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FAIR VALUE OF FINANCIAL INSTRUMENTS
12 Months Ended
Dec. 31, 2023
FAIR VALUE OF FINANCIAL INSTRUMENTS  
FAIR VALUE OF FINANCIAL INSTRUMENTS

4.   FAIR VALUE OF FINANCIAL INSTRUMENTS

ASC 820, “Fair Value Measurements”, defines fair value, establishes a framework for measuring fair value and requires additional disclosures regarding certain fair value measurements.  ASC 820 establishes a three-tier hierarchy for measuring fair value, as follows:

Level 1 – quoted market prices in active markets for identical assets and liabilities
Level 2 – inputs other than quoted prices that are directly or indirectly observable
Level 3 - unobservable inputs where there is little or no market activity

The following tables summarize the values of assets designated as Investments in debt and equity securities:

December 31, 2023

    

Level 1

    

Level 2

    

Level 3

    

Total

Equity securities

$

18,282,556

$

$

$

18,282,556

Mutual funds

15,656,757

15,656,757

Municipal bonds

681,900

681,900

$

34,621,213

$

$

$

34,621,213

December 31, 2022

    

Level 1

    

Level 2

    

Level 3

    

Total

Equity securities

$

27,692,459

$

$

$

27,692,459

Mutual funds

1,302,973

1,302,973

Municipal bonds

 

661,882

 

 

 

661,882

$

29,657,314

$

$

$

29,657,314

The investment assets are readily marketable and are carried at fair value as of the date of the Balance Sheets. The Company intends to hold these assets for possible future operating requirements.

The following table summarizes gross unrealized gains and losses from Investments in debt and equity securities:

December 31, 2023

Cumulative Unrealized

Aggregate

    

Cost

    

Gains

    

Losses

    

Fair Value

Equity securities

$

24,074,112

$

$

(5,791,556)

$

18,282,556

Mutual funds

15,576,527

80,230

15,656,757

Municipal bonds

635,425

46,475

681,900

$

40,286,064

$

126,705

$

(5,791,556)

$

34,621,213

December 31, 2022

Cumulative Unrealized

Aggregate

    

Cost

    

Gains

    

Losses

    

Fair Value

Equity securities

$

22,913,739

$

4,778,720

$

$

27,692,459

Mutual funds

1,252,804

50,169

1,302,973

Municipal bonds

 

634,455

27,427

661,882

$

24,800,998

$

4,856,316

$

$

29,657,314

Unrealized losses on investments were $10,521,166 for the year ended December 31, 2023.  Unrealized gains on investments were $2,343,359 and $513,529 for the years ended December 31, 2022 and 2021, respectively.