECEMBER 31,
	2017		2016
	(Unaudited)
Commercial	$	2,275,740	$	2,319,142
Government		5,744,525		3,178,362
Gross accounts receivable		8,020,265		5,497,504
Less: allowances for doubtful
accounts		78,230		344,411

Accounts receivable, net	$	7,942,035	$	5,153,093

For the nine month period ended September 30, 2017, the Company recorded a provision for bad debt of approximately $31,200 and separately wrote-off a specific provision for bad debt of approximately $274,500 against the related customer invoice which reduced ending allowances for doubtful accounts. For the three and nine month periods ended September 30, 2016, the Company did not recognize any material provisions for bad debt, write-offs of existing provisions for bad debt or any material recoveries of commercial accounts receivable for which an allowance had been previously established. The Company has not historically maintained a bad debt reserve for its government customers as it has not experienced material or recurring bad debt charges and the nature and size of the contracts has not necessitated the Company’s establishment of such a bad debt reserve.

Significant Concentrations

Customers representing ten percent or more of consolidated trade accounts receivable are set forth in the table below as of the periods presented:

	SEPTEMBER 30,		DECEMBER 31,
	2017		2016
	As a % of		As a % of
Customer Name	Receivables		Receivables
	(Unaudited)
Department of Homeland Security (DHS)		46%		47%

Customers representing ten percent or more of consolidated revenues are set forth in the table below for each of the periods presented:

THREE MONTHS ENDED

NINE MONTHS ENDED

SEPTEMBER 30,

2017

2016

2017

2016

As a % of

Customer Name

Revenues

(Unaudited)

Department of Homeland Security (DHS)

60%

62%

60%

63%