Fair Value Measurements and Marketable Debt Securities

9 Months Ended

Sep. 30, 2021

Fair Value Disclosures [Abstract]

Fair Value Measurements and Marketable Debt Securities

4.Fair Value Measurements and Marketable Debt Securities

Fair Value Measurements

The Company’s assets and liabilities that are measured at fair value on a recurring basis as of September 30, 2021 and December 31, 2020 are measured in accordance with the standards of ASC 820, Fair Value Measurements and Disclosures, which establishes a three-level valuation hierarchy for measuring fair value and expands financial statement disclosures about fair value measurements. The valuation hierarchy is based on the transparency of inputs to the valuation of an asset or liability as of the measurement date. The three levels are defined as follows:

Level – 1	Inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.
Level – 2	Inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.
Level – 3	Inputs to the valuation methodology are unobservable and significant to the fair value measurement.

The Company’s financial instruments consist primarily of cash, cash equivalents, marketable debt securities, accounts payable and accrued liabilities. For accounts payable and accrued liabilities, the carrying amounts of these financial instruments as of September 30, 2021 and December 31, 2020 were considered representative of their fair values due to their short term to maturity.

The following tables summarize the Company’s cash equivalents and marketable debt securities as of September 30, 2021 and December 31, 2020:

	Total		Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(in thousands)
September 30, 2021
Cash equivalents:
Money market funds	$	5,172	$	5,172	$	—	$	—
Commercial paper		9,499		—		9,499		—
Total cash equivalents		14,671		5,172		9,499		—
Marketable debt securities:
Commercial paper		6,499		—		6,499		—
Total marketable debt securities		6,499		—		6,499		—
Total cash equivalents and marketable debt securities	$	21,170	$	5,172	$	15,998	$	—
December 31, 2020
Cash equivalents:
Money market funds	$	4,229	$	4,229	$	—	$	—
Commercial paper		6,499		—		6,499		—
Corporate bonds		1,907		—		1,907		—
Total cash equivalents		12,635		4,229		8,406		—
Marketable debt securities:
U.S. Government securities		2,005		—		2,005
Commercial paper		22,485		—		22,485		—
Total marketable debt securities		24,490		—		24,490		—
Total cash equivalents and marketable debt securities	$	37,125	$	4,229	$	32,896	$	—

Marketable Debt Securities

The following tables summarize the Company’s marketable debt securities as of September 30, 2021 and December 31, 2020.

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
	(in thousands)
September 30, 2021
Assets:
Commercial paper	$	6,499	$	—	$	—		$	6,499
	$	6,499	$	—	$	—		$	6,499
December 31, 2020
Assets:
U.S. Government securities	$	2,005	$	—	$	—		$	2,005
Commercial paper		22,484		2		(1	)		22,485
	$	24,489	$	2	$	(1	)	$	24,490