Note 1 - Basis of Presentation |
3 Months Ended |
|---|---|
Sep. 30, 2011 | |
| Business Description and Basis of Presentation [Text Block] |
(1) Basis
of Presentation
Basis
of Presentation
Ethan
Allen Interiors Inc. ("Interiors") is a Delaware corporation
incorporated on May 25, 1989. The consolidated financial
statements include the accounts of Interiors, its wholly
owned subsidiary Ethan Allen Global, Inc. ("Global"), and
Global’s subsidiaries (collectively "We", "Us", "Our",
"Ethan Allen", or the "Company"). All intercompany accounts
and transactions have been eliminated in the consolidated
financial statements. All of Global’s capital stock is
owned by Interiors, which has no assets or operating results
other than those associated with its investment in
Global.
We
prepare our consolidated financial statements in conformity
with accounting principles generally accepted in the United
States, which 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 consolidated financial
statements and the reported amounts of revenues and expenses
during the reporting period. Due to the inherent uncertainty
involved in making those estimates, actual results could
differ from those estimates. Areas in which significant
estimates have been made include, but are not limited to,
revenue recognition, the allowance for doubtful accounts
receivable, inventory obsolescence, tax valuation allowances,
useful lives for property, plant and equipment and intangible
assets, goodwill and indefinite-lived intangible asset
impairment analyses, the evaluation of uncertain tax
positions and the fair value of assets acquired and
liabilities assumed in business combinations.
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