Annual report pursuant to Section 13 and 15(d)

Concentrations of Credit Risk

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Concentrations of Credit Risk
12 Months Ended
Jun. 30, 2017
Risks and Uncertainties [Abstract]  
Concentrations of Credit Risk
14.   Concentrations
        of Credit Risk

Financial instruments which potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents and accounts and trade receivables. The Company maintains its cash and cash equivalents, including a money market account, at a large bank. At June 30, 2017, bank deposits exceeded Federal Deposit Insurance Corporation insured limits. Concentrations of credit risk with respect to trade receivables are limited due to a large customer base. Also, based on the Company’s credit evaluation, trade receivables are often collateralized by the equipment sold. Sales to a federal government agency accounted for approximately 22% of the Company’s revenues for fiscal 2017; however no single contract for a federal government facility accounted for more than 10% of the Company’s revenues for fiscal 2017. Sales to one customer accounted for 12% of the Company’s revenues in fiscal 2016. Accounts receivable due from a federal government agency accounted for 29% and of the Company’s accounts receivable at June 30, 2017 and accounts receivable from two customers accounted for 18% of the Company’s accounts receivable at June 30, 2016.