Fair Value Measurements

6 Months Ended

Jul. 31, 2022

4. Fair Value Measurements

The following table sets forth the financial assets, measured at fair value, by level within the fair value hierarchy on a recurring basis and indicates the fair value hierarchy of the valuation inputs used to determine such fair value (in thousands):


	Fair Value Measurement As of July 31, 2022
	Level 1		Level 2		Level 3		Total

Cash and cash equivalents
Money market funds	$	791,791	$	-	$	-	$	791,791
Total cash and cash equivalents		791,791		-		-		791,791
Total assets measured at fair value	$	791,791	$	-	$	-	$	791,791
Included in cash and cash equivalents							$	791,791


	Fair Value Measurement As of January 31, 2022
	Level 1		Level 2		Level 3		Total

Cash and cash equivalents
Money market funds	$	1,129,436	$	-	$	-	$	1,129,436
Total cash and cash equivalents		1,129,436		-		-		1,129,436
Total assets measured at fair value	$	1,129,436	$	-	$	-	$	1,129,436
Included in cash and cash equivalents							$	1,129,436

Money market funds are cash equivalents with remaining maturities of three months or less at the date of purchase. The Company uses quoted prices in active markets for identical assets to determine the fair value of its Level 1 investments in money market funds.

The unaudited condensed consolidated financial statements as of July 31, 2022 and January 31, 2022 do not include any nonrecurring fair value measurements relating to assets or liabilities. There were no transfers between fair value measurement levels during the three and six months ended July 31, 2022.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

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