Annual report pursuant to Section 13 and 15(d)

Marketable Securities

v2.4.1.9
Marketable Securities
 12 Months Ended
Dec. 31, 2014
Marketable Securities [Abstract]  
Marketable Securities

 

3.  Marketable Securities

 

The following table shows the Company’s marketable securities’ adjusted cost, gross unrealized gains and losses, and fair value by significant investment category as of December 31, 2014 and 2013:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2014

 

 

 

Cost

 

Gross
Unrealized

 

Gross
Unrealized

 

Fair

 

 

 

Basis

 

Gains

 

Losses

 

Value

Certificates of Deposit

 

$
18,865,000 

$
60 

 
(26,789)

$
18,838,271 

Commercial Paper

 

 
1,998,001 

 
62 

 
(153)

 
1,997,910 

Corporate Bonds

 

 
2,042,697 

 

 -

 
(6,827)

 
2,035,870 

Total Marketable Securities

 

$
22,905,698 

$
122 

$
(33,769)

$
22,872,051 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2013

 

 

 

Cost

 

Gross
Unrealized

 

Gross
Unrealized

 

Fair

 

 

 

Basis

 

Gains

 

Losses

 

Value

State and Municipal Obligations

 

$
100,000 

$

 -

$

 -

$
100,000 

 

 

The Company typically invests in highly-rated securities, with the primary objective of minimizing the potential risk of principal loss.  As of December 31, 2014, the Company had certificates of deposit with a fair value of $18,598,211 and unrealized losses of $26,789, commercial paper with a fair value of $998,180 and unrealized losses of $153, and corporate bonds with a fair value of $2,035,870 and unrealized losses of $6,827, all of which have been unrealized losses for less than 12 months.  The Company does not have the intent to sell its marketable securities in an unrealized loss position.  Based upon the Company’s securities’ fair value relative to the cost, high ratings, and volatility of fair value, the Company considers the declines in market value of its marketable securities to be temporary in nature and does not consider any of its investments other-than-temporarily impaired, and anticipates that it will recover the entire amortized cost basis.

 

The amortized cost and fair value of marketable securities at December 31, 2014 by contractual maturity are shown below.  Expected maturities will differ from contractual maturities because the Company may redeem certain securities at par. 

 

 

 

 

 

 

 

 

Maturity

 

Cost Basis

Fair Value

Less than 1 year

 

$
17,023,001 

$
17,010,586 

1 to 5 years

 

 
5,882,697 

 
5,861,465 

Total Marketable Securities

 

$
22,905,698 

$
22,872,051