| Reporting Entity and Significant Accounting Policies (Policies) | 12 Months Ended |
| Nov. 03, 2018 |
| Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
| Description of Business and Principles of Consolidation | Description of Business and Principles of Consolidation
–
All intercompany accounts and transactions have been eliminated in
consolidation. The consolidated financial statements are prepared
in conformity with accounting principles generally accepted in the
United States of America (U.S. GAAP). |
| Use of Estimates | Use of Estimates – pre-owned |
| Fiscal Year | Fiscal Year – fifty-two |
| Revenue Recognition | Revenue Recognition –
•
Its receipt of a down payment,
•
Construction of the home is complete,
•
Home has been delivered and set up at the retail home
buyer’s site, and title has been transferred to the retail
home buyer,
•
Remaining funds have been released by the finance
company (financed sales transaction), remaining funds have been
committed by the finance company by an agreement with respect to
financing obtained by the customer, usually in the form of a
written approval for permanent home financing received from a
lending institution, (financed construction sales transaction) or
cash has been received from the home buyer (cash sales
transaction), and
•
Completion of any other significant obligations.
The Company recognizes revenue from the sale of the repurchased
homes upon transfer of title to the new purchaser.
The Company recognizes revenues from its independent dealers upon
receiving wholesale floor plan financing or establishing retail
credit approval for terms, shipping of the home, and transferring
title and risk of loss to the independent dealer. For wholesale
shipments to independent dealers, the Company has no obligation to
setup the home or to complete any other significant
obligations.
The Company recognizes revenues from its wholly-owned subsidiary,
Mountain Financial, Inc., as follows: commission income (and fees
in lieu of commissions) is recorded as of the effective date of
insurance coverage or the billing date, whichever is later.
Commissions on premiums billed and collected directly by insurance
companies are recorded as revenue when received which, in many
cases, is the Company’s first notification of amounts earned
due to the lack of policy and renewal information. Contingent
commissions are recorded as revenue when received. Contingent
commissions are commissions paid by insurance underwriters and are
based on the estimated profit and/or overall volume of business
placed with the underwriter. The data necessary for the calculation
of contingent commissions cannot be reasonably obtained prior to
the receipt of the commission which, in many cases, is the
Company’s first notification of amounts earned. The Company
provides appropriate reserves for policy cancellations based on
numerous factors, including past transaction history with
customers, historical experience, and other information, which is
periodically evaluated and adjusted as deemed necessary. In the
opinion of management, no reserve was deemed necessary for policy
cancellations at November 3, 2018 or November 4,
2017. |
| Revenues by Products and Services | Revenues by Products and
Services pre-owned
2018 2017
Manufactured housing $ 41,643,029 $ 35,689,014
Pre-owned 895,489 1,586,124
Insurance agent commissions 273,747 267,933
Total net sales $ 42,812,265 $ 37,543,071 |
| Cash and Cash Equivalents | Cash and Cash Equivalents – |
| Certificates of Deposit | Certificates of Deposit |
| Accounts Receivable | Accounts Receivable –
Accounts receivable fluctuate due to the number of homes sold to
independent dealers. The Company recognizes revenues from its
independent dealers upon receiving wholesale floor plan financing
or establishing retail credit approval for terms, shipping of the
home, and transferring title and risk of loss to the independent
dealer. |
| Investments | Investments – “available-for-sale” available-for-sale
The Company continually reviews its investments to determine
whether a decline in fair value below the cost basis is other than
temporary. If the decline in fair value is judged to be other than
temporary, the cost basis of the security is written down to fair
value and the amount of the write-down is included in the
accompanying consolidated statements of income and other
comprehensive income. |
| Inventories | Inventories –
The Company acquired certain repossessed pre-owned st
Other pre-owned st st st st st st
Pre-owned trade-ins (Trade-in Trade-in
Other inventory costs are determined on a first-in, first-out
See Note 6 “Inventories”. |
| Property, Plant and Equipment | Property, Plant and Equipment – |
| Investment in Majestic 21 | Investment in Majestic 21 – st st
The Company entered into an arrangement in 2002 with 21 st pre-owned st
See Note 15 “Commitments and Contingent
Liabilities”. |
| Other Investments | Other Investments -
See Note 4 “Related Party Transactions”.
On March 31, 2016, the Company sold its 48.5% limited
partnership interest in CRF III, Ltd. (“Cypress Creek”)
for $3,990,000. Cypress Creek is a retirement manufactured home
community located in Winter Haven, Florida. The Company received
$960,000 cash, net of $40,000 cost paid and a note receivable for
$3,030,000 that accrued interest at 3.0%. The Company received a
$500,000 payment in June 2016, a $1,000,000 payment in January 2017
and a $1,651,924 payment in April 2018 which included all of the
remaining principal and interest on the note.
See Note 5 “Other Investments”. |
| Impairment of Long-Lived Assets | Impairment of Long-Lived Assets – |
| Customer Deposits | Customer Deposits – |
| Company Owned Life Insurance | Company Owned Life Insurance |
| Warranty Costs | Warranty Costs –
2018 2017
Beginning accrued warranty expense $ 125,000 $ 125,000
Less: reduction for payments (392,479 ) (408,925 )
Plus: additions to accrual 392,479 408,925
Ending accrued warranty expense $ 125,000 $ 125,000
The Company’s limited warranty covers substantial defects in
material or workmanship in specified components of the home
including structural elements, plumbing systems, electrical
systems, and heating and cooling systems which are supplied by the
Company that may occur under normal use and service during a period
of twelve (12) months from the date of delivery to the
original homeowner, and applies to the original homeowner or any
subsequent homeowner to whom this product is transferred during the
duration of this twelve (12) month period.
The Company tracks the warranty claims per home. Based on the
history of the warranty claims, the Company has determined that a
majority of warranty claims usually occur within the first three
months after the home is sold. The Company determines its warranty
accrual using the last three months of home sales. Accrued warranty
costs are included in accrued expenses in the accompanying
consolidated balance sheets. |
| Accrued Home Setup Costs | Accrued Home Setup Costs hook-ups, |
| Stock-Based Compensation | Stock-Based Compensation – |
| Rebate Program | Rebate Program – |
| Advertising | Advertising – |
| Income Taxes | Income Taxes – |
| Net Income per Share | Net Income per Share – |
| Shipping and Handling Costs | Shipping and Handling Costs – |
| Comprehensive Income | Comprehensive Income – available-for-sale |
| Segments | Segments – |
| Major Customers | Major Customers – |
| Concentration of Credit Risk | Concentration of Credit Risk – |
| Concentration of Retail Financing Sources | Concentration of Retail Financing Sources – |
| Recently Issued or Adopted Accounting Pronouncements | Recently Issued or Adopted Accounting Pronouncements
– No. 2015-17 2015-17). 2015-17 2015-17
In February 2016, the FASB issued Accounting Standards Update (ASU)
No. 2016-02, 2016-02). 2016-02 2016-02 right-of-use 2016-02 right-of-use
In January 2016, the FASB issued ASU No. 2016-01,
In July 2015, the FASB issued ASU No. 2015-11, last-in, first-out first-in, first-out
In May 2014, the FASB issued ASU No. 2014-09, 2014-09),
The core principal of ASU 2014-09
1. Identify the contract(s) with a customer;
2. Identify each performance obligation in the contract;
3. Determine the transaction price;
4. Allocate the transaction price to each performance obligation;
and
5. Recognize revenue when or as each performance obligation is
satisfied.
The Company’s revenue comes substantially from the sale of
manufactured housing, modular housing and park models, along with
freight billed to customers, parts sold and aftermarket
services.
The Company has evaluated how the adoption of ASU 2014-09 2014-09
The Company, upon adoption of ASU 2014-09,
•
Disaggregation of revenue into categories that depict
how the nature, amount, timing and uncertainty of revenue and cash
flows are affected by economic factors;
•
The opening and closing balances of receivables,
contract assets, and contract liabilities from contracts with
customers, if not otherwise separately presented or disclosed;
•
Revenue recognized in the reporting period that was
included in the contract liability balance at the beginning of the
period;
•
Information about performance obligations in contracts
with customers; and
•
Judgments that significantly affect the determination
of the amount and timing of revenue from contracts with customers,
including the timing of satisfaction of performance obligation, and
the transaction price and the amounts allocation to performance
obligations. |
| Fair Value Measurements | The Company accounts for the fair value of financial investments in
accordance with FASB ASC No. 820, “Fair Value
Measurements” (ASC 820).
ASC 820 defines fair value as the price that would be received upon
the sale of an asset or paid to transfer a liability (i.e. exit
price) in an orderly transaction between market participants at the
measurement date. ASC 820 requires disclosures that categorize
assets and liabilities measured at fair value into one of three
different levels depending on the assumptions (i.e. inputs) used in
the valuation. Financial assets and liabilities are classified in
their entirety based on the lowest level of input significant to
the fair value measurement. The ASC 820 fair value hierarchy is
defined as follows:
•
Level 1—Valuations are based on unadjusted
quoted prices in active markets for identical assets or
liabilities.
•
Level 2—Valuations are based on quoted prices
for similar assets or liabilities in active markets, or quoted
prices in markets that are not active for which significant inputs
are observable, either directly or indirectly.
•
Level 3—Valuations are based on prices or
valuation techniques that require inputs that are both unobservable
and significant to the overall fair value measurement. Inputs
reflect management’s best estimate of what market
participants would use in valuing the asset or liability at the
measurement date. The following table represents the
Company’s financial assets and liabilities which are carried
at fair value at November 3, 2018 and November 4,
2017. |
