Inventory

12 Months Ended

Nov. 30, 2019

Note 3 – Inventory

Inventory is comprised of public cord blood banking specimens, collection kits, finished goods,

work-in-process

and raw materials. Collection kits are used in the collection and processing of umbilical cord blood and cord tissue stem cells, finished goods include products purchased or assumed for resale and for the use in the Company’s processing and storage service. Inventory in the Public Cord Blood Bank includes finished goods that are specimens that are available for resale. The Company considers inventory in the Public Cord Blood Bank that has not completed all testing to determine viability to be work in process. Due to changes in sales trends and estimated recoverability of cost capitalized into inventory, an impairment charge of $2,332,763 was recognized during the second quarter of fiscal 2019 to reduce inventory from cost to net realizable value and is included in the accompanying consolidated statements of comprehensive income (loss).

The components of inventory at November 30, 2019 and November 30, 2018 are as follows:


	As of November 30, 2019			As of November 30, 2018
Raw materials	$	—		$	—
Work-in-process		149,972			188,085
Work-in-process – Public Bank		—			—
Finished goods		52,451			5,262
Finished goods – Public Bank		13,491,375			15,831,081
Collection kits		44,453			19,163
Inventory reserve		(7,718	)		(7,718	)

Total inventory	$	13,730,533		$	16,035,873