Other Balance Sheet Details

6 Months Ended

Jun. 30, 2022

Prepaid expenses and other assets

As of June 30, 2022 and December 31, 2021, the Company had balances of $23.6 million and $23.0 million, respectively, of prepaid assets within prepaid expenses and other assets on the condensed consolidated balance sheets.

Other Assets, Non-current

As of June 30, 2022 and December 31, 2021, the Company had balances of $8.6 million and $7.0 million, respectively, of deferred expenses incurred to integrate the software associated with its cloud computing arrangements, within other assets, non-current on the condensed consolidated balance sheets. Such expenses are subject to amortization over the remaining contractual term of the associated cloud computing arrangement, with a useful life of between three to five years. The Company incurred $0.6 million and $0.6 million of such amortization for the three months ended June 30, 2022 and 2021, respectively. The Company incurred $1.3 million and $1.1 million of such amortization for the six months ended June 30, 2022 and 2021, respectively.

Accounts Payable and Accrued Expenses

The following table presents the components of accounts payable and accrued expenses on the Company’s condensed consolidated balance sheets as of each of the dates indicated.


	June 30, 2022		December 31, 2021

	(in thousands)
Accrued university and instructional staff compensation	$	28,884	$	36,806
Accrued marketing expenses	33,430		26,469
Accrued transaction and integration expenses	18,545		4,072
Accrued compensation and related benefits	40,549		49,143
Accounts payable and other accrued expenses	28,673		48,233
Total accounts payable and accrued expenses	$	150,081	$	164,723

For each of the three and six months ended June 30, 2022 and 2021, expenses related to the Company’s marketing and advertising efforts of its own brands were not material.

Other Current Liabilities

As of June 30, 2022 and December 31, 2021, the Company had balances of $19.3 million and $21.9 million, respectively, within other current liabilities on the condensed consolidated balance sheets, which represents proceeds received from students enrolled in certain of the Company’s alternative credential offerings that are payable to an associated university client.

In response to COVID-19, various government programs have been announced to provide financial relief for affected businesses. Under the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”), which was enacted in the United States on March 27, 2020, the Company is allowed to defer payment of the employer’s share of Social Security taxes incurred from March 27, 2020 through December 31, 2020. In addition, the CARES Act provides eligible employers with an employee retention tax credit for employees whose services were impacted by COVID-19. As of June 30, 2022, the amount of payroll taxes subject to deferred payment, net of employee retention tax credits of $0.5 million, was approximately $5.0 million. The balance is recorded within other current liabilities on the condensed consolidated balance sheets.