Quarterly report pursuant to Section 13 or 15(d)

Marketable Securities

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Marketable Securities
 9 Months Ended
Sep. 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 September 30, 2016 and December 31, 2015.

 

Money market funds and Corporate and Municipal Securities: 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 September 30, 2016  
          Accrued     Unrealized     Unrealized     Fair  
    Cost     Income     Gains     Losses     Value  
Level 2:                                        
Money market funds   $ 2,966     $ 17     $ -     $ -     $ 2,983  
Corporate securities     578,308       861       -       (2,560 )     576,609  
Municipal securities     20,314       16       20       -       20,350  
Total Level 2:     601,588       894       20       (2,560 )     599,942  
                                         
Total:   $ 601,588     $ 894     $ 20     $ (2,560 )   $ 599,942  

 

The above securities are classified as available for sale. The securities are valued at fair market value. Maturities of the securities are less than one year. 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 $2,837 and a net unrealized gain of $3,691 for the three and nine months ended September 30, 2016 and a net unrealized gain of $5,810 and $28,965 for the three and nine months ended September 30, 2015 were recorded in the condensed consolidated statement of changes in stockholders’ equity as comprehensive income.

 

As of September 30, 2016, investments in money market funds and corporate securities and municipal securities classified as available for sale mature within one year.

 

Proceeds from the sale of marketable securities for the three and nine months ended September 30, 2016 were $950,514 and $3,452,833 and were $1,202,311 and $4,108,632 for the three and nine months ended September 30, 2015. As a result of these sales, a gross gain of $1,269 and $3,421 was recorded for the three and nine months ended September 30, 2016 and a gross loss of $5,213 and $7,201 was recorded for the three and nine months ended September 30, 2015.