Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Sep. 29, 2018 | May 31, 2019 | Mar. 31, 2018 | |
Document Information [Line Items] | |||
Entity Registrant Name | TECHNICAL COMMUNICATIONS CORP | ||
Entity Central Index Key | 0000096699 | ||
Trading Symbol | tcco | ||
Current Fiscal Year End Date | --09-29 | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | true | ||
Entity Common Stock, Shares Outstanding (in shares) | 1,850,403 | ||
Entity Public Float | $ 7,721,285 | ||
Entity Shell Company | false | ||
Document Type | 10-K | ||
Document Period End Date | Sep. 29, 2018 | ||
Document Fiscal Year Focus | 2018 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Sep. 29, 2018 | Sep. 30, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 1,982,434 | $ 1,283,673 |
Restricted cash | 12,930 | |
Marketable securities: | ||
Held to maturity securities | 360,253 | |
Accounts receivable - trade | 559,493 | 730,177 |
Inventories, net | 1,368,696 | 1,358,344 |
Other current assets | 142,279 | 135,693 |
Total current assets | 4,052,902 | 3,881,070 |
Equipment and leasehold improvements | 4,578,501 | 4,534,839 |
Less accumulated depreciation and amortization | (4,529,298) | (4,481,085) |
Equipment and leasehold improvements, net | 49,203 | 53,754 |
Total assets | 4,102,105 | 3,934,824 |
Current liabilities: | ||
Accounts payable | 187,958 | 109,224 |
Customer deposits | 35,628 | 53,886 |
Deferred revenue | 2,106,514 | 484,121 |
Accrued liabilities: | ||
Compensation and related expenses | 220,544 | 215,984 |
Other current liabilities | 18,405 | 55,376 |
Total current liabilities | 2,569,049 | 918,591 |
Commitments and contingencies (Note 12) | ||
Stockholders' equity | ||
Common stock - par value $0.10 per share; 7,000,000 shares authorized, 1,850,403 issued and outstanding at September 29, 2018 and 1,839,877 issued and outstanding at September 30, 2017 | 185,041 | 183,988 |
Additional paid-in capital | 4,134,371 | 4,139,002 |
Accumulated deficit | (2,786,356) | (1,306,757) |
Total stockholders' equity | 1,533,056 | 3,016,233 |
Total liabilities and stockholders’ equity | $ 4,102,105 | $ 3,934,824 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares | Sep. 29, 2018 | Sep. 30, 2017 |
Common stock, par value (in dollars per share) | $ 0.10 | $ 0.10 |
Common stock, authorized (in shares) | 7,000,000 | 7,000,000 |
Common stock, issued (in shares) | 1,850,403 | 1,839,877 |
Common stock, outstanding (in shares) | 1,850,403 | 1,839,877 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) | 12 Months Ended | |
Sep. 29, 2018 | Sep. 30, 2017 | |
Net revenue | $ 3,684,939 | $ 3,725,006 |
Cost of revenue | 2,712,726 | 1,917,890 |
Gross profit | 972,213 | 1,807,116 |
Operating expenses: | ||
Selling, general and administrative | 1,941,175 | 2,144,532 |
Product development | 520,663 | 1,584,210 |
Total operating expenses | 2,461,838 | 3,728,742 |
Operating loss | (1,489,625) | (1,921,626) |
Other income | ||
Investment income | 10,026 | 8,499 |
Total other income | 10,026 | 8,499 |
Net loss | $ (1,479,599) | $ (1,913,127) |
Net loss per common share | ||
Basic (in dollars per share) | $ (0.80) | $ (1.04) |
Diluted (in dollars per share) | $ (0.80) | $ (1.04) |
Weighted average shares | ||
Basic (in shares) | 1,846,536 | 1,839,877 |
Diluted (in shares) | 1,846,536 | 1,839,877 |
Engineering Services [Member] | ||
Net revenue | $ 3,236,135 | $ 784,337 |
Cost of revenue | 2,070,327 | 487,164 |
Equipment Sales [Member] | ||
Net revenue | 448,804 | 2,940,669 |
Cost of revenue | $ 642,399 | $ 1,430,726 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Sep. 29, 2018 | Sep. 30, 2017 | |
Operating activities: | ||
Net loss | $ (1,479,599) | $ (1,913,127) |
Adjustments to reconcile net loss to cash provided by (used in) operating activities: | ||
Depreciation and amortization | 48,213 | 98,750 |
Stock-based compensation | 30,292 | 14,996 |
Adjustments to reduce inventory to net realizable value | 184,064 | 461,003 |
Amortization of premium on held to maturity securities | 10,253 | 25,585 |
Payment of tax on exercise of stock options | (33,870) | |
Changes in current assets and current liabilities: | ||
Accounts receivable | 170,684 | (618,328) |
Inventories | (194,416) | (175,425) |
Other current assets | (6,586) | 2,537 |
Deferred revenue | 1,622,393 | 484,121 |
Customer deposits | (18,258) | (65,097) |
Accounts payable and accrued liabilities | 46,323 | (57,282) |
Cash provided by (used in) operating activities | 379,493 | (1,742,267) |
Investing activities: | ||
Additions to equipment and leasehold improvements | (43,662) | (3,575) |
Proceeds from maturities of marketable securities | 350,000 | 350,000 |
Proceeds from sale of cost method investment – released from escrow | 75,817 | |
Cash provided by investing activities | 306,338 | 422,242 |
Net increase (decrease) in cash, cash equivalents and restricted cash | 685,831 | (1,320,025) |
Cash, cash equivalents and restricted cash at beginning of year | 1,296,603 | 2,616,628 |
Cash, cash equivalents and restricted cash at end of year | 1,982,434 | 1,296,603 |
Supplemental disclosures: | ||
Income taxes paid | $ 856 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Total |
Beginning balance (in shares) at Oct. 01, 2016 | 1,839,877 | |||
Cashless exercise of stock options (in shares) | ||||
Ending balance (in shares) at Sep. 30, 2017 | 1,839,877 | |||
Beginning balance at Oct. 01, 2016 | $ 183,988 | $ 4,124,006 | $ 606,370 | |
Cashless exercise of stock options | ||||
Cashless exercise of stock options to pay taxes | ||||
Stock-based compensation | 14,996 | |||
Net loss | (1,913,127) | $ (1,913,127) | ||
Ending balance at Sep. 30, 2017 | $ 183,988 | 4,139,002 | (1,306,757) | 3,016,233 |
Cashless exercise of stock options (in shares) | 10,526 | |||
Ending balance (in shares) at Sep. 29, 2018 | 1,850,403 | |||
Cashless exercise of stock options | $ 1,053 | (1,053) | ||
Cashless exercise of stock options to pay taxes | (33,870) | |||
Stock-based compensation | 30,292 | |||
Net loss | (1,479,599) | (1,479,599) | ||
Ending balance at Sep. 29, 2018 | $ 185,041 | $ 4,134,371 | $ (2,786,356) | $ 1,533,056 |
Note 1 - Company Operations
Note 1 - Company Operations | 12 Months Ended |
Sep. 29, 2018 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | ( 1 Technical Communications Corporation (“TCC”) was incorporated in Massachusetts in 1961; 1982. one Liquidity and Ability to Continue as a Going Concern The Company has suffered recurring losses from operations for the past seven $2,786,000 September 29, 2018. one 10 not The Company anticipates that its principal sources of liquidity will only be sufficient to fund activities to January 2020. that point , the Company will need to secure new customer contracts, raise additional equity or debt capital and reduce expenses, including payroll and payroll-related expenses In order to have sufficient capital resources to fund operations, the Company has been working diligently to secure several large orders with new and existing customers. In addition, the Company is considering raising capital through equity or debt arrangements. Although it believes its ability to secure such new business and raise new capital is likely, it cannot provide assurances it will be able to do so. Should the Company be unsuccessful in these efforts, it would then be forced to implement headcount reductions, employee furloughs and/or reduced hours for certain employees or cease operations completely. |
Note 2 - Summary of Significant
Note 2 - Summary of Significant Accounting Policies | 12 Months Ended |
Sep. 29, 2018 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block] | ( 2 The Company follows accounting standards set by the Financial Accounting Standards Board, commonly referred to as the FASB. The FASB sets generally accepted accounting principles (“GAAP”) that the Company follows to ensure it consistently reports its financial condition, results of operations, and cash flows. References to GAAP issued by the FASB in these footnotes are to the FASB Accounting Standards Codification TM Principles of Consolidation The accompanying consolidated financial statements include the accounts of TCC and its wholly-owned subsidiary, TCC Investment Corp., a Massachusetts corporation. All significant intercompany accounts and transactions have been eliminated in consolidation. Use of Estimates The preparation of financial statements in conformity with GAAP in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Significant judgments and estimates include those related to revenue recognition, receivable reserves, inventory reserves, impairment of long-lived assets, income taxes, fair value and stock-based compensation. Actual results could differ from those estimates. Cash and Cash Equivalents Cash and cash equivalents include demand deposits at banks and other investments (including mutual funds) readily convertible into cash. Cash equivalents are stated at cost, which approximates market value. At September 30, 2017, $12,930. no September 29, 2018. Accounts Receivable Accounts receivable are reduced by an allowance for amounts that management believes may In addition, if the Company becomes aware of a customer’s inability to meet its financial obligations to TCC, a specific write-off is recorded in that amount. no September 29, 2018 September 30, 2017. Inventories The Company values its inventory at the lower of actual cost (based on the first first may Equipment and Leasehold Improvements Equipment and leasehold improvements are stated at cost less accumulated depreciation and amortization. Depreciation and amortization are computed using the straight-line method over the lesser of the estimated useful life of the asset or the applicable lease term. When assets are retired or otherwise disposed of, the cost and related accumulated depreciation and amortization are removed from the accounts, and any resulting gain or loss is recognized in operations for the period. The costs of maintenance and repairs are charged to operations as incurred; significant renewals and betterments are capitalized. Long-lived Assets The Company’s only long-lived assets are equipment and leasehold improvements. Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not operating or cash flow losses, or a projection or forecast that demonstrates continuing losses associated with the use of a long-lived asset, among other items. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of the asset to the estimated undiscounted future cash flows expected to be generated by such asset. If the carrying amount of the asset exceeds its estimated undiscounted future cash flows, an impairment charge is recognized in the amount by which the carrying amount exceeds the fair value of the asset. There were no 2018. September 30, 2017, no Revenue Recognition The Company’s engineering services revenue is derived from performing funded research and development and technology development for commercial companies and government agencies primarily under fixed-price contracts. On fixed-price contracts that are expected to exceed one The Company recognizes equipment sales revenue when there is persuasive evidence of an arrangement, the fee is fixed or determinable, delivery of the product and passage of title to the customer has occurred and the Company has determined that collection of the fee is probable. Title to the product generally passes upon shipment of the product, as the products are shipped freight on board shipping point, except for certain foreign shipments where title passes upon entry of the product into the first As of September 29, 2018 September 30, 2017, $2,107,000 $484,000, All payments to the Company for work performed on contracts with agencies of the U.S. government are subject to audit and adjustment by the Defense Contract Audit Agency, the U.S. Government Accountability Office and other agencies. Adjustments are recognized in the period made. There have been no not Costs incurred in connection with funded research and development are included in cost of revenue. Product development costs are charged to billable engineering services, bid and proposal efforts or business development activities, as appropriate. Product development costs charged to billable projects are recorded as cost of revenue; engineering costs charged to bid and proposal efforts are recorded as selling expenses; and product development costs charged to business development activities are recorded as marketing expenses. Product development costs consist primarily of costs associated with personnel, outside contractor and engineering services, supplies and materials. Cost of product revenue includes material, labor and overhead. Revenue for the fiscal year ended September 29, 2018 $3,236,000 $449,000 $784,000 $2,940,000 September 30, 2017. Stock-Based Compensation Stock-based compensation expense is measured at the grant date based on the calculated fair value of the award. The expense is recognized over the employee’s requisite service period, generally the vesting period of the award. The related excess tax benefit received upon the exercise of stock options, if any, is reflected in the Company’s statement of cash flows as an operating activity. There were no September 29, 2018 September 30, 2017. The Company uses the Black-Scholes option pricing model as the method for determining the estimated fair value of its stock awards. The Black-Scholes method of valuation requires several assumptions: ( 1 2 3 4 not The fair value of options at date of grant was estimated with the following assumptions: September 29, 2018 September 30, 2017 Assumptions: Option life (years) 6.5 6.5 Risk-free interest rate 2.8 % 2.0 % Stock volatility 85 % 72 % Dividend yield 0 % 0 % There were 20,500 14,000 September 29, 2018 September 30, 2017, September 29, 2018 September 30, 2017 $4.55 $1.66, September 29, 2018 September 30, 2017: 2018 2017 Selling, general and administrative $ 24,939 $ 13,910 Product development 5,353 1,086 Total stock-based compensation expense before taxes $ 30,292 $ 14,996 As of September 29, 2018 $116,675 September 29, 2018 3.85 The Technical Communications Corporation 2005 2010 September 29, 2018. 600,000 227,137 September 29, 2018. zero five ten As of September 29, 2018, 224,563 2010 2005 no The following tables summarize stock option activity during fiscal years 2017 2018: Options Outstanding Number of Shares Weighted Average Weighted Average Contractual Life Unvested Vested Total Exercise Price (years) Outstanding, October 1, 2016 26,700 216,981 243,681 $ 8.69 4.57 Grants 14,000 - 14,000 2.50 Vested (5,900 ) 5,900 - 3.61 Exercises - - - - Cancellations/forfeitures (600 ) (10,800 ) (11,400 ) 8.24 Outstanding, September 30, 2017 34,200 212,081 246,281 $ 8.36 3.95 Grants 20,500 - 20,500 6.22 Vested (10,000 ) 10,000 - 3.25 Exercises - (31,800 ) (31,800 ) 5.60 Cancellations/forfeitures - (7,844 ) (7,844 ) 9.68 Outstanding, September 29, 2018 44,700 182,437 227,137 $ 8.50 3.76 Information related to the stock options vested or expected to vest as of September 29, 2018 Range of Exercise Prices Number of Shares Weighted- Average Remaining Contractual Life (years) Weighted- Average Exercise Price Exercisable Number of Shares Exercisable Weighted- Average Exercise Price $2.01 - $3.00 25,200 7.90 $ 2.69 5,600 $ 2.75 $3.01 - $4.00 6,000 9.85 3.80 1,200 3.80 $4.01 - $5.00 30,500 3.55 4.55 24,500 4.66 $5.01 - $10.00 51,000 5.06 7.80 36,700 8.02 $10.01 - $15.00 114,437 2.01 11.40 114,437 11.40 227,137 3.76 $ 8.50 182,437 $ 9.50 The aggregate intrinsic value of the Company’s “in-the-money” outstanding and exercisable options was $13,625 September 29, 2018 $14,140 September 30, 2017. 31,800 September 29, 2018 $140,350 none September 30, 2017. Income Taxes The Company accounts for income taxes using the asset/liability method. Under the asset/liability method, deferred income taxes are recognized at current income tax rates to reflect the tax effect of temporary differences between the consolidated financial reporting basis and tax basis of assets and liabilities. The Company provides a valuation allowance, if necessary, to reduce deferred tax assets to their estimated realizable value. The Company follows the appropriate guidance relative to uncertain tax positions. This standard provides detailed guidance for the financial statement recognition, measurement and disclosure of uncertain tax positions recognized in the financial statements. Uncertain tax positions must meet a recognition threshold of more-likely-than- not no September 29, 2018 September 30, 2017. Warranty Costs The Company provides for estimated warranty costs at the time product revenue is recognized based upon historical experience. Fair Value of Financial Measurements In determining fair value measurements, the Company follows the provisions of FASB ASC 820, Fair Value Measurements and Disclosures 820 three three Level 1 Pricing inputs are quoted prices available in active markets for identical assets or liabilities as of the measurement date. Level 2 Pricing inputs are quoted prices for similar assets and liabilities, or inputs that are observable, either directly or indirectly, for substantially the full term through corroboration with observable market data. Level 3 Pricing inputs are unobservable for the assets and liabilities, that is, inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability. In certain cases, the inputs used to measure fair value may The Company’s held to maturity securities are comprised of investments in municipal bonds. These securities represent ownership in individual bonds in municipalities within the United States. The value of these securities is disclosed in Note 5. The Company assesses the levels of the investments at each measurement date, and transfers between levels are recognized on the actual date of the event or change in circumstances that caused the transfer in accordance with the Company’s accounting policy regarding the recognition of transfers between levels of the fair value hierarchy. During the fiscal years ended September 29, 2018 September 30, 2017, no The following table sets forth by level, within the fair value hierarchy, the assets measured at fair value on a recurring basis as of September 29, 2018 September 30, 2017, September 29, 2018 September 30, 2017, not 2 3. September 30, 2017 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Mutual funds: Money market funds $ 851,195 $ 851,195 Total mutual funds 851,195 851,195 Total assets $ 851,195 $ 851,195 September 29, 2018 Mutual funds: Money market funds $ 1,020,039 $ 1,020,039 Total mutual funds 1,020,039 1,020,039 Total assets $ 1,020,039 $ 1,020,039 There were no September 29, 2018 September 30, 2017. Earnings (Loss) per Share (EPS) The Company presents both a “basic” and a “diluted” EPS. Basic EPS is computed by dividing net income (loss) by the weighted average number of shares of common stock outstanding during the period. In computing diluted EPS, stock options that are dilutive (those that reduce earnings per share) are included in the calculation of EPS using the treasury stock method. The exercise of outstanding stock options is not Research and Development Research and development costs are included in product development expenses in the consolidated statements of operations. Expenditures for Company-sponsored research and development projects are expensed as incurred and were $520,662 $1,584,210 2018 2017, $2,027,944 $437,000 2018 2017, Fiscal Year-End Policy The Company’s by-laws call for its fiscal year to end on the Saturday closest to the last day of September, 2018 September 29, 2018 52 2017 September 30, 2017 52 New Accounting Pronouncements ASU 2014 09, 2015 14 606 2016 10, 2016 11 2016 12 In May 2014, 1 2 3 4 5 December 15, 2017, not 2019 Equipment Sales Revenue 606. 606, 606 606 not Engineering Services Revenue 606. 606 not 606 not ASU No. 2015 11, 330 In July 2015, December 15, 2016, first 2018 not ASU No. 2016 02, In February 2016, of cash flows arising from leases. This guidance is effective for annual reporting periods beginning after December 15, 2018, and believe that the most notable impact to the financial statements upon adoption will be the recognition of a right-of-use asset and a lease liability for the leased 2020. ASU No. 2016 09, In March 2016, December 15, 2016, This guidance was adopted by the Company in the first 2018 not ASU No. 2016 18, In November 2016, December 15, 2017, September 30, 2017 Other recent accounting pronouncements were issued by the FASB (including its Emerging Issues Task Force) and the SEC during fiscal 2018 not |
Note 3 - Restatement of Previou
Note 3 - Restatement of Previously Issued Financial Statements and Adoption of New Accounting Standards | 12 Months Ended |
Sep. 29, 2018 | |
Notes to Financial Statements | |
Accounting Changes and Error Corrections [Text Block] | ( 3 The Company has restated its consolidated financial statements as of and for the fiscal year ended September 30, 2017. The restatement reflects adjustments to correct an error in the Company’s revenue recognition for a service contract. The correction reflects an adjustment that was identified during the Company’s annual audit and during the course of a subsequent review by management. The error was the result of a misinterpretation of ASC Topic 605, Revenue Recognition the Company had misapplied the proportional performance accounting principle for its 2017 change in the revenue recognition for a services contract. consideration, at inception, the ramp up period and the significant backloading of costs and resources needed for the contract. The output method chosen in fiscal year 2017 not The Company believes the costs incurred each month compared to the total costs to be incurred better represents the level of effort being expended as the Company performs over time. The effects of the restatements on the Company’s financial statements and related footnotes for the fiscal year ended September 30, 2017 Correction of error in the application of the Company’s revenue recognition policy As reported Adjustment As adjusted Balance Sheet Deferred revenue $ - $ 484,121 $ 484,121 Accumulated deficit (822,636 ) (484,121 ) (1,306,757 ) Statement of Operations Net revenue $ 4,209,127 $ (484,121 ) $ 3,725,006 Gross profit 2,291,237 (484,121 ) 1,807,116 Operating loss (1,437,505 ) (484,121 ) (1,921,626 ) Net loss (1,429,006 ) (484,121 ) (1,913,127 ) Net loss per common share Basic (0.78 ) (0.26 ) (1.04 ) Diluted (0.78 ) (0.26 ) (1.04 ) Statement of cash flows Net loss $ (1,429,006 ) $ (484,121 ) $ (1,913,127 ) Changes in current assets and current liabilities – Deferred revenue - 484,121 484,121 Statements of Changes in Stockholders' Equity Accumulated deficit Net loss $ (1,429,006 ) $ (484,121 ) $ (1,913,127 ) Ending balance (822,636 ) (484,121 ) (1,306,757 ) Total stockholders’ equity 3,500,354 (484,121 ) 3,016,233 Footnote 10 Income Taxes Reconciliation of statutory federal income tax rate: Tax expense (benefit) at U.S. statutory rate $ (485,862 ) $ (164,601 ) $ (650,463 ) State income tax provision, net of federal benefit (81,630 ) (23,370 ) (105,000 ) Valuation allowance 613,050 187,970 801,020 Deferred income taxes: Deferred revenue - 187,970 187,970 Valuation allowance $ (4,723,406 ) $ (187,970 ) $ (4,911,376 ) Adoption of new accounting standard - ASU 2016 18 Statement of Cash Flows (Topic 230 : Restricted Cash Restri cted cash is appropriately reflected in the accompanying financial statements, as the Company was required to apply the new accounting standard retrospectively to all periods presented. The adoption of ASU 2016 18 Statement of Cash Flows (Topic 230 As reported Adjustment As adjusted Statement of Cash Flows Decrease in restricted cash $ 14,662 $ (14,662 ) $ - Cash provided by investing activities 436,904 (14,662 ) 422,242 Net decrease in cash, cash equivalents and restricted cash (1,305,363 ) (14,662 ) (1,320,025 ) Cash, cash equivalents and restricted cash as of the beginning of the year 2,589,036 27,592 2,616,628 Cash, cash equivalents and restricted cash as of the end of the year 1,283,673 12,930 1,296,603 Change in Presentation The presentation of net revenue on the accompanying consolidated statement of operations for the year ended September 30, 2017 September 29, 2018. |
Note 4 - Net Income (Loss) Per
Note 4 - Net Income (Loss) Per Share | 12 Months Ended |
Sep. 29, 2018 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | ( 4 Outstanding potentially dilutive stock options, which were not 227,137 246,281 2018 2017, |
Note 5 - Cash Equivalents and M
Note 5 - Cash Equivalents and Marketable Securities | 12 Months Ended |
Sep. 29, 2018 | |
Notes to Financial Statements | |
Cash and Cash Equivalents Disclosure [Text Block] | ( 5 The Company considers all highly liquid instruments with an original maturity of three 320, Investments—Debt and Equity Securities. one Available for sale securities are carried at fair value, with unrealized holding gains and losses reported in stockholders’ equity as a separate component of accumulated other comprehensive income (loss). Held to maturity securities are carried at amortized cost. The cost of securities sold is determined based on the specific identification method. Realized gains and losses, and declines in value judged to be other than temporary, are included in investment income. As of September 29, 2018, Accrued Gross Unrealized Estimated Cost Interest Gains Losses Fair Value Money market mutual funds $ 1,020,039 $ - $ - $ - $ 1,020,039 As of September 30, 2017, Accrued Gross Unrealized Estimated Cost Interest Gains Losses Fair Value Money market mutual funds $ 851,195 $ - $ - $ - $ 851,195 The Company did not September 29, 2018. September 30, 2017, Cost Accrued Interest Amortization Bond Premium Amortized Cost Unrealized Gains Estimated Fair Value Municipal bonds $ 412,366 $ 6,986 $ 59,099 $ 360,253 $ 216 $ 360,469 The contractual maturities of held to maturity securities at September 30, 2017 one |
Note 6 - Inventories
Note 6 - Inventories | 12 Months Ended |
Sep. 29, 2018 | |
Notes to Financial Statements | |
Inventory Disclosure [Text Block] | ( 6 Inventories consist of the following: September 29, 2018 September 30, 2017 Finished goods $ - $ 20,759 Work in process 356,278 383,216 Raw materials and supplies 1,012,418 954,369 Total inventories $ 1,368,696 $ 1,358,344 As a result of changes in the market for certain Company products and the resulting excess quantities, carrying amounts for those inventories were reduced by approximately $184,000 $461,000 September 29, 2018 September 30, 2017, no no |
Note 7 - Equipment and Leasehol
Note 7 - Equipment and Leasehold Improvements | 12 Months Ended |
Sep. 29, 2018 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | ( 7 Equipment and leasehold improvements consist of the following: September 29, 2018 September 30, 2017 Estimated Useful Life (years) Engineering and manufacturing equipment $ 2,168,148 $ 2,124,486 3 - 8 Demonstration equipment 845,541 845,541 3 Furniture and fixtures 1,020,862 1,020,862 3 - 8 Automobile 49,441 49,441 5 Leasehold improvements 494,509 494,509 Lesser of useful life or term of lease Total equipment and leasehold improvements 4,578,501 4,534,839 Less accumulated depreciation and amortization (4,529,298 ) (4,481,085 ) Equipment and leasehold improvements, net $ 49,203 $ 53,754 Depreciation expense was $48,213 $98,750 September 29, 2018 September 30, 2017, |
Note 8 - Leases
Note 8 - Leases | 12 Months Ended |
Sep. 29, 2018 | |
Notes to Financial Statements | |
Leases of Lessee Disclosure [Text Block] | ( 8 On April 1, 2014, 100 1983. five March 31, 2019 $171,000. two one September 30, 2021 two one March 31, 2024 $171,000. September 29, 2018 September 30, 2017 $171,000. September 25, 2018, September 30, 2021. $513,000 September 29, 2018 ( $171,000 2019, $171,000 2020 $171,000 2021 |
Note 9 - Guarantees
Note 9 - Guarantees | 12 Months Ended |
Sep. 29, 2018 | |
Notes to Financial Statements | |
Guarantees [Text Block] | ( 9 The Company's products generally carry a standard 15 The following table reflects changes in the Company's accrued warranty account: September 29, 2018 September 30, 2017 Beginning balance $ 15,911 $ 6,600 Plus: accruals related to new sales 2,204 14,446 Less: payments and adjustments to prior period accruals (14,803 ) (5,135 ) Ending balance $ 3,312 $ 15,911 |
Note 10 - Income Taxes
Note 10 - Income Taxes | 12 Months Ended |
Sep. 29, 2018 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | ( 10 The income tax expense (benefit) is different from what would be obtained by applying the statutory federal income tax rate to income (loss) before income taxes due to the following: September 29, 2018 September 30, 2017 Amount Percent Amount Percent Tax expense (benefit) at U.S. statutory rate $ (362,946) (24.5 %) $ (650,463 ) (34.0 %) State income tax provision, net of federal benefit (70,523 ) (4.8 %) (105,000 ) (5.5 %) Change in state income tax rate (41,961 ) (2.8 %) 563 - Change in federal income tax rate 1,443,180 97.5 % - - Other (49,462 ) (3.3 %) (46,120 ) (2.4 %) Valuation allowance (918,288 ) (62.1 %) 801,020 41.9 % Total income tax expense (benefit) $ - - $ - - Deferred income taxes consist of the following: September 29, 2018 September 30, 2017 Inventory differences $ 1,206,040 $ 1,668,529 Net operating losses 1,554,615 2,287,412 Deferred revenue 568,917 187,970 Stock based compensation 116,149 218,846 Tax credits 374,239 247,989 Other 173,128 300,630 Total 3,993,088 4,911,376 Less: valuation allowance (3,993,088 ) (4,911,376 ) Total $ - $ - On December 22, 2017, 34% 21% December 31, 2017. December 31, 2017 $1.4 no Notes to Consolidated Financial Statements (continued) from the reduction in the federal tax rate. Other relevant provisions of the TCJA did not During fiscal year 2014, against deferred tax assets. 2018, $918,288 2017, $801,020 Due to the nature of the Company’s current operations in foreign countries (selling products into these countries with the assistance of local representatives), the Company has not not The Company files income tax returns in the U.S. federal jurisdiction and in the states of Massachusetts and New Hampshire. For U.S. federal purposes, the tax years 2015 2017 2014 2017 may $245,016 2038 $5,889,175 2038. $163,136 2033 $5,029,887 2038. |
Note 11 - Employee Benefit Plan
Note 11 - Employee Benefit Plans | 12 Months Ended |
Sep. 29, 2018 | |
Notes to Financial Statements | |
Compensation and Employee Benefit Plans [Text Block] | ( 11 The Company has a qualified, contributory, profit sharing plan covering substantially all employees. The Company’s policy is to fund contributions as they are accrued. The contributions are allocated based on the employee’s proportionate share of total compensation. The Company’s contributions to the plan are determined by the Board of Directors and are subject to other specified limitations. There were no 2018 2017. $67,750 $74,130 2018 2017, The Company has an Executive Incentive Bonus Plan for the benefit of key management employees. The bonus pool is determined based on the Company’s performance as defined by the plan. Under the plan, there were no September 29, 2018 September 30, 2017. |
Note 12 - Commitments and Conti
Note 12 - Commitments and Contingencies | 12 Months Ended |
Sep. 29, 2018 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | ( 12 At September 30, 2017, two $11,730 $1,200, $12,930. September 29, 2018, no The Company maintains its cash and cash equivalents in bank deposit accounts and money market mutual funds that, at times, may not not |
Note 13 - Major Customers and E
Note 13 - Major Customers and Export Revenue | 12 Months Ended |
Sep. 29, 2018 | |
Notes to Financial Statements | |
Concentration Risk Disclosure [Text Block] | ( 13 In fiscal year 2018, one 87% September 29, 2018 one 95% 2017, two 89% 68% 21% September 30, 2017 two 98% 82% 16% A breakdown of net revenue is as follows: September 29, 2018 September 30, 2017 Domestic $ 3,422,545 $ 3,363,994 Foreign 262,394 361,012 Total Revenue $ 3,684,939 $ 3,725,006 A summary of foreign sales, as a percentage of total foreign revenue, by geographic area, is as follows: September 29, 2018 September 30, 2017 Mid-East and Africa 65.8 % 92.8 % Far East 34.2 % 7.2 % The Company sold products to customers located in four September 29, 2018 six September 30, 2017. may September 29, 2018 September 30, 2017 Egypt 14.8 % 32.5 % Jordan 5.0 % 29.3 % Saudi Arabia 46.0 % 28.0 % Philippines 34.2 % 2.8 % Other - 7.4 % |
Note 14 - Shareholder Rights Pl
Note 14 - Shareholder Rights Plan | 12 Months Ended |
Sep. 29, 2018 | |
Notes to Financial Statements | |
Share-based Payment Arrangement [Text Block] | ( 14 On August 7, 2014, August 5, 2014. not one August 18, 2014. 15% not one $25 $.001 tenth 15% August 6, 2024 |
Note 15 - Cost Method Investmen
Note 15 - Cost Method Investment | 12 Months Ended |
Sep. 29, 2018 | |
Notes to Financial Statements | |
Cost and Equity Method Investments Disclosure [Text Block] | ( 15 On October 30, 2014, $275,000 11,000 10.8% January 12, 2016, $737,283, $661,466 $75,817 10% one January 2017. |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Sep. 29, 2018 | |
Accounting Policies [Abstract] | |
Consolidation, Policy [Policy Text Block] | Principles of Consolidation The accompanying consolidated financial statements include the accounts of TCC and its wholly-owned subsidiary, TCC Investment Corp., a Massachusetts corporation. All significant intercompany accounts and transactions have been eliminated in consolidation. |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of financial statements in conformity with GAAP in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Significant judgments and estimates include those related to revenue recognition, receivable reserves, inventory reserves, impairment of long-lived assets, income taxes, fair value and stock-based compensation. Actual results could differ from those estimates. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents Cash and cash equivalents include demand deposits at banks and other investments (including mutual funds) readily convertible into cash. Cash equivalents are stated at cost, which approximates market value. At September 30, 2017, $12,930. no September 29, 2018. |
Receivable [Policy Text Block] | Accounts Receivable Accounts receivable are reduced by an allowance for amounts that management believes may In addition, if the Company becomes aware of a customer’s inability to meet its financial obligations to TCC, a specific write-off is recorded in that amount. no September 29, 2018 September 30, 2017. |
Inventory, Policy [Policy Text Block] | Inventories The Company values its inventory at the lower of actual cost (based on the first first may |
Equipment and Lease Hold Improvements [Policy Text Block] | Equipment and Leasehold Improvements Equipment and leasehold improvements are stated at cost less accumulated depreciation and amortization. Depreciation and amortization are computed using the straight-line method over the lesser of the estimated useful life of the asset or the applicable lease term. When assets are retired or otherwise disposed of, the cost and related accumulated depreciation and amortization are removed from the accounts, and any resulting gain or loss is recognized in operations for the period. The costs of maintenance and repairs are charged to operations as incurred; significant renewals and betterments are capitalized. |
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block] | Long-lived Assets The Company’s only long-lived assets are equipment and leasehold improvements. Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not operating or cash flow losses, or a projection or forecast that demonstrates continuing losses associated with the use of a long-lived asset, among other items. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of the asset to the estimated undiscounted future cash flows expected to be generated by such asset. If the carrying amount of the asset exceeds its estimated undiscounted future cash flows, an impairment charge is recognized in the amount by which the carrying amount exceeds the fair value of the asset. There were no 2018. September 30, 2017, no |
Revenue [Policy Text Block] | Revenue Recognition The Company’s engineering services revenue is derived from performing funded research and development and technology development for commercial companies and government agencies primarily under fixed-price contracts. On fixed-price contracts that are expected to exceed one The Company recognizes equipment sales revenue when there is persuasive evidence of an arrangement, the fee is fixed or determinable, delivery of the product and passage of title to the customer has occurred and the Company has determined that collection of the fee is probable. Title to the product generally passes upon shipment of the product, as the products are shipped freight on board shipping point, except for certain foreign shipments where title passes upon entry of the product into the first As of September 29, 2018 September 30, 2017, $2,107,000 $484,000, All payments to the Company for work performed on contracts with agencies of the U.S. government are subject to audit and adjustment by the Defense Contract Audit Agency, the U.S. Government Accountability Office and other agencies. Adjustments are recognized in the period made. There have been no not Costs incurred in connection with funded research and development are included in cost of revenue. Product development costs are charged to billable engineering services, bid and proposal efforts or business development activities, as appropriate. Product development costs charged to billable projects are recorded as cost of revenue; engineering costs charged to bid and proposal efforts are recorded as selling expenses; and product development costs charged to business development activities are recorded as marketing expenses. Product development costs consist primarily of costs associated with personnel, outside contractor and engineering services, supplies and materials. Cost of product revenue includes material, labor and overhead. Revenue for the fiscal year ended September 29, 2018 $3,236,000 $449,000 $784,000 $2,940,000 September 30, 2017. |
Compensation Related Costs, Policy [Policy Text Block] | Stock-Based Compensation Stock-based compensation expense is measured at the grant date based on the calculated fair value of the award. The expense is recognized over the employee’s requisite service period, generally the vesting period of the award. The related excess tax benefit received upon the exercise of stock options, if any, is reflected in the Company’s statement of cash flows as an operating activity. There were no September 29, 2018 September 30, 2017. The Company uses the Black-Scholes option pricing model as the method for determining the estimated fair value of its stock awards. The Black-Scholes method of valuation requires several assumptions: ( 1 2 3 4 not The fair value of options at date of grant was estimated with the following assumptions: September 29, 2018 September 30, 2017 Assumptions: Option life (years) 6.5 6.5 Risk-free interest rate 2.8 % 2.0 % Stock volatility 85 % 72 % Dividend yield 0 % 0 % There were 20,500 14,000 September 29, 2018 September 30, 2017, September 29, 2018 September 30, 2017 $4.55 $1.66, September 29, 2018 September 30, 2017: 2018 2017 Selling, general and administrative $ 24,939 $ 13,910 Product development 5,353 1,086 Total stock-based compensation expense before taxes $ 30,292 $ 14,996 As of September 29, 2018 $116,675 September 29, 2018 3.85 The Technical Communications Corporation 2005 2010 September 29, 2018. 600,000 227,137 September 29, 2018. zero five ten As of September 29, 2018, 224,563 2010 2005 no The following tables summarize stock option activity during fiscal years 2017 2018: Options Outstanding Number of Shares Weighted Average Weighted Average Contractual Life Unvested Vested Total Exercise Price (years) Outstanding, October 1, 2016 26,700 216,981 243,681 $ 8.69 4.57 Grants 14,000 - 14,000 2.50 Vested (5,900 ) 5,900 - 3.61 Exercises - - - - Cancellations/forfeitures (600 ) (10,800 ) (11,400 ) 8.24 Outstanding, September 30, 2017 34,200 212,081 246,281 $ 8.36 3.95 Grants 20,500 - 20,500 6.22 Vested (10,000 ) 10,000 - 3.25 Exercises - (31,800 ) (31,800 ) 5.60 Cancellations/forfeitures - (7,844 ) (7,844 ) 9.68 Outstanding, September 29, 2018 44,700 182,437 227,137 $ 8.50 3.76 Information related to the stock options vested or expected to vest as of September 29, 2018 Range of Exercise Prices Number of Shares Weighted- Average Remaining Contractual Life (years) Weighted- Average Exercise Price Exercisable Number of Shares Exercisable Weighted- Average Exercise Price $2.01 - $3.00 25,200 7.90 $ 2.69 5,600 $ 2.75 $3.01 - $4.00 6,000 9.85 3.80 1,200 3.80 $4.01 - $5.00 30,500 3.55 4.55 24,500 4.66 $5.01 - $10.00 51,000 5.06 7.80 36,700 8.02 $10.01 - $15.00 114,437 2.01 11.40 114,437 11.40 227,137 3.76 $ 8.50 182,437 $ 9.50 The aggregate intrinsic value of the Company’s “in-the-money” outstanding and exercisable options was $13,625 September 29, 2018 $14,140 September 30, 2017. 31,800 September 29, 2018 $140,350 none September 30, 2017. |
Income Tax, Policy [Policy Text Block] | Income Taxes The Company accounts for income taxes using the asset/liability method. Under the asset/liability method, deferred income taxes are recognized at current income tax rates to reflect the tax effect of temporary differences between the consolidated financial reporting basis and tax basis of assets and liabilities. The Company provides a valuation allowance, if necessary, to reduce deferred tax assets to their estimated realizable value. The Company follows the appropriate guidance relative to uncertain tax positions. This standard provides detailed guidance for the financial statement recognition, measurement and disclosure of uncertain tax positions recognized in the financial statements. Uncertain tax positions must meet a recognition threshold of more-likely-than- not no September 29, 2018 September 30, 2017. |
Standard Product Warranty, Policy [Policy Text Block] | Warranty Costs The Company provides for estimated warranty costs at the time product revenue is recognized based upon historical experience. |
Fair Value of Financial Instruments, Policy [Policy Text Block] | Fair Value of Financial Measurements In determining fair value measurements, the Company follows the provisions of FASB ASC 820, Fair Value Measurements and Disclosures 820 three three Level 1 Pricing inputs are quoted prices available in active markets for identical assets or liabilities as of the measurement date. Level 2 Pricing inputs are quoted prices for similar assets and liabilities, or inputs that are observable, either directly or indirectly, for substantially the full term through corroboration with observable market data. Level 3 Pricing inputs are unobservable for the assets and liabilities, that is, inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability. In certain cases, the inputs used to measure fair value may The Company’s held to maturity securities are comprised of investments in municipal bonds. These securities represent ownership in individual bonds in municipalities within the United States. The value of these securities is disclosed in Note 5. The Company assesses the levels of the investments at each measurement date, and transfers between levels are recognized on the actual date of the event or change in circumstances that caused the transfer in accordance with the Company’s accounting policy regarding the recognition of transfers between levels of the fair value hierarchy. During the fiscal years ended September 29, 2018 September 30, 2017, no The following table sets forth by level, within the fair value hierarchy, the assets measured at fair value on a recurring basis as of September 29, 2018 September 30, 2017, September 29, 2018 September 30, 2017, not 2 3. September 30, 2017 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Mutual funds: Money market funds $ 851,195 $ 851,195 Total mutual funds 851,195 851,195 Total assets $ 851,195 $ 851,195 September 29, 2018 Mutual funds: Money market funds $ 1,020,039 $ 1,020,039 Total mutual funds 1,020,039 1,020,039 Total assets $ 1,020,039 $ 1,020,039 There were no September 29, 2018 September 30, 2017. |
Earnings Per Share, Policy [Policy Text Block] | Earnings (Loss) per Share (EPS) The Company presents both a “basic” and a “diluted” EPS. Basic EPS is computed by dividing net income (loss) by the weighted average number of shares of common stock outstanding during the period. In computing diluted EPS, stock options that are dilutive (those that reduce earnings per share) are included in the calculation of EPS using the treasury stock method. The exercise of outstanding stock options is not |
Research and Development Expense, Policy [Policy Text Block] | Research and Development Research and development costs are included in product development expenses in the consolidated statements of operations. Expenditures for Company-sponsored research and development projects are expensed as incurred and were $520,662 $1,584,210 2018 2017, $2,027,944 $437,000 2018 2017, |
Fiscal Period, Policy [Policy Text Block] | Fiscal Year-End Policy The Company’s by-laws call for its fiscal year to end on the Saturday closest to the last day of September, 2018 September 29, 2018 52 2017 September 30, 2017 52 |
New Accounting Pronouncements, Policy [Policy Text Block] | New Accounting Pronouncements ASU 2014 09, 2015 14 606 2016 10, 2016 11 2016 12 In May 2014, 1 2 3 4 5 December 15, 2017, not 2019 Equipment Sales Revenue 606. 606, 606 606 not Engineering Services Revenue 606. 606 not 606 not ASU No. 2015 11, 330 In July 2015, December 15, 2016, first 2018 not ASU No. 2016 02, In February 2016, of cash flows arising from leases. This guidance is effective for annual reporting periods beginning after December 15, 2018, and believe that the most notable impact to the financial statements upon adoption will be the recognition of a right-of-use asset and a lease liability for the leased 2020. ASU No. 2016 09, In March 2016, December 15, 2016, This guidance was adopted by the Company in the first 2018 not ASU No. 2016 18, In November 2016, December 15, 2017, September 30, 2017 Other recent accounting pronouncements were issued by the FASB (including its Emerging Issues Task Force) and the SEC during fiscal 2018 not |
Note 2 - Summary of Significa_2
Note 2 - Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Sep. 29, 2018 | |
Notes Tables | |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | September 29, 2018 September 30, 2017 Assumptions: Option life (years) 6.5 6.5 Risk-free interest rate 2.8 % 2.0 % Stock volatility 85 % 72 % Dividend yield 0 % 0 % |
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Table Text Block] | 2018 2017 Selling, general and administrative $ 24,939 $ 13,910 Product development 5,353 1,086 Total stock-based compensation expense before taxes $ 30,292 $ 14,996 |
Share-based Payment Arrangement, Option, Activity [Table Text Block] | Options Outstanding Number of Shares Weighted Average Weighted Average Contractual Life Unvested Vested Total Exercise Price (years) Outstanding, October 1, 2016 26,700 216,981 243,681 $ 8.69 4.57 Grants 14,000 - 14,000 2.50 Vested (5,900 ) 5,900 - 3.61 Exercises - - - - Cancellations/forfeitures (600 ) (10,800 ) (11,400 ) 8.24 Outstanding, September 30, 2017 34,200 212,081 246,281 $ 8.36 3.95 Grants 20,500 - 20,500 6.22 Vested (10,000 ) 10,000 - 3.25 Exercises - (31,800 ) (31,800 ) 5.60 Cancellations/forfeitures - (7,844 ) (7,844 ) 9.68 Outstanding, September 29, 2018 44,700 182,437 227,137 $ 8.50 3.76 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding and Exercisable [Table Text Block] | Range of Exercise Prices Number of Shares Weighted- Average Remaining Contractual Life (years) Weighted- Average Exercise Price Exercisable Number of Shares Exercisable Weighted- Average Exercise Price $2.01 - $3.00 25,200 7.90 $ 2.69 5,600 $ 2.75 $3.01 - $4.00 6,000 9.85 3.80 1,200 3.80 $4.01 - $5.00 30,500 3.55 4.55 24,500 4.66 $5.01 - $10.00 51,000 5.06 7.80 36,700 8.02 $10.01 - $15.00 114,437 2.01 11.40 114,437 11.40 227,137 3.76 $ 8.50 182,437 $ 9.50 |
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | September 30, 2017 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Mutual funds: Money market funds $ 851,195 $ 851,195 Total mutual funds 851,195 851,195 Total assets $ 851,195 $ 851,195 September 29, 2018 Mutual funds: Money market funds $ 1,020,039 $ 1,020,039 Total mutual funds 1,020,039 1,020,039 Total assets $ 1,020,039 $ 1,020,039 |
Note 3 - Restatement of Previ_2
Note 3 - Restatement of Previously Issued Financial Statements and Adoption of New Accounting Standards (Tables) | 12 Months Ended |
Sep. 29, 2018 | |
Notes Tables | |
Schedule of Error Corrections and Prior Period Adjustments [Table Text Block] | As reported Adjustment As adjusted Balance Sheet Deferred revenue $ - $ 484,121 $ 484,121 Accumulated deficit (822,636 ) (484,121 ) (1,306,757 ) Statement of Operations Net revenue $ 4,209,127 $ (484,121 ) $ 3,725,006 Gross profit 2,291,237 (484,121 ) 1,807,116 Operating loss (1,437,505 ) (484,121 ) (1,921,626 ) Net loss (1,429,006 ) (484,121 ) (1,913,127 ) Net loss per common share Basic (0.78 ) (0.26 ) (1.04 ) Diluted (0.78 ) (0.26 ) (1.04 ) Statement of cash flows Net loss $ (1,429,006 ) $ (484,121 ) $ (1,913,127 ) Changes in current assets and current liabilities – Deferred revenue - 484,121 484,121 Statements of Changes in Stockholders' Equity Accumulated deficit Net loss $ (1,429,006 ) $ (484,121 ) $ (1,913,127 ) Ending balance (822,636 ) (484,121 ) (1,306,757 ) Total stockholders’ equity 3,500,354 (484,121 ) 3,016,233 Footnote 10 Income Taxes Reconciliation of statutory federal income tax rate: Tax expense (benefit) at U.S. statutory rate $ (485,862 ) $ (164,601 ) $ (650,463 ) State income tax provision, net of federal benefit (81,630 ) (23,370 ) (105,000 ) Valuation allowance 613,050 187,970 801,020 Deferred income taxes: Deferred revenue - 187,970 187,970 Valuation allowance $ (4,723,406 ) $ (187,970 ) $ (4,911,376 ) As reported Adjustment As adjusted Statement of Cash Flows Decrease in restricted cash $ 14,662 $ (14,662 ) $ - Cash provided by investing activities 436,904 (14,662 ) 422,242 Net decrease in cash, cash equivalents and restricted cash (1,305,363 ) (14,662 ) (1,320,025 ) Cash, cash equivalents and restricted cash as of the beginning of the year 2,589,036 27,592 2,616,628 Cash, cash equivalents and restricted cash as of the end of the year 1,283,673 12,930 1,296,603 |
Note 5 - Cash Equivalents and_2
Note 5 - Cash Equivalents and Marketable Securities (Tables) | 12 Months Ended |
Sep. 29, 2018 | |
Notes Tables | |
Schedule of Available-for-sale Securities Reconciliation [Table Text Block] | Accrued Gross Unrealized Estimated Cost Interest Gains Losses Fair Value Money market mutual funds $ 1,020,039 $ - $ - $ - $ 1,020,039 Accrued Gross Unrealized Estimated Cost Interest Gains Losses Fair Value Money market mutual funds $ 851,195 $ - $ - $ - $ 851,195 |
Debt Securities, Held-to-maturity [Table Text Block] | Cost Accrued Interest Amortization Bond Premium Amortized Cost Unrealized Gains Estimated Fair Value Municipal bonds $ 412,366 $ 6,986 $ 59,099 $ 360,253 $ 216 $ 360,469 |
Note 6 - Inventories (Tables)
Note 6 - Inventories (Tables) | 12 Months Ended |
Sep. 29, 2018 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | September 29, 2018 September 30, 2017 Finished goods $ - $ 20,759 Work in process 356,278 383,216 Raw materials and supplies 1,012,418 954,369 Total inventories $ 1,368,696 $ 1,358,344 |
Note 7 - Equipment and Leaseh_2
Note 7 - Equipment and Leasehold Improvements (Tables) | 12 Months Ended |
Sep. 29, 2018 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | September 29, 2018 September 30, 2017 Estimated Useful Life (years) Engineering and manufacturing equipment $ 2,168,148 $ 2,124,486 3 - 8 Demonstration equipment 845,541 845,541 3 Furniture and fixtures 1,020,862 1,020,862 3 - 8 Automobile 49,441 49,441 5 Leasehold improvements 494,509 494,509 Lesser of useful life or term of lease Total equipment and leasehold improvements 4,578,501 4,534,839 Less accumulated depreciation and amortization (4,529,298 ) (4,481,085 ) Equipment and leasehold improvements, net $ 49,203 $ 53,754 |
Note 9 - Guarantees (Tables)
Note 9 - Guarantees (Tables) | 12 Months Ended |
Sep. 29, 2018 | |
Notes Tables | |
Schedule of Product Warranty Liability [Table Text Block] | September 29, 2018 September 30, 2017 Beginning balance $ 15,911 $ 6,600 Plus: accruals related to new sales 2,204 14,446 Less: payments and adjustments to prior period accruals (14,803 ) (5,135 ) Ending balance $ 3,312 $ 15,911 |
Note 10 - Income Taxes (Tables)
Note 10 - Income Taxes (Tables) | 12 Months Ended |
Sep. 29, 2018 | |
Notes Tables | |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | September 29, 2018 September 30, 2017 Amount Percent Amount Percent Tax expense (benefit) at U.S. statutory rate $ (362,946) (24.5 %) $ (650,463 ) (34.0 %) State income tax provision, net of federal benefit (70,523 ) (4.8 %) (105,000 ) (5.5 %) Change in state income tax rate (41,961 ) (2.8 %) 563 - Change in federal income tax rate 1,443,180 97.5 % - - Other (49,462 ) (3.3 %) (46,120 ) (2.4 %) Valuation allowance (918,288 ) (62.1 %) 801,020 41.9 % Total income tax expense (benefit) $ - - $ - - |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | September 29, 2018 September 30, 2017 Inventory differences $ 1,206,040 $ 1,668,529 Net operating losses 1,554,615 2,287,412 Deferred revenue 568,917 187,970 Stock based compensation 116,149 218,846 Tax credits 374,239 247,989 Other 173,128 300,630 Total 3,993,088 4,911,376 Less: valuation allowance (3,993,088 ) (4,911,376 ) Total $ - $ - |
Note 13 - Major Customers and_2
Note 13 - Major Customers and Export Revenue (Tables) | 12 Months Ended |
Sep. 29, 2018 | |
Notes Tables | |
Revenue from External Customers by Geographic Areas [Table Text Block] | September 29, 2018 September 30, 2017 Domestic $ 3,422,545 $ 3,363,994 Foreign 262,394 361,012 Total Revenue $ 3,684,939 $ 3,725,006 |
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area [Table Text Block] | September 29, 2018 September 30, 2017 Mid-East and Africa 65.8 % 92.8 % Far East 34.2 % 7.2 % September 29, 2018 September 30, 2017 Egypt 14.8 % 32.5 % Jordan 5.0 % 29.3 % Saudi Arabia 46.0 % 28.0 % Philippines 34.2 % 2.8 % Other - 7.4 % |
Note 1 - Company Operations (De
Note 1 - Company Operations (Details Textual) - USD ($) | Sep. 29, 2019 | Sep. 29, 2018 | Sep. 30, 2017 |
Retained Earnings (Accumulated Deficit), Ending Balance | $ (2,733,000) | $ (2,786,356) | $ (1,306,757) |
Note 2 - Summary of Significa_3
Note 2 - Summary of Significant Accounting Policies (Details Textual) - USD ($) | 12 Months Ended | |
Sep. 29, 2018 | Sep. 30, 2017 | |
Restricted Cash and Cash Equivalents, Current, Total | $ 0 | $ 12,930 |
Accounts Receivable, Allowance for Credit Loss, Ending Balance | 0 | |
Impairment of Long-Lived Assets Held-for-use | 0 | 0 |
Deferred Revenue, Total | 2,106,514 | 484,121 |
Revenues, Total | 3,684,939 | 3,725,006 |
Share-based Payment Arrangement, Expense, Tax Benefit | $ 0 | $ 0 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 20,500 | 14,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 4.55 | $ 1.66 |
Share-based Payment Arrangement, Nonvested Award, Option, Cost Not yet Recognized, Amount | $ 116,675 | $ 3.85 |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 600,000 | |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 227,137 | |
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value | $ 13,625 | $ 14,140 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 31,800 | 0 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value | $ 140,350 | |
Unrecognized Tax Benefits, Ending Balance | 0 | $ 0 |
Research and Development Expense, Total | 520,663 | 1,584,210 |
Cost of Sales [Member] | ||
Research and Development Arrangement, Contract to Perform for Others, Costs Incurred, Gross | 2,027,944 | 437,000 |
Fair Value, Nonrecurring [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure | $ 0 | 0 |
Equity Incentive Plan 2010 [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 224,563 | |
Minimum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 0 years | |
Maximum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 5 years | |
Engineering Services [Member] | ||
Revenues, Total | $ 3,236,135 | 784,337 |
Equipment Sales [Member] | ||
Revenues, Total | $ 448,804 | $ 2,940,669 |
Note 2 - Summary of Significa_4
Note 2 - Summary of Significant Accounting Policies - Assumptions for Estimated Fair Value of Options at Date of Grant (Details) | 12 Months Ended | |
Sep. 29, 2018 | Sep. 30, 2017 | |
Option life (years) (Year) | 6 years 182 days | 6 years 182 days |
Risk-free interest rate | 2.80% | 2.00% |
Stock volatility | 85.00% | 72.00% |
Dividend yield | 0.00% | 0.00% |
Note 2 - Summary of Significa_5
Note 2 - Summary of Significant Accounting Policies - Stock-based Compensation Costs (Details) - USD ($) | 12 Months Ended | |
Sep. 29, 2018 | Sep. 30, 2017 | |
Total stock-based compensation expense before taxes | $ 30,292 | $ 14,996 |
Selling, General and Administrative Expenses [Member] | ||
Total stock-based compensation expense before taxes | 24,939 | 13,910 |
Product Development Expenses [Member] | ||
Total stock-based compensation expense before taxes | $ 5,353 | $ 1,086 |
Note 2 - Summary of Significa_6
Note 2 - Summary of Significant Accounting Policies and Significant Judgments and Estimates - Stock Option Activity (Details) - $ / shares | 12 Months Ended | ||
Sep. 29, 2018 | Sep. 30, 2017 | Oct. 01, 2016 | |
Outstanding, unvested (in shares) | 34,200 | 26,700 | |
Outstanding, vested (in shares) | 212,081 | 216,981 | |
Outstanding (in shares) | 246,281 | 243,681 | |
Outstanding, weighted average exercise price (in dollars per share) | $ 8.36 | $ 8.69 | |
Outstanding, weighted average contractual life (Year) | 3 years 277 days | 3 years 346 days | 4 years 208 days |
Grants, unvested (in shares) | 20,500 | 14,000 | |
Grants, vested (in shares) | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 20,500 | 14,000 | |
Grants, weighted average exercise price (in dollars per share) | $ 6.22 | $ 2.50 | |
Vested, unvested (in shares) | (10,000) | (5,900) | |
Vested, vested (in shares) | 10,000 | 5,900 | |
Vested, weighted average exercise price (in dollars per share) | $ 3.25 | $ 3.61 | |
Exercises (in shares) | (31,800) | 0 | |
Cancellations/forfeitures, unvested (in shares) | (600) | ||
Cancellations/forfeitures, vested (in shares) | (7,844) | (10,800) | |
Cancellations/forfeitures (in shares) | (7,844) | (11,400) | |
Cancellations/forfeitures, weighted average exercise price (in dollars per share) | $ 9.68 | $ 8.24 | |
Outstanding, unvested (in shares) | 44,700 | 34,200 | 26,700 |
Outstanding, vested (in shares) | 182,437 | 212,081 | 216,981 |
Outstanding (in shares) | 227,137 | 246,281 | 243,681 |
Outstanding, weighted average exercise price (in dollars per share) | $ 8.50 | $ 8.36 | $ 8.69 |
Exercises, vested (in shares) | (31,800) | ||
Exercises, weighted average exercise price (in dollars per share) | $ 5.60 |
Note 2 - Summary of Significa_7
Note 2 - Summary of Significant Accounting Policies - Stock Options Vested and Expected to Vest (Details) | 12 Months Ended |
Sep. 29, 2018$ / sharesshares | |
Number of shares (in shares) | shares | 227,137 |
Weighted-average remaining contractual life (Year) | 3 years 277 days |
Weighted average exercise price (in dollars per share) | $ 8.50 |
Exercisable number of shares (in shares) | shares | 182,437 |
Exercisable weighted- average exercise price (in dollars per share) | $ 9.50 |
Range One [Member] | |
Range of exercise prices, lower (in dollars per share) | 2.01 |
Range of exercise prices, upper (in dollars per share) | $ 3 |
Number of shares (in shares) | shares | 25,200 |
Weighted-average remaining contractual life (Year) | 7 years 328 days |
Weighted average exercise price (in dollars per share) | $ 2.69 |
Exercisable number of shares (in shares) | shares | 5,600 |
Exercisable weighted- average exercise price (in dollars per share) | $ 2.75 |
Range Two [Member] | |
Range of exercise prices, lower (in dollars per share) | 3.01 |
Range of exercise prices, upper (in dollars per share) | $ 4 |
Number of shares (in shares) | shares | 6,000 |
Weighted-average remaining contractual life (Year) | 9 years 310 days |
Weighted average exercise price (in dollars per share) | $ 3.80 |
Exercisable number of shares (in shares) | shares | 1,200 |
Exercisable weighted- average exercise price (in dollars per share) | $ 3.80 |
Range Three [Member] | |
Range of exercise prices, lower (in dollars per share) | 4.01 |
Range of exercise prices, upper (in dollars per share) | $ 5 |
Number of shares (in shares) | shares | 30,500 |
Weighted-average remaining contractual life (Year) | 3 years 200 days |
Weighted average exercise price (in dollars per share) | $ 4.55 |
Exercisable number of shares (in shares) | shares | 24,500 |
Exercisable weighted- average exercise price (in dollars per share) | $ 4.66 |
Range Four [Member] | |
Range of exercise prices, lower (in dollars per share) | 5.01 |
Range of exercise prices, upper (in dollars per share) | $ 10 |
Number of shares (in shares) | shares | 51,000 |
Weighted-average remaining contractual life (Year) | 5 years 21 days |
Weighted average exercise price (in dollars per share) | $ 7.80 |
Exercisable number of shares (in shares) | shares | 36,700 |
Exercisable weighted- average exercise price (in dollars per share) | $ 8.02 |
Range Five [Member] | |
Range of exercise prices, lower (in dollars per share) | 10.01 |
Range of exercise prices, upper (in dollars per share) | $ 15 |
Number of shares (in shares) | shares | 114,437 |
Weighted-average remaining contractual life (Year) | 2 years 3 days |
Weighted average exercise price (in dollars per share) | $ 11.40 |
Exercisable number of shares (in shares) | shares | 114,437 |
Exercisable weighted- average exercise price (in dollars per share) | $ 11.40 |
Note 2 - Summary of Significa_8
Note 2 - Summary of Significant Accounting Policies - Assets Measured at Fair Value on Recurring Basis (Details) - Fair Value, Recurring [Member] - USD ($) | Sep. 29, 2018 | Sep. 30, 2017 |
Cash Equivalents | $ 1,020,039 | $ 851,195 |
Total assets | 1,020,039 | 851,195 |
Fair Value, Inputs, Level 1 [Member] | ||
Cash Equivalents | 1,020,039 | 851,195 |
Total assets | 1,020,039 | 851,195 |
Money Market Funds [Member] | ||
Cash Equivalents | 1,020,039 | 851,195 |
Money Market Funds [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Cash Equivalents | $ 1,020,039 | $ 851,195 |
Note 3 - Restatement of Previ_3
Note 3 - Restatement of Previously Issued Financial Statements and Adoption of New Accounting Standard - Adjustment of Financial Statements and Footnotes (Details) - USD ($) | 12 Months Ended | ||
Sep. 29, 2018 | Sep. 30, 2017 | Sep. 29, 2019 | |
Deferred Revenue, Total | $ 2,106,514 | $ 484,121 | |
Accumulated deficit | (2,786,356) | (1,306,757) | $ (2,733,000) |
Revenues, Total | 3,684,939 | 3,725,006 | |
Gross profit | 972,213 | 1,807,116 | |
Operating loss | (1,489,625) | (1,921,626) | |
Net loss | $ (1,479,599) | $ (1,913,127) | |
Basic (in dollars per share) | $ (0.80) | $ (1.04) | |
Diluted (in dollars per share) | $ (0.80) | $ (1.04) | |
Deferred revenue | $ 1,622,393 | $ 484,121 | |
Total stockholders’ equity | 1,533,056 | 3,016,233 | |
Tax expense (benefit) at U.S. statutory rate | (362,946) | (650,463) | |
State income tax provision, net of federal benefit | (70,523) | (105,000) | |
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | (918,288) | 801,020 | |
Deferred revenue | 568,917 | 187,970 | |
Valuation allowance | (3,993,088) | (4,911,376) | |
Decrease in restricted cash | |||
Cash provided by investing activities | 306,338 | 422,242 | |
Net decrease in cash, cash equivalents and restricted cash | 685,831 | (1,320,025) | |
Cash, cash equivalents and restricted cash at beginning of year | 1,296,603 | 2,616,628 | |
Cash, cash equivalents and restricted cash at end of year | 1,982,434 | 1,296,603 | |
Previously Reported [Member] | |||
Deferred Revenue, Total | |||
Accumulated deficit | (822,636) | ||
Revenues, Total | 4,209,127 | ||
Gross profit | 2,291,237 | ||
Operating loss | (1,437,505) | ||
Net loss | $ (1,429,006) | ||
Basic (in dollars per share) | $ (0.78) | ||
Diluted (in dollars per share) | $ (0.78) | ||
Deferred revenue | |||
Total stockholders’ equity | 3,500,354 | ||
Tax expense (benefit) at U.S. statutory rate | (485,862) | ||
State income tax provision, net of federal benefit | (81,630) | ||
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | 613,050 | ||
Deferred revenue | |||
Valuation allowance | (4,723,406) | ||
Decrease in restricted cash | 14,662 | ||
Cash provided by investing activities | 436,904 | ||
Net decrease in cash, cash equivalents and restricted cash | (1,305,363) | ||
Cash, cash equivalents and restricted cash at beginning of year | 1,283,673 | 2,589,036 | |
Cash, cash equivalents and restricted cash at end of year | 1,283,673 | ||
Restatement Adjustment [Member] | |||
Deferred Revenue, Total | 484,121 | ||
Accumulated deficit | (484,121) | ||
Revenues, Total | (484,121) | ||
Gross profit | (484,121) | ||
Operating loss | (484,121) | ||
Net loss | $ (484,121) | ||
Basic (in dollars per share) | $ (0.26) | ||
Diluted (in dollars per share) | $ (0.26) | ||
Deferred revenue | $ 484,121 | ||
Total stockholders’ equity | (484,121) | ||
Tax expense (benefit) at U.S. statutory rate | (164,601) | ||
State income tax provision, net of federal benefit | (23,370) | ||
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | 187,970 | ||
Deferred revenue | 187,970 | ||
Valuation allowance | (187,970) | ||
Decrease in restricted cash | (14,662) | ||
Cash provided by investing activities | (14,662) | ||
Net decrease in cash, cash equivalents and restricted cash | (14,662) | ||
Cash, cash equivalents and restricted cash at beginning of year | $ 12,930 | 27,592 | |
Cash, cash equivalents and restricted cash at end of year | $ 12,930 |
Note 4 - Net Income (Loss) Pe_2
Note 4 - Net Income (Loss) Per Share (Details Textual) - shares | 12 Months Ended | |
Sep. 29, 2018 | Sep. 30, 2017 | |
Share-based Payment Arrangement, Option [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 227,137 | 246,281 |
Note 5 - Cash Equivalents and_3
Note 5 - Cash Equivalents and Marketable Securities - Available for Sale Securities (Details) - Money Market Funds [Member] - USD ($) | Sep. 29, 2018 | Sep. 30, 2017 |
Available for sale, cost | $ 1,020,039 | $ 851,195 |
Accrued interest | ||
Available for sale, gains | ||
Available for sale, losses | ||
Available for sale, estimated fair value | $ 1,020,039 | $ 851,195 |
Note 5 - Cash Equivalents and_4
Note 5 - Cash Equivalents and Marketable Securities - Held to Maturity Securities (Details) - Municipal Bonds [Member] | Sep. 30, 2017USD ($) |
Held to maturity, cost | $ 412,366 |
Held to maturity, accrued interest | 6,986 |
Held to maturity, amortization bond premium | 59,099 |
Held to maturity, amortized cost | 360,253 |
Held to maturity, unrealized losses | 216 |
Held to maturity, estimated fair value | $ 360,469 |
Note 6 - Inventories (Details T
Note 6 - Inventories (Details Textual) - USD ($) | Sep. 29, 2018 | Sep. 30, 2017 |
Inventory Valuation Reserves, Ending Balance | $ 184,000 | $ 461,000 |
Note 6 - Inventories - Schedule
Note 6 - Inventories - Schedule of Inventory (Details) - USD ($) | Sep. 29, 2018 | Sep. 30, 2017 |
Finished goods | $ 20,759 | |
Work in process | 356,278 | 383,216 |
Raw materials and supplies | 1,012,418 | 954,369 |
Total inventories | $ 1,368,696 | $ 1,358,344 |
Note 7 - Equipment and Leaseh_3
Note 7 - Equipment and Leasehold Improvements (Details Textual) - USD ($) | 12 Months Ended | |
Sep. 29, 2018 | Sep. 30, 2017 | |
Depreciation, Depletion and Amortization, Nonproduction, Total | $ 48,213 | $ 98,750 |
Note 7 - Equipment and Leaseh_4
Note 7 - Equipment and Leasehold Improvements - Schedule of Equipment and Leasehold Improvements (Details) - USD ($) | 12 Months Ended | |
Sep. 29, 2018 | Sep. 30, 2017 | |
Equipment and leasehold improvements | $ 4,578,501 | $ 4,534,839 |
Less accumulated depreciation and amortization | (4,529,298) | (4,481,085) |
Equipment and leasehold improvements, net | 49,203 | 53,754 |
Engineering and Manufacturing Equipment [Member] | ||
Equipment and leasehold improvements | $ 2,168,148 | 2,124,486 |
Engineering and Manufacturing Equipment [Member] | Minimum [Member] | ||
Property, plant, and equipment, useful life (Year) | 3 years | |
Engineering and Manufacturing Equipment [Member] | Maximum [Member] | ||
Property, plant, and equipment, useful life (Year) | 8 years | |
Demonstration Equipment [Member] | ||
Equipment and leasehold improvements | $ 845,541 | 845,541 |
Property, plant, and equipment, useful life (Year) | 3 years | |
Furniture and Fixtures [Member] | ||
Equipment and leasehold improvements | $ 1,020,862 | 1,020,862 |
Furniture and Fixtures [Member] | Minimum [Member] | ||
Property, plant, and equipment, useful life (Year) | 3 years | |
Furniture and Fixtures [Member] | Maximum [Member] | ||
Property, plant, and equipment, useful life (Year) | 8 years | |
Vehicles [Member] | ||
Equipment and leasehold improvements | $ 49,441 | 49,441 |
Property, plant, and equipment, useful life (Year) | 5 years | |
Leasehold Improvements [Member] | ||
Equipment and leasehold improvements | $ 494,509 | $ 494,509 |
Property, plant, and equipment, estimated useful lives | Lesser of useful life or term of lease |
Note 8 - Leases (Details Textua
Note 8 - Leases (Details Textual) - USD ($) | 12 Months Ended | |
Sep. 29, 2018 | Sep. 30, 2017 | |
Lessee, Operating Lease, Term of Contract | 5 years | |
Lease Annual Rent Payments | $ 171,000 | |
Lessee, Operating Lease, Renewal Term | 2 years 182 days | |
Operating Leases, Rent Expense, Total | $ 171,000 | $ 171,000 |
Operating Leases, Future Minimum Payments Due, Total | 513,000 | |
Operating Leases, Future Minimum Payments Due, Next Twelve Months | 171,000 | |
Operating Leases, Future Minimum Payments, Due in Two Years | 171,000 | |
Operating Leases, Future Minimum Payments, Due in Three Years | $ 171,000 |
Note 9 - Guarantees (Details Te
Note 9 - Guarantees (Details Textual) | 12 Months Ended |
Sep. 29, 2018 | |
Standard Product Warranty Period | 1 year 90 days |
Note 9 - Guarantees - Schedule
Note 9 - Guarantees - Schedule of Product Warranty Liability (Details) - USD ($) | 12 Months Ended | |
Sep. 29, 2018 | Sep. 30, 2017 | |
Beginning balance | $ 15,911 | $ 6,600 |
Plus: accruals related to new sales | 2,204 | 14,446 |
Less: payments and adjustments to prior period accruals | (14,803) | (5,135) |
Ending balance | $ 3,312 | $ 15,911 |
Note 10 - Income Taxes (Details
Note 10 - Income Taxes (Details Textual) - USD ($) | 12 Months Ended | |
Sep. 29, 2018 | Sep. 30, 2017 | |
Income Tax Expense (Benefit), Continuing Operations, Adjustment of Deferred Tax (Asset) Liability | $ 1,400,000 | |
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | $ (918,288) | $ 801,020 |
Domestic Tax Authority [Member] | ||
Open Tax Year | 2015 2016 2017 | |
Operating Loss Carryforwards, Total | $ 5,889,175 | |
Operating Loss Carry Forward Expiration Year | 2038 | |
Domestic Tax Authority [Member] | Research Tax Credit Carryforward [Member] | ||
Tax Credit Carryforward, Amount | $ 245,016 | |
Tax Credit Carry Forward Expiration Year | 2038 | |
State and Local Jurisdiction [Member] | ||
Open Tax Year | 2014 2015 2016 2017 | |
Operating Loss Carryforwards, Total | $ 5,029,887 | |
Operating Loss Carry Forward Expiration Year | 2038 | |
State and Local Jurisdiction [Member] | Research Tax Credit Carryforward [Member] | ||
Tax Credit Carryforward, Amount | $ 163,136 | |
Tax Credit Carry Forward Expiration Year | 2033 |
Note 10 - Income Taxes - Schedu
Note 10 - Income Taxes - Schedule of Effective Income Tax Rate Reconciliation (Details) - USD ($) | 12 Months Ended | |
Sep. 29, 2018 | Sep. 30, 2017 | |
Tax expense (benefit) at U.S. statutory rate, amount | $ (362,946) | $ (650,463) |
Tax expense (benefit) at U.S. statutory rate, percent | (24.50%) | (34.00%) |
State income tax provision, net of federal benefit, amount | $ (70,523) | $ (105,000) |
State income tax provision, net of federal benefit, percent | (4.80%) | (5.50%) |
Change in state income tax rate, amount | $ (41,961) | $ 563 |
Change in state income tax rate, percent | (2.80%) | |
Change in federal income tax rate, amount | $ 1,443,180 | |
Change in federal income tax rate, percent | 97.50% | |
Other, amount | $ (49,462) | $ (46,120) |
Other, percent | (3.30%) | (2.40%) |
Valuation allowance, amount | $ (918,288) | $ 801,020 |
Valuation allowance, percent | (62.10%) | 41.90% |
Total income tax expense (benefit), amount | $ 0 | $ 0 |
Total income tax expense (benefit), percent | 0.00% | 0.00% |
Note 10 - Income Taxes - Sche_2
Note 10 - Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($) | Sep. 29, 2018 | Sep. 30, 2017 |
Inventory differences | $ 1,206,040 | $ 1,668,529 |
Net operating losses | 1,554,615 | 2,287,412 |
Deferred revenue | 568,917 | 187,970 |
Stock based compensation | 116,149 | 218,846 |
Tax credits | 374,239 | 247,989 |
Other | 173,128 | 300,630 |
Total | 3,993,088 | 4,911,376 |
Less: valuation allowance | (3,993,088) | (4,911,376) |
Total |
Note 11 - Employee Benefit Pl_2
Note 11 - Employee Benefit Plans (Details Textual) - USD ($) | 12 Months Ended | |
Sep. 29, 2018 | Sep. 30, 2017 | |
Defined Contribution Plan, Employer Discretionary Contribution Amount | $ 67,750 | $ 74,130 |
Accrued Bonuses | $ 0 | $ 0 |
Note 12 - Commitments and Con_2
Note 12 - Commitments and Contingencies (Details Textual) - Collateralized Bank Account [Member] - USD ($) | Sep. 29, 2018 | Sep. 30, 2017 |
Letters of Credit Outstanding, Amount | $ 0 | $ 12,930 |
Letter of Credit 1 [Member] | ||
Letters of Credit Outstanding, Amount | 11,730 | |
Letter of Credit 2 [Member] | ||
Letters of Credit Outstanding, Amount | $ 1,200 |
Note 13 - Major Customers and_3
Note 13 - Major Customers and Export Revenue (Details Textual) | 12 Months Ended | |
Sep. 29, 2018 | Sep. 30, 2017 | |
Number of Countries in Which Products are Sold | 4 | 6 |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | ||
Number of Major Customers | 1 | 2 |
Concentration Risk, Percentage | 89.00% | |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | One Customer [Member] | ||
Concentration Risk, Percentage | 87.00% | 68.00% |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Two Customer [Member] | ||
Concentration Risk, Percentage | 21.00% | |
Customer Concentration Risk [Member] | Accounts Receivable [Member] | ||
Number of Major Customers | 1 | 2 |
Concentration Risk, Percentage | 98.00% | |
Customer Concentration Risk [Member] | Accounts Receivable [Member] | One Customer [Member] | ||
Concentration Risk, Percentage | 95.00% | 82.00% |
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Two Customer [Member] | ||
Concentration Risk, Percentage | 16.00% |
Note 13 - Major Customers and_4
Note 13 - Major Customers and Export Sales - Foreign and Domestic Net Sales (Details) - USD ($) | 12 Months Ended | |
Sep. 29, 2018 | Sep. 30, 2017 | |
Revenues, Total | $ 3,684,939 | $ 3,725,006 |
Domestic [Member] | ||
Revenues, Total | 3,422,545 | 3,363,994 |
Foreign [Member] | ||
Revenues, Total | $ 262,394 | $ 361,012 |
Note 13 - Major Customers and_5
Note 13 - Major Customers and Export Sales - Foreign Revenue (Details) | 12 Months Ended | |
Sep. 29, 2018 | Sep. 30, 2017 | |
Mid-East and Africa [Member] | ||
Foreign revenue by geographical area | 65.80% | 92.80% |
EGYPT | ||
Foreign revenue by country | 14.80% | 32.50% |
Far East [Member] | ||
Foreign revenue by geographical area | 34.20% | 7.20% |
JORDAN | ||
Foreign revenue by country | 5.00% | 29.30% |
SAUDI ARABIA | ||
Foreign revenue by country | 46.00% | 28.00% |
PHILIPPINES | ||
Foreign revenue by country | 34.20% | 2.80% |
Other Foreign Countries [Member] | ||
Foreign revenue by country | 7.40% |
Note 14 - Shareholder Rights _2
Note 14 - Shareholder Rights Plan (Details Textual) - $ / shares | Aug. 07, 2014 | Sep. 29, 2018 |
Share Holder Rights Expiration Date | Aug. 5, 2014 | |
Stockholder Rights Plan [Member] | ||
Class of Warrant or Right, Number of Securities Called by Each Warrant or Right | 1 | |
Voting Power in Outstanding Stock Percentage | 15.00% | |
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 25 | |
Redemption Value Per Redeemable Share at Period End | $ 0.001 | |
Plan Adoption Date | Aug. 7, 2014 | |
Share Holder Rights Expiration Date | Aug. 6, 2024 | |
Dividends Payable, Date of Record | Aug. 18, 2014 | |
Stockholder Rights Plan [Member] | Minimum [Member] | ||
Voting Power in Outstanding Stock Percentage | 15.00% |
Note 15 - Cost Method Investm_2
Note 15 - Cost Method Investment (Details Textual) - USD ($) | Jan. 12, 2016 | Oct. 30, 2014 |
Cost Method Investments | $ 275,000 | |
Investment Owned, Balance, Shares | 11,000 | |
Investment Owned, Percent of Net Assets | 10.80% | |
Proceeds from Issuance or Sale of Equity, Total | $ 737,283 | |
Sale of Stock, Consideration Received on Transaction | 661,466 | |
Escrow Deposit | $ 75,817 | |
Securities Consideration Held in Escrow, Percentage | 10.00% |