2. Cash, cash equivalents, and investments

Cash and cash equivalents include funds on hand and highly liquid investments purchased with an initial maturity of three months or less. Short-term investments include securities with an expected maturity date within one year of the balance sheet date that do not meet the definition of cash equivalent, and long-term investments are securities with an expected maturity date greater than one year. The Company typically invests in municipal and corporate bonds, as well as certificates of deposits, which, based on management’s intent and ability, are classified as held to maturity investments and are recorded at amortized cost. As of September 30, 2013, the Company believes that the gross unrealized losses on its investments are due to interest rate fluctuations. These investments are expected to be redeemed at par value, and because the Company will hold these investments to maturity, the Company does not consider these investments to be other than temporarily impaired at September 30, 2013.

The following is a summary of cash, cash equivalents and held-to-maturity investments by type at September 30, 2013 and December 31, 2012:


	September 30, 2013									December 31, 2012
			Gross		Gross							Gross		Gross
	Amortized		Unrealized		Unrealized					Amortized		Unrealized		Unrealized
	Cost		Gains		Losses			Fair Value		Cost		Gains		Losses			Fair Value
Cash and money market funds	$	34,905,493	$	—	$	—		$	34,905,493	$	36,126,791	$	—	$	—		$	36,126,791
State and municipal obligations		8,587,008		7,784		(9	)		8,594,783		—		—		—			—
Corporate bonds		2,962,150		—		(8,557	)		2,953,593		958		—		—			958
Certificates of deposit		1,882,301		—		(40	)		1,882,261		1,680,000		—		(1,488	)		1,678,512

Total cash, cash equivalents and investments	$	48,336,952	$	7,784	$	(8,606	)	$	48,336,130	$	37,807,749	$	—	$	(1,488	)	$	37,806,261

The following table summarizes the classification of cash, cash equivalents and investments in the accompanying balance sheet:


	September 30,		December 31,
	2013		2012
Cash	$	32,051,501	$	19,811,735
Cash equivalents		2,953,993		16,315,056

Total cash and cash equivalents		35,005,494		36,126,791
Short-term investments		8,751,409		1,680,958
Long-term investments		4,580,049		—

Total cash, cash equivalents and investments	$	48,336,952	$	37,807,749

The following table summarizes the amortized cost and fair value of the short-term and long-term investments held by the Company at September 30, 2013 by contractual maturity:


	Amortized Cost		Fair Value
Due in less than one year	$	8,751,409	$	8,756,782
Due after one year, through two years		4,580,049		4,573,855

Total short-term and long-term investments	$	13,331,458	$	13,330,637