4. Investments

The Company’s investments are classified as available-for-sale pursuant to ASC 320, Investments—Debt and Equity Securities. The Company classifies investments available to fund current operations as current assets on its balance sheets. We consider all investments that have maturities of three months or less when acquired to be cash equivalents. Investments are classified as long-term assets on the balance sheets if (i) the Company has the intent and ability to hold the investments for a period of at least one year and (ii) the contractual maturity date of the investments is greater than one year.

Investments are carried at fair value with unrealized gains and losses included as a component of accumulated other comprehensive loss, until such gains and losses are realized. If a decline in the fair value is considered other-than-temporary, based on available evidence, the unrealized loss is transferred from other comprehensive loss to the statements of operations. There were no charges taken for other-than-temporary declines in fair value of short-term or long-term investments during the three and six months ended June 30, 2015 and 2016. The Company recorded $(3,430), $0, $5,849 and $971 of unrealized gains/(losses) during the three months ended June 30, 2015 and 2016, and the six months ended June 30, 2015 and 2016, respectively. Realized gains and losses are included in interest income in the statements of operations. The Company did not record any realized gains or losses during the three and six months ended June 30, 2015 and 2016. The Company utilizes the specific identification method as a basis to determine the cost of securities sold.

The Company reviews investments for other-than-temporary impairment whenever the fair value of an investment is less than the amortized cost and evidence indicates that an investment’s carrying amount is not recoverable within a reasonable period of time. To determine whether an impairment is other-than-temporary, the Company considers the intent to sell, or whether it is more likely than not that the Company will be required to sell, the investment before recovery of the investment’s amortized cost basis. Evidence considered in this assessment includes reasons for the impairment, compliance with the Company’s investment policy, the severity and the duration of the impairment and changes in value subsequent to year end. As of June 30, 2016, there were no investments with a fair value that was significantly lower than the amortized cost basis or any investments that had been in an unrealized loss position for a significant period.

Cash, cash equivalents and investments at December 31, 2015 and June 30, 2016 consist of the following:


			Gross		Gross
	Amortized		Unrealized		Unrealized		Fair
	Cost		Gains		Losses		Value
December 31, 2015
Cash and cash equivalents:
Cash and money market accounts	$	15,302,382		—		—	$	15,302,382
Total cash and cash equivalents	$	15,302,382	$	—	$	—	$	15,302,382
Short-term investments:
Corporate bonds	$	3,108,516		—	$	(1,069)	$	3,107,447
Commercial paper		1,999,082		98		—		1,999,180
Total short-term investments	$	5,107,598	$	98	$	(1,069)	$	5,106,627
Total cash, cash equivalents, and investments	$	20,409,980	$	98	$	(1,069)	$	20,409,009

June 30, 2016
Cash and cash equivalents:
Cash and money market accounts	$	8,675,724		—		—	$	8,675,724
Total cash and cash equivalents	$	8,675,724	$	—	$	—	$	8,675,724