J. BUSINESS CONCENTRATION
|6 Months Ended|
Jun. 30, 2020
|Risks and Uncertainties [Abstract]|
NOTE J – BUSINESS CONCENTRATION
For the six months ended June 30, 2020, one customer represented approximately 14% of total net revenues. For the six months ended June 30, 2019, three customers represented approximately 38% of total net revenues.
As of June 30, 2020, four customers accounted for approximately 54% of the Company’s net accounts receivable. As of December 31, 2019, two customers represented 36% of the Company’s net accounts receivable.
Purchases from one supplier approximated $838,000, or 85%, of total purchases for the six months ended June 30, 2020 and approximately $1,855,000, or 83%, of total purchases for the six months ended June 30, 2019. The amount due to this supplier, net of deposits paid, was approximately $79,000 and $579,000 as of June 30, 2020 and December 31, 2019, respectively.
The entire disclosure for any concentrations existing at the date of the financial statements that make an entity vulnerable to a reasonably possible, near-term, severe impact. This disclosure informs financial statement users about the general nature of the risk associated with the concentration, and may indicate the percentage of concentration risk as of the balance sheet date.
Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef