International Baler (IBAL) 10-Q 12 Jun 20 2020 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Apr. 30, 2020	Jun. 12, 2020
Document And Entity Information
Entity Registrant Name	International Baler Corporation
Entity Central Index Key	0000781902
Document Type	10-Q
Document Period End Date	Apr. 30, 2020
Amendment Flag	false
Current Fiscal Year End Date	--10-31
Is Entity's Reporting Status Current?	Yes
Is Entity Smaller Reporting Company?	true
Is Entity Emerging Growth Company?	false
Entity Filer Category	Non-accelerated Filer
Entity File Number	0-14443
Entity Incorporation, State Country Code	DE
Entity Interactive Data Current	Yes
Entity Common Stock, Shares Outstanding		5,183,894
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2020
Is Entity Shell Company?	false

Condensed Balance Sheets (Unaud

Condensed Balance Sheets (Unaudited) - USD ($)	Apr. 30, 2020	Oct. 31, 2019
Current assets:
Cash and cash equivalents	$ 3,231,176	$ 2,714,764
Certificate of deposit	1,010,169	1,003,389
Accounts receivable, net of allowance for doubtful accounts of $6,000 at April 30, 2020 and $15,000 at October 31, 2019	733,214	644,915
Inventories	4,341,746	4,119,057
Prepaid expense and other current assets	216,641	77,858
Total current assets	9,532,946	8,559,983
Property, plant and equipment, at cost	4,413,356	4,336,733
Less: accumulated depreciation	3,133,313	3,026,513
Net property, plant and equipment	1,280,043	1,310,220
Other assets:
Deferred income taxes	161,122	161,122
Total other assets	161,122	161,122
TOTAL ASSETS	10,974,111	10,031,325
Current liabilities:
Accounts payable	607,938	329,618
Accrued liabilities	61,210	185,334
Customer deposits	1,066,764	656,569
Total current liabilities	1,735,912	1,171,521
Notes payable	626,466	0
Total liabilities	2,362,378	1,171,521
Stockholders' equity:
Preferred stock, par value $.0001, 10,000,000 shares authorized, none issued	0	0
Common stock, par value $.01, 25,000,000 shares authorized; 6,429,875 shares issued	64,299	64,299
Additional paid-in capital	6,419,687	6,419,687
Retained earnings	2,809,157	3,057,228
Total stockholders' equity before treasury stock	9,293,143	9,541,214
Less: Treasury stock, 1,245,980 shares, at cost	(681,410)	(681,410)
Total stockholders' equity	8,611,733	8,859,804
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 10,974,111	$ 10,031,325

Condensed Balance Sheets (Una_2

Condensed Balance Sheets (Unaudited) (Parenthetical) - USD ($)	Apr. 30, 2020	Oct. 31, 2019
Current Assets:
Accounts receivable, net of allowance for doubtful accounts	$ 6,000	$ 15,000
Stockholders' equity:
Preferred stock, par value	$ 0.0001	$ 0.0001
Preferred stock, share authorized	10,000,000	10,000,000
Preferred stock, shares issued	0	0
Common stock, par value	$ 0.01	$ .01
Common stock, shares authorized	25,000,000	25,000,000
Common stock, shares issued	6,429,875	6,429,875
Treasury stock, shares	1,245,980	1,245,980

Condensed Statements of Income

Condensed Statements of Income (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2020	Apr. 30, 2019
Net sales:
Equipment	$ 1,267,141	$ 2,199,466	$ 2,710,122	$ 3,858,690
Parts and service	747,802	715,085	1,315,082	1,525,117
Total net sales	2,014,943	2,914,551	4,025,204	5,383,807
Cost of sales	1,762,775	2,535,028	3,695,569	4,718,585
Gross profit	252,168	379,523	329,635	665,222
Operating expense:
Selling expense	119,404	142,208	252,977	253,019
Administrative expense	221,698	236,349	413,923	436,946
Total operating expense	341,102	378,557	666,900	689,965
Operating (loss) income	(88,934)	966	(337,265)	(24,743)
Other income:
Interest income	5,344	899	11,194	1,820
Total other income	5,344	899	11,194	1,820
(Loss) income before income taxes	(83,590)	1,865	(326,071)	(22,923)
Income tax benefit	(20,000)	0	(78,000)	(6,000)
Net (loss) income	$ (63,590)	$ 1,865	$ (248,071)	$ (16,923)
(Loss) income per share, basic and diluted	$ (0.01)	$ 0	$ (0.05)	$ 0
Weighted average number of shares outstanding	5,183,895	5,183,895	5,183,895	5,183,895

Condensed Statements of Stockho

Condensed Statements of Stockholders' Equity (Unaudited) - USD ($)	Common Stock	Additional Paid-In Capital	Retained Earnings	Treasury Stock	Total
Beginning Balace, Shares at Oct. 31, 2018	6,429,875	1,245,980
Beginning Balance, Value at Oct. 31, 2018	$ 64,299	$ 6,419,687	$ 3,380,842	$ (681,410)	$ 9,183,418
Net Income			(18,788)		(18,788)
End Balance, Shares at Jan. 31, 2019	6,429,875	1,245,980
End Balance, Value at Jan. 31, 2019	$ 64,299	$ 6,419,687	3,362,054	(681,410)	9,164,630
Net Income			1,865		1,865
End Balance, Value at Apr. 30, 2019	$ 64,299	$ 6,419,687	3,363,919	(681,410)	9,166,495
Beginning Balace, Shares at Oct. 31, 2019	6,429,875	1,245,980
Beginning Balance, Value at Oct. 31, 2019	$ 64,299	$ 6,419,687	3,057,228	(681,410)	8,859,804
Net Income			(184,481)		(184,481)
End Balance, Shares at Jan. 31, 2020	6,429,875	1,245,980
End Balance, Value at Jan. 31, 2020	$ 64,299	$ 6,419,687	2,872,747	(681,410)	8,675,323
Net Income			(63,590)		(63,590)
End Balance, Shares at Apr. 30, 2020	6,429,875	1,245,980
End Balance, Value at Apr. 30, 2020	$ 64,299	$ 6,419,687	$ 2,809,157	$ (681,410)	$ 8,611,733

Condensed Statements of Cash Fl

Condensed Statements of Cash Flows (Unaudited) - USD ($)	6 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Cash flow from operating activities:
Net income	$ (248,071)	$ (16,923)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation and amortization	106,800	105,230
Changes in operating assets and liabilities:
Accounts receivable	(88,299)	(268,217)
Inventories	(222,689)	44,498
Prepaid expenses and other assets	(138,783)	93,009
Accounts payable	278,320	(20,771)
Accrued liabilities	(124,124)	(121,252)
Customer deposits	410,195	(295,134)
Net cash (used in) provided by operating activities	(26,651)	(479,560)
Cash flows from investing activities:
Purchase of property and equipment	(76,623)	(215,352)
Interest earned on certificates of deposit	(6,780)	0
Net cash used in investing activities	(83,403)	(215,352)
Cash flows from financing activities:
Proceeds from PPP loan	626,466	0
Net cash provided by financing activities	626,466	0
Net increase (decrease) in cash and cash equivalents	516,412	(694,912)
Cash and cash equivalents at beginning of year	2,714,764	4,733,510
Cash and cash equivalents at end of year	$ 3,231,176	$ 4,038,598

Nature of Business

Nature of Business	6 Months Ended
	Apr. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Business:	1. Nature of Business: International Baler Corporation (the “Company”) is a manufacturer of baling equipment which is designed to compress a variety of materials into bales for easier handling, shipping, disposal, storage, and for recycling. Materials commonly baled include scrap metal, corrugated boxes, newsprint, aluminum cans, plastic bottles, and other solid waste. More sophisticated applications include baling of textile materials, fibers and synthetic rubber. The Company offers a wide variety of balers, standard models as well as custom models, and conveyors to meet specific customer requirements. The Company’s customers include recycling facilities, distribution centers, textile mills, and companies which generate the materials for baling and recycling. The Company sells its products worldwide with annual sales outside the United States typically ranging from 10% to 35%.

Basis of Presentation

Basis of Presentation	6 Months Ended
	Apr. 30, 2020
Accounting Policies [Abstract]
Basis of Presentation	2. Basis of Presentation: The accompanying unaudited condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and with the instructions to Form 10-Q and Article 8-03 of Regulation S-X. Accordingly, they do not include all of the information in footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary to make the financial statements not misleading have been included. Operating results for the six-month period ended April 30, 2020 are not necessarily indicative of the results that may be expected for the year ending October 31, 2020. The accompanying balance sheet as of October 31, 2019 was derived from the audited financial statements as of October 31, 2019. These unaudited condensed financial statements and notes thereto should be read in conjunction with the Management’s Discussion and the audited financial statements and notes thereto included in the Annual Report on Form 10-K for the year ended October 31, 2019.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Apr. 30, 2020
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	3. Summary of Significant Accounting Policies: (a) Accounts Receivable & Allowance for Doubtful Accounts: Trade accounts receivable are recorded at the invoiced amount and do not bear interest. The Company maintains an allowance for doubtful accounts for estimated losses inherent in its accounts receivable. The Company reviews its allowance for doubtful accounts monthly including the analysis of historical trends, customer credit worthiness and the aging of receivables. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. (b) Inventories: Inventories are stated at the lower of cost and net realizable value. Cost is determined by a method that approximates the first-in, first-out method. Work in process and finished goods are valued based on underlying costs to manufacture balers which include direct materials, direct and indirect labor, and overhead. The Company reviews inventory for obsolescence on a regular basis. (c) Warranties and Service: The Company typically warrants its products for one (1) year from the date of sale as to materials, three (3) years for structural damage and six (6) months as to labor, and offers services for other required repairs and maintenance. Service is rendered by repairing or replacing parts at the Company’s Jacksonville, Florida facility, by on-site service provided by Company personnel who are based in Jacksonville, Florida or by local service agents who are engaged as needed. The Company maintains an accrued liability for expected warranty claims. The warranty accrual is based on historical warranty costs, the quantity and types of balers currently under warranty, and known warranty issues. Following is a tabular reconciliation of the changes in the warranty accrual for the six-month period ended April 30: 2020 2019 Beginning balance $ 60,000 $ 80,000 Warranty service provided (71,803 ) (59,243 ) New product warranties 27,101 38,587 Changes to pre-existing warranty accruals 34,702 10,656 Ending balance $ 50,000 $ 70,000 (d) Fair Value of Financial Instruments: The carrying amounts of the Company’s financial instruments, including cash and cash equivalents, short term certificates of deposit, accounts receivable, accounts payable, accrued liabilities, and customer deposits, approximate their fair value due to the short-term nature of these assets and liabilities. (e) Advertising Expenses Advertising costs are expensed as incurred. Advertising expense was $49,989 and $67,844 for the six months ended April 30, 2020 and 2019, respectively, and are included in selling expense on the accompanying Condensed Statements of Income. (f) Recent Accounting Pronouncements: Recently Adopted Accounting Pronouncements: In May 2014, the FASB issued ASU 2014-09 establishing Accounting Standards Codification (“ASC”) Topic 606, Revenue from Contracts with Customers In February 2016, the FASB issued ASU No. 2016-02, Leases,

Revenue from Contracts with Cus

Revenue from Contracts with Customers	6 Months Ended
	Apr. 30, 2020
Revenue from Contract with Customer [Abstract]
Revenue from Contracts with Customers	4. Revenue from Contracts with Customers: a) Overview The Company adopted ASC 606 on November 1, 2018. The Company recognizes revenues from the sale of finished products upon shipment and the transfer of control to the customer. The other elements may include installation and, generally, a one-year warranty. Equipment installation revenue is valued based on estimated service person hours to complete installation and is recognized when the labor has been completed and the equipment has been accepted by the customer, which is generally within a couple days of the delivery of the equipment. Warranty revenue, if sold separately, is valued based on estimated service person hours to complete a service and generally is recognized over the contract period. All other product sales with customer specific acceptance provisions are recognized at a point in time upon customer acceptance and the delivery of the parts or service. Revenues related to spare part sales are recognized upon shipment or delivery based on the trade terms. Generally, pricing is fixed and the majority of the Company’s contracts have short duration and a single performance obligation to deliver a configured to order baler and related equipment to the customer. The Company has elected to expense shipping and handling costs as incurred. In the first six months ended in April 30, 2020 deferred revenue of $566,300 from the fiscal year ended October 31, 2019 was recognized. b) Disaggregation of Revenue Disaggregated revenue is by primary geographic market is as follows: Revenue by Geographic Area Six Months Ended United States $ 3,807,552 International 217,652 Total $ 4,025,204

Related Party Transactions

Related Party Transactions	6 Months Ended
	Apr. 30, 2020
Related Party Transactions [Abstract]
Related Party Transactions	5. Related Party Transactions: The Estate of Leland E. Boren is a stockholder of the Company and is the owner of Avis Industrial Corporation (Avis). The Estate controls over 80% of the outstanding shares of the Company. Avis owns 100% of The American Baler Company, a competitor of the Company. On January 1, 2014, Avis acquired The Harris Waste Management Group, Inc. (Harris), also a competitor of the Company. On July 31, 2014 Harris acquired the assets of IPS Balers, Inc. in Baxley, Georgia, another competitor of the Company. These baler companies operate completely independent of each other. The company had no purchases from these companies in the first half of fiscal 2020 and in the fiscal year ending October 31, 2019. The Company had no sales to The American Baler Company in the first half of fiscal 2020 and in the fiscal year ended October 31, 2019. The Company sold two closed door horizontal balers to Harris Waste Management for $122,950 in fiscal 2019 and had no sales to Harris Waste Management in the first half of fiscal 2020.

Inventories

Inventories	6 Months Ended
	Apr. 30, 2020
Inventory Disclosure [Abstract]
Inventories	6. Inventories: Inventories consisted of the following: April 30, 2020 October 31, 2019 Raw materials $ 2,536,801 $ 2,035,612 Work in process 1,679,361 1,239,861 Finished goods 125,584 843,584 $ 4,341,746 $ 4,119,057

Debt

Debt	6 Months Ended
	Apr. 30, 2020
Debt Disclosure [Abstract]
Debt	7. Debt: The Company had a $1,650,000 line of credit agreement with First Merchants Bank of Muncie, Indiana which was renewed on May 15, 2020 with a $1,000,000 line of credit limit. The line of credit allows the Company to borrow at an interest rate equal to the Wall Street Journal prime rate minus 0.95%, adjusting daily. The line of credit is secured by all assets of the Company and expires on May 15, 2021. The line of credit had no outstanding balance at April 30, 2020 and at October 31, 2019. On April 16, 2020 the Company received a $626,466 loan made pursuant to the terms of the Paycheck Protection Program authorized by the CARES Act. The loan has a two-year term and accrues simple interest at a fixed annual rate of 1.00%. Under the terms of the CARES Act guidelines, a portion of the loan up to 100% may be forgiven by the U.S. Small Business Administration if the amount spent is within the timeframe and under the guidelines that have been set for forgiveness.

Income Taxes

Income Taxes	6 Months Ended
	Apr. 30, 2020
Income Tax Disclosure [Abstract]
Income Taxes	8. Income Taxes: Tax assets are recognized in the balance sheet if it is more likely than not that they will be realized on future tax returns. Factors considered included, historical results of operations, volatility of the economic conditions and projected earnings based on current operations. Based on this evidence, it is more likely than not that the deferred tax assets would be realized. Accordingly, there is no valuation allowance as of April 30, 2020 and at October 31, 2019. However, if it is determined that all or part of the deferred tax assets will not be used in the future, an adjustment to the deferred tax assets would be charged against net income in the period such determination is made. As of April 30, 2020 and October 31, 2019, net deferred tax assets were $161,122. The Company records interest related to unrecognized tax benefits in interest expense and penalties in selling, general, and administrative expenses.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Apr. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	9. Commitments and Contingencies: The Company, in the ordinary course of business, is subject to claims made, and from time to time is named as a defendant in legal proceedings relating to the sales of its products. The Company believes that the reserves reflected in its financial statements are adequate to pay losses and loss adjustment expenses which may result from such claims and proceedings; however, such estimates may be more or less than the amount ultimately paid when the claims are settled. In the opinion of management, the ultimate disposition of these matters will not have a material adverse effect on the Company’s financial position, results of operations, or liquidity. On December 1, 2017 the Company was served with a complaint related to an injury to an employee working at Integrated Coating and Seed Technology Inc.,(INCOTEC). The employee was operating a baler manufactured by the Company in 1994. The injury occurred on December 4, 2015. The plaintiff is Star Insurance Company. The Company’s insurer settled this claim in March 2020. The Company’s liability on this settlement of the claim was $20,547 which has been paid. In December 2018 the Company discovered an employee theft of Company property. The Company has researched what items were stolen and our estimate is that the value of the stolen items was approximately $200,000. Since the Company conducts a physical inventory at the end of each fiscal year, any losses incurred for the fiscal year ended October 31, 2018 would have been reflected in the operating results of the Company for that fiscal year. The Company carries Crime Insurance which has an upper limit of $1,000,000 and a deductible of $25,000. In May 2019 the Company’s insurer approved the crime insurance claim and agreed to reimburse the Company $175,841. Insurance proceeds were received in May of 2019 and were recorded as other income in the accompanying condensed statements of income.

Subsequent Events

Subsequent Events	6 Months Ended
	Apr. 30, 2020
Subsequent Events [Abstract]
Subsequent Events	10. Subsequent Events On January 30, 2020, the World Health Organization (“WHO”) announced a global health emergency because of a new strain of coronavirus originating in Wuhan, China (the “COVID-19 outbreak”) and the risks to the international community as the virus spreads globally beyond its point of origin. In March 2020, the WHO classified the COVID-19 outbreak as a pandemic, based on the rapid increase in exposure globally. On March 27, 2020, President Trump signed into law the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act. The CARES Act, among other things, includes provisions relating to refundable payroll tax credits, deferment of employer-side social security payments, net operating loss carryback periods, alternative minimum tax credit refunds, and modifications to the net interest deduction limitations. The full impact of the COVID-19 outbreak continues to evolve as of the date of this report. As such, it is uncertain as to the full magnitude that the pandemic will have on the Company’s financial condition, liquidity, and future results of operations. Management is actively monitoring the global situation on its financial condition, liquidity, and future results of operations. Given the daily evolution of the COVID-19 outbreak and the global responses to curb its spread, the Company is not able to estimate the effects of the COVID-19 outbreak on its results of operations or financial condition for the fiscal year ending October 31, 2020.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Apr. 30, 2020
Accounting Policies [Abstract]
Accounts Receivable and Allowance for Doubtful Accounts	(a) Accounts Receivable & Allowance for Doubtful Accounts: Trade accounts receivable are recorded at the invoiced amount and do not bear interest. The Company maintains an allowance for doubtful accounts for estimated losses inherent in its accounts receivable. The Company reviews its allowance for doubtful accounts monthly including the analysis of historical trends, customer credit worthiness and the aging of receivables. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote.
Inventories	(b) Inventories: Inventories are stated at the lower of cost and net realizable value. Cost is determined by a method that approximates the first-in, first-out method. Work in process and finished goods are valued based on underlying costs to manufacture balers which include direct materials, direct and indirect labor, and overhead. The Company reviews inventory for obsolescence on a regular basis.
Warranties and Service	(c) Warranties and Service: The Company typically warrants its products for one (1) year from the date of sale as to materials, three (3) years for structural damage and six (6) months as to labor, and offers services for other required repairs and maintenance. Service is rendered by repairing or replacing parts at the Company’s Jacksonville, Florida facility, by on-site service provided by Company personnel who are based in Jacksonville, Florida or by local service agents who are engaged as needed. The Company maintains an accrued liability for expected warranty claims. The warranty accrual is based on historical warranty costs, the quantity and types of balers currently under warranty, and known warranty issues. Following is a tabular reconciliation of the changes in the warranty accrual for the six-month period ended April 30: 2020 2019 Beginning balance $ 60,000 $ 80,000 Warranty service provided (71,803 ) (59,243 ) New product warranties 27,101 38,587 Changes to pre-existing warranty accruals 34,702 10,656 Ending balance $ 50,000 $ 70,000
Fair Value of Financial Instruments	(d) Fair Value of Financial Instruments: The carrying amounts of the Company’s financial instruments, including cash and cash equivalents, short term certificates of deposit, accounts receivable, accounts payable, accrued liabilities, and customer deposits, approximate their fair value due to the short-term nature of these assets and liabilities.
Advertising Expenses	(e) Advertising Expenses Advertising costs are expensed as incurred. Advertising expense was $49,989 and $67,844 for the six months ended April 30, 2020 and 2019, respectively, and are included in selling expense on the accompanying Condensed Statements of Income.
Recent Accounting Pronouncements	(f) Recent Accounting Pronouncements: Recently Adopted Accounting Pronouncements: In May 2014, the FASB issued ASU 2014-09 establishing Accounting Standards Codification (“ASC”) Topic 606, Revenue from Contracts with Customers In February 2016, the FASB issued ASU No. 2016-02, Leases,

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	6 Months Ended
	Apr. 30, 2020
Accounting Policies [Abstract]
Warranty Accrual	Following is a tabular reconciliation of the changes in the warranty accrual for the six-month period ended April 30: 2020 2019 Beginning balance $ 60,000 $ 80,000 Warranty service provided (71,803 ) (59,243 ) New product warranties 27,101 38,587 Changes to pre-existing warranty accruals 34,702 10,656 Ending balance $ 50,000 $ 70,000

Revenue from Contracts with C_2

Revenue from Contracts with Customers (Tables)	6 Months Ended
	Apr. 30, 2020
Revenue from Contract with Customer [Abstract]
Disaggregated revenue	Disaggregated revenue is by primary geographic market is as follows: Revenue by Geographic Area Six Months Ended United States $ 3,807,552 International 217,652 Total $ 4,025,204

Inventories (Tables)

Inventories (Tables)	6 Months Ended
	Apr. 30, 2020
Inventory Disclosure [Abstract]
Inventories	Inventories consisted of the following: April 30, 2020 October 31, 2019 Raw materials $ 2,536,801 $ 2,035,612 Work in process 1,679,361 1,239,861 Finished goods 125,584 843,584 $ 4,341,746 $ 4,119,057

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Warranty Accrual (Details) - USD ($)	6 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Accounting Policies [Abstract]
Beginning balance	$ 60,000	$ 80,000
Warranty service provided	(71,803)	(59,243)
New product warranties	27,101	38,587
Changes to pre-existing warranty accruals	34,702	10,656
Ending balance	$ 50,000	$ 70,000

Summary of Significant Accoun_5

Summary of Significant Accounting Policies (Details Narrative) - USD ($)	6 Months Ended
	Apr. 30, 2020	Apr. 30, 2019
Accounting Policies [Abstract]
Advertising expense	$ 49,989	$ 67,844

Revenue from Contracts with C_3

Revenue from Contracts with Customers - Disaggregated revenue (Details) - USD ($)	3 Months Ended		6 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2020	Apr. 30, 2019
Revenue by Geographic Area
Total	$ 2,014,943	$ 2,914,551	$ 4,025,204	$ 5,383,807
United States
Revenue by Geographic Area
Total			3,807,552
International
Revenue by Geographic Area
Total			$ 217,652

Revenue from Contracts with C_4

Revenue from Contracts with Customers (Details Narrative)	Apr. 30, 2020USD ($)
Revenue from Contract with Customer [Abstract]
Deferred revenue	$ 566,300

Related Party Transactions (Det

Related Party Transactions (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Apr. 30, 2020	Apr. 30, 2019	Apr. 30, 2020	Apr. 30, 2019	Oct. 31, 2019
Sales	$ 2,014,943	$ 2,914,551	$ 4,025,204	$ 5,383,807
Avis Industrial Corp.
Percentage of Ownership	100.00%		100.00%
Leland E. Boren
Percentage of Ownership	80.00%		80.00%
Harris Waste Management
Sales					$ 122,950

Inventories - Inventories (Deta

Inventories - Inventories (Details) - USD ($)	Apr. 30, 2020	Oct. 31, 2019
Inventory Disclosure [Abstract]
Raw materials	$ 2,536,801	$ 2,035,612
Work in process	1,679,361	1,239,861
Finished goods	125,584	843,584
Inventories	$ 4,341,746	$ 4,119,057

Debt (Details Narrative)

Debt (Details Narrative) - USD ($)	1 Months Ended	6 Months Ended
	Apr. 16, 2020	Apr. 30, 2020	Apr. 30, 2019	Oct. 31, 2019
Short-term Debt [Line Items]
Line of Credit Agreement		$ 1,650,000
Line of credit limit		$ 1,000,000
Interest Rate Terms		The line of credit allows the Company to borrow at an interest rate equal to the Wall Street Journal prime rate minus 0.95%, adjusting daily. The line of credit is secured by all assets of the Company and expires on May 15, 2021.
Term	2 years
Interest rate	1.00%
Proceeds from loan	$ 626,466	$ 626,466	$ 0
Line of Credit [Member]
Short-term Debt [Line Items]
Outstanding balance		$ 0		$ 0

Income Taxes (Details Narrative

Income Taxes (Details Narrative) - USD ($)	Apr. 30, 2020	Oct. 31, 2019
Components of Deferred Tax Assets [Abstract]
Net deferred tax assets	$ 161,122	$ 161,122

Commitment and Contingencies (D

Commitment and Contingencies (Details Narrative) - USD ($)	1 Months Ended	6 Months Ended
	Dec. 31, 2018	Apr. 30, 2020	May 31, 2019
Loss Contingency, Information about Litigation Matters [Abstract]
Theft	$ 200,000
Reimbursement from insurance claim			$ 175,841
Settlement of claim		$ 20,547