Note 4 - Fair Value Measurements

9 Months Ended

Sep. 30, 2023

Notes to Financial Statements

Fair Value Disclosures [Text Block]

4. Fair Value Measurements

We measure our cash equivalents and restricted cash at fair value. Fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or a liability. A three-tier fair value hierarchy is established as a basis for considering such assumptions and for inputs used in the valuation methodologies in measuring fair value:

Level 1: Quoted prices in active markets for identical assets or liabilities.

Level 2: Directly or indirectly observable market-based inputs or unobservable inputs used in models or other valuation methodologies.

Level 3: Unobservable inputs that are not corroborated by market data. The inputs require significant management judgment or estimation.

We classify our cash equivalents and restricted cash within Level 1 because we determine their fair values using quoted market prices.

Assets measured at fair value on a recurring basis as of September 30, 2023 and December 31, 2022 are summarized below (in thousands):

	September 30, 2023				December 31, 2022
	Quoted Prices in				Quoted Prices in
	Active Markets				Active Markets
	for Identical				for Identical
	Assets (Level 1)		Total		Assets (Level 1)		Total
Assets
Cash equivalents:
Money market funds	$	7,275	$	7,275	$	13,461	$	13,461
U.S. treasury securities		—		—		19,710		19,710
Total cash equivalents		7,275		7,275		33,171		33,171
Restricted cash:
Money market funds		222		222		221		221
Total assets measured at fair value	$	7,497	$	7,497	$	33,392	$	33,392