Annual report pursuant to Section 13 and 15(d)

Schedule II: Valuation and Qualifying Accounts

v3.8.0.1
Schedule II: Valuation and Qualifying Accounts
12 Months Ended
Dec. 31, 2017
Valuation And Qualifying Accounts [Abstract]  
Schedule II: Valuation and Qualifying Accounts

Schedule II: Valuation and Qualifying Accounts

 

 

 

Balance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance at

 

(amounts in thousands)

 

of Year

 

 

Additions

 

 

Deletions

 

 

Adjustments

 

 

End of Year

 

Year ended December 31, 2017

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Allowance for doubtful accounts (1)

 

$

1,869

 

 

$

3,864

 

 

$

4,418

 

 

$

100

 

 

$

1,415

 

Allowance for sales returns (2)

 

 

585

 

 

 

9,909

 

 

 

9,590

 

 

 

 

 

 

904

 

Allowance for rental revenue adjustments (3)

 

 

6,078

 

 

 

5,057

 

 

 

10,088

 

 

 

(100

)

 

 

947

 

Allowance for inventory reserves (4)

 

 

191

 

 

 

340

 

 

 

132

 

 

 

 

 

 

399

 

Allowance for rental asset loss (5)

 

 

725

 

 

 

561

 

 

 

532

 

 

 

 

 

 

754

 

Year ended December 31, 2016

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Allowance for doubtful accounts (1)

 

$

1,664

 

 

$

3,580

 

 

$

2,575

 

 

$

(800

)

 

$

1,869

 

Allowance for sales returns (2)

 

 

366

 

 

 

7,502

 

 

 

7,283

 

 

 

 

 

 

585

 

Allowance for rental revenue adjustments (3)

 

 

4,115

 

 

 

10,777

 

 

 

9,614

 

 

 

800

 

 

 

6,078

 

Allowance for inventory reserves (4)

 

 

128

 

 

 

133

 

 

 

70

 

 

 

 

 

 

191

 

Allowance for rental asset loss (5)

 

 

850

 

 

 

455

 

 

 

580

 

 

 

 

 

 

725

 

Year ended December 31, 2015

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Allowance for doubtful accounts (1)

 

$

1,180

 

 

$

2,680

 

 

$

2,196

 

 

$

 

 

$

1,664

 

Allowance for sales returns (2)

 

 

173

 

 

 

4,918

 

 

 

4,725

 

 

 

 

 

 

366

 

Allowance for rental revenue adjustments (3)

 

 

2,392

 

 

 

8,543

 

 

 

6,820

 

 

 

 

 

 

4,115

 

Allowance for inventory reserves (4)

 

 

141

 

 

 

89

 

 

 

102

 

 

 

 

 

 

128

 

Allowance for rental asset loss (5)

 

 

832

 

 

 

498

 

 

 

480

 

 

 

 

 

 

850

 

 

(1)

The additions to the allowance for doubtful accounts represent the estimates of bad debt expense based upon factors for which the company evaluates the collectability of accounts receivable, with actual recoveries netted into additions. Deductions are the actual write-offs of the receivables.

(2)

The additions to the allowance for sales returns represent estimates of returns based upon historical returns experience, primarily for the direct-to-consumer sales channel. Deductions are the actual returns of products.

(3)

The additions to the allowance for rental revenue adjustments represent estimates of revenue adjustments that will need to be recorded for billing adjustments on rental revenue, net of recoveries. Deductions are the actual adjustments and write-offs of the rental receivables for such revenue adjustments.

(4)

The inventory allowances are adjusted quarterly for potentially excess, obsolete, slow-moving, lost or impaired items. Deductions are the actual write-offs of the inventories.

(5)

The allowance for rental asset loss is based on estimated losses of the Company’s rental assets that will potentially be lost, stolen or unrecoverable from the patient. Deductions are the actual write-offs of the rental assets.