SCHEDULE II—VALUATION AND QUALIFYING ACCOUNTS The following table sets forth activities in our allowance for doubtful accounts: Balance at Beginning of Year $1,090 1,121 1,277 Amounts Charged to Expenses $3,771 (18) (113) Deductions and Adjustments $ (104) (13) (43) Balance at End of Year $4,757 1,090 1,121 Allowance for Doubtful Accounts Year ended: September 30, 2012 September 30, 2011 September 30, 2010 We maintain a warranty reserve that reflects management’s best estimate of the cost to replace product that does not meet customers’ specifications and performance requirements, and costs related to such replacement. The warranty reserve is based upon a historical product replacement rate, adjusted for any specific known conditions or circumstances. Additions and deductions to the warranty reserve are recorded in cost of goods sold. Charges to expenses and deductions, shown below, represent the net change required to maintain an appropriate reserve. Balance at Beginning of Year $384 375 360 Reserve for Product Warranty During the Reporting Period $ 867 1,074 1,161 Adjustments to Pre-Existing Warranty Reserve $ — — — Settlement of Warranty $ (892) (1,065) (1,146) Balance at End of Year $ 359 384 375 Warranty Reserves Year ended: September 30, 2012 September 30, 2011 September 30, 2010 We have provided a valuation allowance on certain deferred tax assets. The following table sets forth activities in our valuation allowance: Balance at Beginning of Year $ — Amounts Charged to Expenses $1,378 Deductions and Adjustments $ — Balance at End of Year $1,378 Valuation Allowance Year ended: September 30, 2012 60