Quarterly report pursuant to Section 13 or 15(d)

Marketable Securities

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Marketable Securities
 6 Months Ended
Jun. 30, 2016
Investments, Debt and Equity Securities [Abstract]  
Marketable Securities

Note 3 – Marketable Securities

 

Following is a description of the valuation methodologies used for assets measured at fair value as of June 30, 2016 and December 31, 2015.

 

Money market funds, U.S. Agency Securities, Corporate and Municipal Securities and Certificates of Deposits: Valued using pricing models maximizing the use of observable inputs for similar securities. This includes basing value on yields currently available on comparable securities of issuers with similar credit ratings.

 

    As of June 30, 2016
          Accrued     Unrealized     Unrealized     Fair  
    Cost     Income     Gains     Losses     Value  
Level 2:                                        
Money market funds   $ 4,119     $ 1     $ -     $ -     $ 4,120  
US agency securities     -       -       -       -       -  
Certificates of deposits     290,000       1,177       969       -       292,146  
Corporate securities     928,308       3,586       -       (1,090 )     930,804  
Municipal securities     319,958       583       418       -       320,959  
Total Level 2:     1,542,385       5,347       1,387       (1,090 )     1,548,029  
                                         
Total:   $ 1,542,385     $ 5,347     $ 1,387     $ (1,090 )   $ 1,548,029  

 

The above securities are classified as available for sale. The securities are valued at fair market value. Maturities of the securities range from one to two years. Unrealized gains and losses relating to the available for sale investment securities were recorded in the condensed consolidated statement of changes in stockholders’ equity as comprehensive income. The net unrealized loss of $2,006 and a net unrealized gain of $6,528 for the three and six months ended June 30, 2016 and a net unrealized loss of $3,559 and a net unrealized gain of $23,155 for the three and six months ended June 30, 2015 were recorded in the condensed consolidated statement of changes in stockholders’ equity as comprehensive income.

 

As of June 30, 2016, investments in money market funds, certificates of deposit, corporate securities and municipal securities classified as available for sale mature as follows:

 

Within                 After  
1 Year     1 - 5 Years     5 - 10 Years     10 Years  
                             
$ 977,460     $ 570,569     $ -     $ -  

 

Proceeds from the sale of marketable securities for the three and six months ended June 30, 2016 were $900,863 and $2,502,319 and were $1,652,866 and $2,906,322 for the three and six months ended June 30, 2015. As a result of these sales, a gross gain of $1,844 and $2,152 was recorded for the three and six months ended June 30, 2016 and a gross loss of $2,436 and $1,988 was recorded for the three and six months ended June 30, 2015.