8x8 2013 Annual Report Download - page 51

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49
The Company’s investments are comprised of money market and mutual funds. At March 31, 2013 and 2012, all investments
were classified as available-for-sale and reported at fair value, based upon quoted market prices, with unrealized gains and
losses, net of related tax, if any, included in other comprehensive loss and disclosed as a separate component of consolidated
stockholders’ equity. Realized gains and losses on sales of all such investments are reported within the caption of other
income, net in the consolidated statements of operations and computed using the specific identification method. The
Company’s investments in marketable securities are monitored on a periodic basis for impairment. In the event that the
carrying value of an investment exceeds its fair value and the decline in value is determined to be other-than-temporary, an
impairment charge is recorded and a new cost basis for the investment is established.
Available-for-sale investments are presented as short-term investments in the balance sheet and were (in thousands):
Gross
Amortized Unrealized Estimated
Costs Loss Fair Value
As of March 31, 2013
Mutual Funds $ 2,000 $ (36) $ 1,964
Total available-for-sale investments $ 2,000 $ (36) $ 1,964
Included in:
Short-term investments 1,964
Total $ 1,964
Gross
Amortized Unrealized Estimated
Costs Loss Fair Value
As of March 31, 2012
Mutual Funds $ 2,000 $ (58) $ 1,942
Total available-for-sale investments $ 2,000 $ (58) $ 1,942
Included in:
Short-term investments 1,942
Total $ 1,942
ACCOUNTS RECEIVABLE ALLOWANCE
The Company estimates the amount of uncollectible accounts receivable at the end of each reporting period based on the aging
of the receivable balance, current and historical customer trends, and communications with its customers. Amounts are written
off only after considerable collection efforts have been made and the amounts are determined to be uncollectible. The
allowance for doubtful accounts was $328,000 and $140,000 at March 31, 2013 and 2012, respectively.